This market has climbed a wall of worry so many times that it seems like something has to slow it down.
But it keeps on rising all the same.
The U.S.-China trade war hasn’t slowed it down. Brexit came true and it continues to rise. The coronavirus has shut down China, and yet the markets keep chugging along.
But the reality is, the U.S. remains a safe haven for investors from around the world. And the U.S. consumer continues to grow in confidence. Earnings continue to rise. Interest rates are low, but they’re better than most other industrialized nations.
That means the cash keeps rolling in.
These seven exciting stocks to buy for aggressive investors are a great way to ride some of that positive momentum. Most of these are small companies that have unique niches that are part of this growth story. In fact, several of them stand to benefit from the biggest technological shift of the decade – just gearing up now.
They may not be long-term picks, but they can turbocharge your holdings as long as the good times continue to roll.
Exciting Stocks to Buy: Intelligent Systems (INS)
Intelligent Systems (NYSEMKT:INS) is an interesting company that has been around since 1973.
Basically, it’s like a boutique private equity firm that buys into hot technologies as they gain a foothold in the economy. It buys small firms, runs them, sells them off to bigger firms and then keeps moving.
Its most recent foray is in financial technology (fintech). It currently owns a company called CoreCard Software that provides credit and debit cards, prepaid cards, private label cards and the software and other solutions to allow issuing companies to manage these products.
Instead of fighting for space with bigger firms in major markets, it looks for niche markets that other competitors have ignored.
Its two big markets now are Romania and India. And it’s growing like kudzu.
The stock is up 103% in the past 12 months but its trailing price-to-earnings ratio is only 38.7. And its earnings keep coming in strong. It’s a strong standalone pick, and if a suitor comes in, it will land a big premium.
ACM Research (ACMR)
ACM Research (NASDAQ:ACMR) is a tech firm that is in a niche only a Silicon Valley company could love. And it gets a lot of love.
Right now, that love is happening in the stock market — ACMR is up a whopping 113% year-to-date and 316% in the past year.
It is the leading firm in single-layer wafer wet cleaning technology.
When silicon wafers are made into chips, they pass through a number of different processes. After each process impurities can creep in, which will hurt the performance and reliability of the chips. ACMR cleans the chips after each process to make sure they come out pristine and operational.
Its machines are like car washes for silicon wafers. And this is crucial for next-generation chips as they get more and more intricate.
Its market capitalization is only $746 million, but if chip stocks are doing well, then ACMR will be thriving too. And given its size, the growth in the sector is leveraged for ACMR stock. Speaking of ACMR’s chipmaker clientele, there’s a revolutionary chip hitting the market that you won’t want to miss in 2020.
Roku (NASDAQ:ROKU) is likely the only stock of this bunch that is a familiar company.
But its rise illustrates the potential for similar small stocks on the ground floor of big ideas.
It went public in September 2017 at around $26 a share. It’s now trading near $140 a share. That’s over 420% growth in less than 3 years. And in the past year, the stock is up 185%.
When it went public, cord cutting was still in its infancy. Roku made its mark because larger companies had a lot of money wrapped up in cable and satellite television platforms and never thought an upstart internet streaming platform would ever challenge them.
They were wrong.
And because it was reliable and adaptable (and free), more and more people dropped their cable providers and started streaming. Now the big guys are trying to catch up but can’t figure out a decent revenue model.
The head start has paid off for Roku and it continues to be the streaming platform to beat. It now sports a respectable $16.7 billion market cap. And streaming providers like ROKU can really take off now that a key piece of infrastructure technology is popping up nationwide and making ultra-fast internet a reality across the country.
Aspen Aerogels (ASPN)
Aspen Aerogels (NYSE:ASPN) specializes in an insulating technology that seemed like science fiction just a decade ago.
Now, thanks in large part to ASPN, aerogels are becoming the go-to insulation for energy infrastructure (refineries, land-based and deepwater pipelines) and similar industrial uses.
It’s one of the most effective thermal insulators on Earth, and one of the most exotic. But it works very well in keeping temperatures stable in very harsh environments and is extremely durable.
While it might come at a premium to install it, over the long term it pays for itself. And the concept is catching on with fossil fuel companies as well as renewable energy firms.
The company has been around since 2001, and only has a market cap of $230 million, so it’s still growing in the marketplace. It’s a great growth story and is also a very attractive takeover target in coming years.
The stock is up 178% in the past year, but remember its fate now lies on a healthy energy sector.
