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3 Monster Growth Stocks to Grow in 2021
As 2020 ends, the belief is growing that 2021 will be a growth year for the equity markets. The US election has resulted in a divided government, one that is unlikely to have the broad majorities – or the broad support – it takes to enact broad reform legislation from the right or the left, and that bodes well for the economy in in general. the introduction of distribution, and although new antivirus locks are also being introduced, there is a sense that the end of the pandemic is approaching. According to the analyst community, a few names reflect serious growth games. These are stocks that have already made impressive gains since the start of the year and are on the cusp of growth even after 2020 has closed. With this in mind, we used TipRanks’s database to scan the street for tickers that fall into this category. Sticking to three in particular, the analysts believe that any name, which also happens to have a ‘Strong Buy’ consensus rating, could keep the rally alive in 2021. SunOpta (STKL) The first stock on this growth list is a health snack company, SunOpta. The company’s product line includes plant-based beverages, fruit-based snacks, broth and broth, tea, sunflower and roasted snacks. The company sells through private label and co-manufacturing distribution, as well as through food service establishments. SunOpta has a market cap of $ 962 million, after a year of staggering price gains. The stock is up an impressive 328% this year, well above the general markets. The company’s revenue for the third quarter was $ 314.9 million, a profit of 6.4% year over year. Earnings per share, with a net loss of 1 cent, was better than the expected 2 cent loss – and much better than the 11 cent loss reported in the same quarter a year ago. The company’s solid performance has caught the attention of Craig-Hallum analyst Alex Fuhrman. The analyst rates STKL as a buy, along with a price target of $ 15. This figure implies a 40% increase in one year from the current level. (To view Fuhrman’s track record, click here) To support his position, Fuhrman wrote, “We believe the company’s focus on high-quality plant-based foods and beverages should command a premium valuation with opportunities for upward estimates as economy is recovering from COVID. Fuhrman’s optimism is largely based on SunOpta’s niche. The analyst noted, “We expect plant-based food stocks to gain a higher valuation over other food companies in the near future, given faster growth trends and attractive environmental benefits. With sales of just $ 4.5 billion, plant-based products make up less than 1% of the $ 695 billion grocery market, but it’s easy to imagine having a double-digit share of grocery sales over time. represents. Wall Street doesn’t always meet unanimously, but in this case it does. SunOpta Strong Buy analysts’ consensus rating is unanimous, based on 3 Buy ratings. The stock will sell for $ 10.70 with an average price target of $ 15 SunOpta has a growth potential of 40%. (See STKL stock analysis on TipRanks) Green Brick Partners (GRBK) A bright spot in the economy last year was the housing sector. When people left the cities to avoid COVID, they went to the suburbs and suburbs – and that increased the demand for single-family homes. Green Brick is a land development and home purchase company based in Texas. The company invests in real estate, primarily land, and then provides lots and construction financing for the development projects. The Suburban Distribution – not only in this COVID year, but as an overall trend, Green Brick has been good. The company’s sales in the third quarter b ed $ 275.8 million, the best in over a year, beating forecast at 20% and growing 31% year-on-year. EPS was also strong; the third-quarter value, at 68 cents, was 54% above expectations, more than double the value of a year ago. Green Brick’s stock price has gone up along with the company’s financial outlook. For the year, GRBK has gained 111%. In his report on this stock, JMP analyst Aaron Hecht noted: “[We] expect GRBK to respond to the trend of tenants switching from apartments to single-family homes due to security and the shifting dynamics caused by more teleworking of employees. The main cohort shift within the buyer pool is millennials who have come off the sidelines to buy homes, a trend that we believe is set to take off for several years. In the case of GRBK, the millennial demand trend is strengthening given its extraordinary exposure to markets, such as Texas and Atlanta, which are the net beneficiaries of migration from expensive coastal areas. To this end, Hecht rates GRBK as an Outperform (ie Buy), and its $ 30 price target implies a ~ 23% rise for the next 12 months. (To view Hecht’s track record, click here) While not unanimous, the Strong Buy consensus rating on Green Brick is conclusive, with a 3: 1 breakdown of Buys versus Hold. The $ 27.5 average price target indicates 12.5% upside potential from the current stock price of $ 24.45. (See GRBK Stock Analysis on TipRanks) Brightcove, Inc. (BCOV) Switching to the software industry, we join Brightcove, a Boston-based software company. Brightcove offers a range of video platform products, including cloud-based hosting and social and interactive add-ons. The company is a leader in the delivery and monetization of cloud-based online video solutions. The strength of such a business model, during these pandemic days with their massive shift from white-collar to remote offices, telecommuting and video conferencing, is obvious. Brightcove’s earnings reached 11 cents a share in the third quarter, almost double that of the quarter a year ago. At the top, revenues have been stable, at between $ 46 million and $ 48 million per quarter in 2020, with no discernible COVID impact. Shares in Brightcove have been staggering throughout the year, after a minor eruption last winter. The pace has accelerated since the end of July, after the second quarter results were released, and the stock is now up 103% for 2020. The general macro headwind is turning into a video niche, as noted by Northland Capital analyst Michael Latimore. “We believe the wind in the market, BCOV’s leading technology platform and strong sales execution lead to strong bookings. We believe that the sales force is at full productivity. BCOV will add more channel managers this year. Management is focused on process improvements to achieve consistency in revenue retention, ”noted the five-star analyst. Baltimore rates the stock as Outperform (i.e. Buy), and its $ 24 price target indicates confidence in a 36% rise for the coming year. (To view Latimore’s track record, click here) In the past 3 months, two other analysts have thrown in the cap with a look at the video technology company. The two additional Buy ratings give Brightcove a Strong Buy consensus rating. With an average price target of $ 20.17, investors can take home 14% profit should the target be met in the coming months. (See BCOV Stock Analysis on TipRanks) To find great ideas for growth stocks that trade at attractive valuations, visit TipRanks ‘Best Stocks to Buy, a recently launched tool that brings together all of TipRanks’ insights on stocks. Disclaimer: The opinions expressed in this article are only those of the aforementioned analysts. The content is provided for informational purposes only. It is very important to do your own analysis before making an investment.