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21 Stocks Everyone Should be Watching in 2020

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Best Stocks in 2019

Interested in what stocks to look out for this year? Then you’ll love this list of the best stocks in 2019.

But before we get started, remember the most important advice when it comes to investing in stocks: the wisest way to invest is to use a stock index fund.

These funds purchase multiple stocks and spread risk appropriately across the top companies. This is the advice of Warren Buffett, who once said,

“By periodically investing in an index fund, for example, the know-nothing investor can actually outperform most investment professionals.”

If you’re looking for a stock index fund, check out Vanguard’s 500 Index Fund.

With that aside, here are the most promising stocks in 2019:

1. Chipotle Mexican Grill

Chipotle is an international chain of restaurants specializing in tacos, burritos, and other Mexican style cuisines. They have establishments all over the world from the United States to Germany and France.

This beloved food joint performed very well in the first two quarters of 2019 and are expected to continue to grow.

P/E ratio as of August 2019: 87.81

2. Constellation Brands, Inc.

Constellation is an international beer and wine producer. They are the largest importer of beer in the United States and command 7.4% of the market share.

P/E ratio as of August 2019: 17.00

3. Lululemon Athletica

Lululemon Athletica creates athletic apparel such as performance shirts, shorts, and pants, as well as yoga accessories. They’ve built a brand over the years that millions recognize and love.

P/E ratio as of August 2019: 47.51

4. Coty Inc.

Coty Incorporated is a multinational company that specializes in beauty products and services such as cosmetics, fragrances, skincare, and nail care.

Coty owns over 70 brands, such as CoverGirl, Clairol, and Bourjois. In 2018, the company’s revenue was over $9.4 billion.

As of August 2019, Coty Inc. stock is valued at 10.42 USD. Their P/E ratio is not yet available.

5. Anadarko Petroleum Corporation

Anadarko is in the natural gas and petroleum industry. This entails everything from gathering resources to treating and transporting gas. The company is also in the hard mineral business.

In early 2019, Anadarko had an estimated 1.47 billion barrels of oil in reserve, making it one of the biggest players in the industry.

As of August 2019, Anadarko’s stock is valued at 73.48 USD. Their P/E ratio is not available yet.

6. Brookfield Infrastructure Partners L.P.

Brookfield Infrastructure Partners acquires and manages infrastructure assets all over the world. They specialize in utilities, energy, and transportation infrastructure.

The company invests in ports, toll roads, pipelines, and telecommunication lines. In other words, things that people will always need and use.

P/E ratio as of August 2019: 75.27

7. ONEOK Inc.

ONEOK (pronounced “one – oak”) Incorporated is in the natural gas industry and is a key leader in the gathering, storing, processing, and transporting natural gas in the United States.

P/E ratio as of August 2019: 22.62
TerraForm Power Inc.
TerraForm Power specializes in renewable energy, particularly solar and wind power. There is an ever-growing trend that demands less damage to the environment.

As the world values green innovations, companies like TerraForm are expected to be favored in the coming years.

P/E ratio as of August 2019: 227.44

8. Netflix

Netflix is a service provider and production company with their main product being a subscription-based streaming service.

Streaming TV and movies have largely replaced traditional television. With no commercials and instant access to thousands of products, Netflix is suspected to continue to grow.

P/E ratio as of August 2019: 120.23

9. iRobot

iRobot is an advanced technology company that specializes in military and domestic robots. They designed the Roomba, which is an autonomous vacuum cleaner.

The U.S. military has purchased and uses thousands of robots from iRobot and are contracted to make more.

P/E ratio as of August 2019: 22.24

10. Amazon

Amazon is a multinational company that specializes in e-commerce and cloud computing. It’s considered one of the big four technology companies along with Apple, Google (Alphabet, Inc.), and Facebook.

Amazon is well known for distributing goods through technological innovation and on a massive scale. Some estimate that Amazon commands 50% of all goods sold online.

P/E ratio as of August 2019: 73.65

11. Apple Inc.

Apple is a multinational tech company that develops and sells computer software, electronics, and online services. They designed some of the world’s greatest tech products including the iPhone and Apple Watch.