Alphatec Holdings (ATEC)
Alphatec Holdings (NASDAQ:ATEC) is a medical device maker specializing in spinal fusion technology.
This is certainly a unique niche that the company has successfully built into a wide moat. That’s the kind of business that I’m looking for in my Growth Investor recommendations.
Its technology isn’t just for issues among the graying boomers, but it’s also for people that suffer from scoliosis (curvature of the spine of more than 10 degrees).
Its technology allows for more movement than earlier solutions in spinal fusion. That increased mobility means its products are much more useful to more people.
ATEC already has a $395 million market cap in a sector that is generally pretty conservative when it comes to new devices. And ATEC stock is up 312% in the past year.
Orion Energy Systems (OESX)
Orion Energy Systems (NASDAQ:OESX) sounds like it might be an exploration and production company, fracking for oil in the Permian Basin.
But it’s actually a commercial and industrial lighting company that builds energy efficient lighting systems for large spaces.
This might not sound like a great business, but given the rise in new warehouses for faster delivery in this world of e-commerce, this is a big deal. Also retrofitting older buildings with more efficient lighting is one of those small things that makes a big difference.
Remember, the logistics game is a pretty low-margin industry, and wherever you can save money is a big deal. Improved lighting also helps productivity since workers can see better — whether they’re humans or robots. Better lighting also means a safer work environment.
I’ve liked this stock for a while. It’s up 570% in the past year. That’s not a typo — 570%. And it still trades at a trailing P/E of a mere 15.6. It’s gone from a penny stock (85 cents) to a $6 stock in the past year. Yet it’s market cap is still only $197 million.
Envela (NYSEMKT:ELA) is the smallest company in this list, with a market cap of just $61 million.
But ELA stock was up more than 400% in the past 12 months. And it still sports a P/E that’s just a hair below 24.
This isn’t a tech company or some little biotech that has discovered a cure for Alzheimer’s. It buys and sells jewelry, fine watches and diamonds. It also has gotten into the business of buying used computers, cleaning them up and selling them abroad in developing nations.
Envela’s headquarters is in Dallas, Texas, and it’s been in business since 1965. It has two retail locations for its jewelry business as well as e-commerce sites and wholesale operations.
Both sides of the business are doing well now, yet the stock has yet to hit its historic highs. It has been publicly traded for 20 years and ELA stock has approached the $10 mark on a couple of occasions.
Rising gold prices and increasing global computer demand are both bullish signs for the company.
There’s just one thing that’s held back internet adoption in many regions: broadband access. Many folks simply have no access to high-speed cable internet networks and may even still be relying on dial-up.
Luckily, the companies I’m particularly keen on now are facilitating the spread of ultra-fast internet worldwide — anywhere there’s a cell tower.
The 5G Buildout Is an Incredible Opportunity for Investors Right Now
Within two years, most cell phones will be 5G enabled and be able to wirelessly handle television streaming. With 5G, we’ll have cable modem speeds on any device; no need to plug in. That’s a big deal for rural areas … the very same areas that are also key to President Donald Trump’s reelection. So, by pushing 5G over the goal line, Trump will deliver a big win for his base — and strike a blow against Chinese rivals like Huawei Technologies.
But, in the big picture, 5G is about much more than trade wars and faster downloads. Because 5G is 100 times faster than 4G, it’ll allow your internet devices to work in real time. That advancement is a game changer for tech companies.
With the 5G infrastructure market set to grow at an annual rate of 67% over the next 10 years, the entire market will go from $780 million to nearly $48 billion. This buildout is where I see opportunity with 5G stocks now.
Cable companies can do their best to fight back with fiber optics … but they can’t compete with the convenience of a smartphone, once it’s got ultra-fast 5G. That’s how my 5G infrastructure play will capture more market share from the broadband cable companies.
The stock I’m targeting is enjoying an influx of big money on Wall Street, and it has strong fundamentals, too — making it an A-rated “Strong Buy” in my Portfolio Grader system.
When you do, you’ll see how to claim a free copy of my new investment report, The Netflix of 5G, which has full details on this company — and what makes it such a great buy now.
Louis Navellier had an unconventional start, as a grad student who accidentally built a market-beating stock system — with returns rivaling even Warren Buffett. In one recent feat, Louis discovered the “Master Key” to profiting from the biggest tech revolution of this (or any) generation. Louis Navellier may hold some of the aforementioned securities in one or more of his newsletters.