The stock market is currently in an interesting place right now. There are all time highs to consider, the next wave of stimulus cheques set to be offered in the US, and the much-anticipated mass roll out of the Covid-19 vaccine, which will help increase consumer and trader confidence going forward. The popularity of CFD trading online on platforms such as Skilling has skyrocketed, with a record number of traders participating in the current markets, joining the trend away from singular revenue streams.
With all of this in mind, we have created a list culminating of growth stocks, the highest dividend payers and stocks from varying markets. Continue reading to see our selection of the most popular stocks in January as we start the new year, and look ahead to which stocks will be the best performers.
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Alibaba (BABA)
Alibaba is one of the largest companies in the world, with a $690 billion market cap. They find themselves at the forefront of China’s ecommerce market, and technology sectors respectively, and have a high forecasted growth rate for January, and the following months. The value of a stock in this company currently sits at around $261 per share.
Through the last 12 months, the company has seen growth of over 24 percent. But when considering a much shorter time frame, such as the last six weeks, they have seen a bearish trend in their stock price, falling by a little over 17 percent, which is down $55 to where we are today. Whilst the ecommerce sector is bound to follow the same trend as previous years and continue growing; from 2021 to 2023, the industry is forecasted to grow by roughly $2-3 billion.
Although Alibaba is currently experiencing a lull in value, this might be the perfect time to get involved, before the stock price shoots up.
Microsoft (MSFT)
As one of the largest companies in the world, Microsoft are a major player in the technology market and show no signs of slowing down their dominance of the industry! They have a market cap of around $1.6 trillion, and are expected to grow by an average of 15 percent over the next five years. This kind of growth for such a large company is incredible. They are currently trading in the region of $219 per stock, whilst the company pays a dividend and yields just over one percent.
There’s also some high future growth expected down the road of Microsoft. Their cloud services in particular have driven their growth throughout 2020, and will only continue to expand their size and influence going forward.
Even during the global pandemic, the company was able to increase their revenue figures by 12 percent during the last quarter. Buying this stock is a solid option, simply because they have proven themselves as industry leaders, and the projections of growth are highly rewarding for stock owners and the company itself.
United Parcel Service (UPS)
Staying in the United States, the next stock on our list are global leaders in the shipping and logistics industry, UPS. The company has a market cap of $144 billion, and is currently valued in the region of $170 per stock. Over the last financial year, they have seen exponential growth of over 40 percent. As we shift to purchasing more items online, there will be even more demand places on delivery services. UPS are one of the main players in the industry, and will continue to grow as more of us are adopting the convenience of online shopping.
Although they have a number of competitors, very few have the infrastructure in place to deliver all over the United States, making them one of the largest and most diverse in their sector. The company pays out a dividend, and currently yields 2.42 percent, with a pay-out ratio of 52 percent. This means there is a lot of money reinvested into the business in order to promote growth of the company and the value of the dividend paid out every year.
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All of the stocks in this list are industry leaders, who also have the capacity for major growth of the next financial year and beyond. The value of the stocks is currently at a reasonable level and the volatility of the markets may see bearish or bullish trends, however, the rate of growth these stocks are showing ensure that they are still the most popular stocks to invest in for January.
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