Being a leader in tech devices, many analysts believe Apple is one of the most promising stocks to invest in.

P/E ratio as of August 2019: 16.61

12. Alphabet Inc.

Alphabet Inc. is a multinational conglomerate founded in 2015. It’s the parent company of Google, which is the dominating search engine on the internet.

Google performs 90% of all searches on the internet. Alphabet has additional subsidiaries such as Calico, Capital G, and Deep Mind.

These subsidiaries have their hands in industries such as autonomous cars, biotechnology, video game software, and internet tech.

P/E ratio as of August 2019: 23.87

13. Facebook Inc.

Facebook is the popular American social media site founded by Mark Zuckerberg. In 2018, Facebook had a net income of $22.11 billion and its total assets were $97.33 billion.

Facebook has subsidiaries such as Instagram and WhatsApp, which are also very popular social media outlets.

P/E ratio as of August 2019: 31.00

14. MarketAxess Holdings Inc.

MarketAxess is an international company that specializes in financial technology, also known as fintech.

They operate an electronic trading platform for various credit markets such as corporate bonds and income products.

P/E ratio as of August 2019: 70.82

15. AT&T Inc.

AT&T is a multinational conglomerate holding company and is the world’s largest company in telecommunications.

AT&T is the parent company of Warren Media, which makes it the largest entertainment company in the world in terms of revenue.

P/E ratio as of August 2019: 14.17

16. Verizon Communications Inc.

Verizon is a multinational telecommunications conglomerate. They are well known for their subsidiary Verizon Wireless, which is its mobile network.

Together with AT&T, these two companies dominate the mobile and landline market. Since our needs for communications will develop, these two stocks are poised to grow.

P/E ratio as of August 2019: 14.49

17. Axon Enterprise Inc.

Axon Enterprise Inc. is a U.S.-based company that develops weapon products and technology for civilians and law enforcement. This company developed the Taser, a line of electric shock weapons.

Since then, Axon developed other technologies including body cameras and a cloud-based management system that empowers police departments to manage and review evidence.

P/E ratio as of August 2019: 129.55

18. Intuitive Surgical Inc.

Intuitive Surgical Inc. develops and manufactures surgical equipment to make surgeries less invasive. As of 2017, they had 4,271 bases worldwide.

P/E ratio as of August 2019: 48.51

19. Ford Motor Company

Despite the localized recession in Detroit, the automotive giant is doing very well.

The market continues to demand their SUVs and commercial vehicles, not to mention their luxury vehicles, which are usually created under their Lincoln brand.

P/E ratio as of August 2019: 16.90

20. General Motors Company

General Motors is a multinational manufacturer of vehicles and own automotive brands like Buick, GMC, Cadillac, and Chevrolet. They have nearly 400 facilities on six different continents.

P/E ratio as of August 2019: 6.19

Conclusion

Let’s point out two trends from this list:

  • Tech and software companies are dominating
  • Utility-related companies are tried and true

About half of the world still doesn’t have internet access. And a large portion still doesn’t have access to common devices like cell phones and laptops. That means these industries are set up to grow significantly for years to come.

Of course, that doesn’t mean other industries will simply disappear. As you’ve seen in the list, there are still key industries that our society relies on, such as energy and infrastructure companies.

Some of the most promising stocks are in tech and software, such as Apple, Facebook, Google, and Amazon.

Nevertheless, the wisest investment is still a stock index fund, which bets on the collective market rather than individual companies.

Entrepreneurship

5 Mistakes You Could Be Making In Your Small Business

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Are business owners reluctant to say they have made mistakes in their small business? If you are making these 5 mistakes you can easily not be taking advantage to save time, money and also might be holding yourself back from serious improvement.

It’s one thing to be in the niche of technology with new headsets, and new software every time Apple or Google sneezes. But, what is really important? Productivity and giving employees the tools they need to be successful at their job. Also laying the groundwork for successful workplace, and keeping up with the times, with aspects, so you’re not a one-man show.

Today everything is so automated, from marketing automation, to CRM and Customer service automation. Right now the big trends are so popular. “The one size fits all,” when salesmen try and sell you new software, seems to lack the care, details, and differences, that small businesses face, and they seem like the most logical answer.

