![]() According to Forbes, the S&P 500 stock index fell by over 20% between January and July, leading to intense economic fear. stock market plunging into bear territory, investors have typically been wary when it comes to picking up new stocks. To skip our detailed analysis of cheaply-valued stocks that are set to gain in the future, you can go directly to see the 5 Stocks That Will Skyrocket. ![]() Considering its dirt-cheap price tag and long-term growth potential, Alibaba stock could easily double from here.In this article, we will be taking a look at 10 stocks that will skyrocket. On a separate note, Chinese stocks should get help from a more consistent trade policy from the U.S. In its most recent quarter, revenue jumped 30% to $22.8 billion, and adjusted operating income rose 44% to $4.4 billion. Additionally, it has a thriving cloud-computing business, and valuable subsidiaries in areas like logistics and digital entertainment. It's now generating more than $1 trillion in annual gross merchandise volume on its platforms, which include Tmall and Taobao in China and Lazada in Southeast Asia. The Chinese company has the bigger e-commerce marketplace of the two. Its closet American analog is probably Amazon, which is much more expensive than Alibaba but less profitable. However, Alibaba is a fast-growing tech stock with a multitude of competitive advantages. Most important, Alibaba is simply too valuable to China to be seriously damaged.Ĭhinese stocks tend to trade at a discount to their American peers because of such regulatory and trade-related fears, but Alibaba is now valued at a P/E of just 25, significantly cheaper than the average stock in the S&P 500. It seems the Chinese Communist Party is mostly looking to save face after recent criticism from Alibaba founder Jack Ma. Shares of Alibaba, the Chinese tech giant, plunged at the end of December when Chinese authorities announced it was the target of an antitrust investigation.īut that just made an already cheap stock even cheaper, as it now looks like investors' worst fears won't be realized. Nonetheless, GM is valued as a stagnant legacy automaker, trading at a P/E of less than 10 based on this year's expected earnings. It also expects to have 1 million EVs on the road by the middle of the decade.Īdditionally, GM's autonomous vehicle division, Cruise, was last valued at $19 billion, showing the company has a strong position in the self-driving car race. ![]() GM aims to invest $27 billion in EVs by 2025 and to produce 30 different EV models globally by 2025. By contrast, about 75 million vehicles are sold worldwide, meaning there's plenty of room for a legacy manufacturer like GM to take market share as demand shifts to EVs - and the company has big plans to do so. Tesla, the largest EV company, is expected to produce about 500,000 cars in 2020. Whether or not there's a bubble in EVs, one thing is clear: It won't be a winner-take-all market. In fact, the Chinese EV maker NIO now has a bigger market cap than GM, one of the biggest auto manufacturers in the world, and Tesla's market value is now 10 times the size of GM's. Shares of manufacturers like Tesla and NIO have skyrocketed, finishing the year up 750% and 1,100%, respectively, while others like Workhorse Group have been big winners as well. There's no question that electric vehicle (EV) stocks were among the biggest winners of 2020. The company also just increased its stock repurchase authorization by $1.5 billion, indicating it plans to take advantage of the stock's discount. You might think a stock experiencing such a sales boom and a tailwind after the reopening would be expensive, but AutoZone is trading at a P/E of just 15. With another stimulus package just passed, AutoZone is likely to see another wave of spending in its stores over the coming months. 21, and earnings per share rose 30% to $18.61. Comps at AutoZone jumped 12.3% in its most recent quarter, which ended Nov.
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