Investors are always looking for solid stocks at a good price with great upside. Reasons a company might fit such criteria vary.
Here are some stocks that some analysts and experts believe have potential along with the reasons for that optimistic outlook.
As one of the most powerful media conglomerates in the world, Disney has more staying power than most. Concerns about Disney’s ability to adapt to changes in the media landscape have shares trading lower than usual, which creates a good entry point for investors.
Those who see upside potential point to the quality of the Disney brand as setting it apart from the competition. Zacks and TipRanks have Buy ratings on the stock, which currently trading at a P/E of 16.4.
Prices for this stock dropped when it decided to remain a single company and not split in two. For many, this was a call to sell. For others, it represents a buying opportunity. As with Disney, the key is that Pfizer is a solid company. In addition, it has a reputation as a leader in cancer treatment and area with tremendous upside growth potential.
As with Disney, both Zacks and TipRanks have a Buy rating on this stock, which sells for $33 and has a PT of $37.
Despite a reputation of being a provider of sugary drinks that are the cause of much of the world’s obesity, Pepsi notes that almost half the company’s revenue comes from so-called “guilt-free” products with fewer than 70 calories as well as low-fat, low-sodium snacks.
With a forecast for full-year core earnings of $4.78 per share, a Buy rating from Zacks and a Strong Buy from TipRanks, Pepsi might be a hidden gem, hidden right out in the open.
Dow Chemical, with a P/E of 7.87, is a stock with both strong growth prospects and low valuation. The stock is trading at less than half its 5-year average and still offers a dividend yield of 3.5%. If the proposed merger with DuPont Co. DD takes place, the new company will be the world’s largest agricultural chemicals company and second largest materials company.
The company’s high margins and returns have earned it an Outperform rating along with Buy ratings from both Zacks and TipRanks.
This company saw revenue decline 14% last quarter and a drop in EPS of 68%, which frightened investors who failed to note that, depending on how many blockbusters a movie company produces, comparisons of quarterly earnings will likely often show disparity.
New theater installs and backlog are another measure savvy investors check out and on those metrics IMAX is a big success. Another Outperform with Strong Buy and Buy recommendations from Zacks and TipRanks respectively.