Small business is definitely a pre-structured environment, that owners have control of.

Here are 5 Practical Guidelines for Small Business Owners today.

INFRGRAPHICS

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Business

4 Mistakes No CEO Should Ever Make

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4 Mistakes a CEO Can Make

CEOs are busy and under a lot of pressure to perform well. If there’s anything wrong with the business, some of the blame will fall on the CEO.

With all that stress, it’s easy to make mistakes. This is a list of mistakes that a CEO can make.

1. Neglecting The Team

For a company to succeed, the members of that company need to be mentally and emotionally supported. In many ways, the CEO doesn’t run the company – the team does. And the CEO runs the team.

CEOs are busy and under a lot of stress, and sometimes they don’t provide the in-house care their company needs to succeed. One of the chief examples is not paying employees what they deserve.

If there’s a hard worker who isn’t getting paid well, that’s a recipe for bitterness and discouragement. That person is likely to quit, and may even go to a competitor.

Another key to taking care of employees is to consistently remove roadblocks to their work. If a CEO keeps making their workload easier, the team will grow to appreciate and trust their CEO.

2. Avoiding Feedback

This is a huge mistake CEOs fall into. Simply not asking for feedback on their performance or before making a decision.

There are a few reasons why a CEO might avoid feedback. They can neglect seeking feedback because they’re busy and just forget to do it. But if the CEO doesn’t see the importance of feedback or hates receiving it, they’re setting themselves up for failure.

Everyone, including CEOs, has blind spots and a need to learn and grow. They should routinely ask their boards for feedback and take advantage of counsel when it’s available. Good CEOs learn to ask professionals for advice, whether it’s from in-house or outsourced experts.

3. Bottlenecking Important Decisions

Bottlenecking important decisions is when a CEO insists that every important decision goes through them.

It’s understandable that a CEO wants to make all of the important decisions. There’s a lot of pressure on the CEO to keep mistakes to a minimum. Whether fair or not, a lot of fault falls onto the CEO if anything goes wrong.

It’s kind of like letting your teen drive your car for the first time.

However, there are two big reasons why this is a trap. One, this isn’t an efficient way to run a company. There are too many important decisions to make and if a CEO tries to make all of them, sooner or later they will experience mental overload.

The second reason is that CEOs are not always the best person qualified to make a decision. On many occasions, there is someone else in the organization who’s more qualified to make that decision.

For example, if the company is choosing a new country to build in, let someone who understands international law make that decision.

4. Picking A Favorite Coworker

You don’t have to be part of a company to know the damage this can cause. Ever see a parent favor a child over another? Or see a coach favor a particular player? It just demoralizes others.

Like all humans, CEOs want to connect with people and make friends. But they need to be careful they’re not playing favorites. If the CEO attends multiple conferences with the same person, the rest of the company may get the idea that they don’t matter as much.

Obviously, a CEO can’t be close friends with radically every single employee. But they should make an effort to maintain an equal relationship with the ones they’re close to.

Business Is About Adapting

CEOs will make mistakes, but the worst one is not learning from their errors. The chief lesson here is one we often come back to in the business world – keep adapting.

If a CEO is making one of the mistakes listed here, it’s time to change their ways. Like all workers, CEOs are growing, maturing, and evolving. Sometimes it takes time and sometimes it takes effort.

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Alternative Investments

Investing in Lithium: The Energy Giants

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This metal is perhaps best known for its use in lithium batteries common in all sorts of electronics devices.


Lithium is a soft, silver-white metal that is highly reactive and flammable. Its unique chemical profile makes it the lightest metal and the least dense solid element. Lithium has several other industrial applications as well, including use in heat resistant glass and ceramics, alloys used in aircraft, and lubricating greases.

As an investment, lithium makes for an enticing play on the growing demand for energy efficient technologies. Lithium batteries, which are far more efficient than traditional nickel-metal hydride batteries, are seeing an increase in demand from the automobile and electronics industry alike.

Limited supply is another appealing factor that makes this metal a potentially lucrative investment. For those looking to invest in lithium, there are a number of options in the marketplace. While physical exposure is not possible, investors can buy a number of companies which are engaged in some aspect of lithium production. Lastly, investors can also purchase a lithium ETF which offers exposure to a basket of commodity producers.

How to Buy Lithium Stocks

There are a wide variety of companies who rely on lithium for a substantial portion of their revenues. One of the biggest is Sociedad Quimica y Minera (SQM) which is a Chilean producer of specialty plant nutrients and chemicals that maintains lithium production operations. Philadelphia-based FMC Corporation (FMC) is a diversified chemical company which also focuses on this rare metal. Rockwood Holdings (ROC) is another prominent manufacturer which is focused on the production of lithium chemicals.

How to Buy Lithium ETFs

Exchange traded products can be an efficient way to access lithium. The most targeted product is the Global X Lithium ETF (LIT), which offers investors exposure to the performance of the lithium industry. This ETF holds a global portfolio of companies engaged in everything from lithium mining to exploration and lithium-ion battery production.

Tesla Motors, Inc.’s (TSLA – Analyst Report) decision to build a $5 billion Gigafactory to meet its requirement of lithium-ion battery packs brought glaring focus on the shortage of supply of this emerging energy storage technology. Lithium-ion batteries are used by many auto manufacturers, including General Motors Co. (GM – Analyst Report), Navistar International Corp. (NAV – Analyst Report), BMW, Daimler AG (DDAIF) and Ford Motor Co. (F – Analyst Report). They are also used in cellphones, laptops, and other electronic devices as well as in the aerospace and defense sector.

However, the market for lithium-ion batteries has a lot of untapped potential. Tesla, for example, is facing problems in meeting the demand for its electric cars due to shortage of battery packs, which is limiting its production capacity. This was one of the chief reasons behind its decision to build a large-scale factory to produce lithium-ion batteries in collaboration with various partners. The electric carmaker’s Japanese battery pack supplier, Panasonic Corp. (PCRFY), is widely believed to be one of the partners.

By 2020, Tesla expects the annual lithium-ion battery production of the Gigafactory to exceed the global production in 2013. The factory will produce enough battery packs to allow Tesla to build around 500,000 electric cars annually by 2020.

However, Tesla’s Gigafactory will not start production until at least 2017. Till then, the focus will be on other lithium-ion battery manufacturers. Thus, it would be a good idea to invest in some companies that manufacture these batteries.

Two of our Favorite Stocks to Watch:

Arotech Corp. (ARTX) has two business divisions – Training and Simulation and Battery and Power Systems. The Battery and Power Systems division manufactures and sells Lithium and Zinc-Air batteries and chargers for the Military.

Arotech reported a 150% positive earnings surprise in the third quarter of 2013. This Zacks Rank #3 (Hold) stock is expected to report 100% and 411.11% year-over-year growth in earnings per share (EPS) in fourth-quarter and full-year 2013, respectively, based on the Zacks Consensus Estimate of 2 cents and 28 cents, respectively.

Arotech has a price-to-book (P/B) ratio of 1.3x, significantly lower than the industry average of 3.1x. Even the price-to-sales (P/S) ratio of 0.6x is lower than the industry average of 0.9x.

EnerSys (ENS – Snapshot Report) is the largest manufacturer, marketer and distributor of industrial batteries in the world. It also manufactures and distributes chargers, power equipments and battery accessories and provides aftermarket services for industrial batteries. The company recognizes the growing market share of lithium-based battery technology in the aerospace and defense sector, and is thus trying to develop products based on lithium and other new energy storage technologies to increase its market share in the aerospace and defense sector.

EnerSys, a Zacks Rank #2 (Buy) stock, reported a positive earnings surprise in each of the trailing 4 quarters with an average beat of 3.44%. The Zacks Consensus Estimate for the company’s fiscal 2014 (ending Mar 31, 2014) earnings is $3.87 per share, reflecting an estimated 9.01% year-over-year growth.

EnerSys has P/B ratio of 2.6x, far below the industry average of 6.5x. Its P/S ratio is 1.5x, also lower than the industry average of 1.9x. Long-term EPS growth rate for the stock has been pegged at 15.3%.

Read Investing in Lithium: The Energy Giants Part 2

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