7 A-Rated Stocks To Buy That Are All-Weather Winners


7 A-rated stocks to buy no matter what - 7 A-Rated Stocks To Buy That Are All-Weather Winners

Source: AdityaB. Photography/ShutterStock.com

Last week’s U.S. election was a long, protracted battle, with many states still in the process of tallying votes. Despite the political rollercoaster, the market hasn’t paused and is once again in rally mode.

Part of the political motivation for such optimism is the fact a divided Congress seems likely, with Democrats maintaining control of the House and Republicans maintaining control of the Senate. A divided government, cynical as it sounds, has traditionally meant gridlock. And gridlock means not much changes, which the markets like.

That also means stocks that have been doing well will continue to do well, especially those currently taking advantage of the big changes that have already occurred in our economy.

I’ve found 7 A-rated stocks to buy that are all-weather winners:

  • Etsy (NASDAQ:ETSY)
  • iRobot (NASDAQ:IRBT)
  • Logitech (NASDAQ:LOGI)
  • PennyMac Financial Services (NYSE:PFSI)
  • Stamps.com (NASDAQ:STMP)
  • Tupperware (NYSE:TUP)
  • Shutterstock (NASDAQ:SSTK)

Of course, gridlock isn’t a guarantee. With both of Georgia’s Senate races headed to runoff elections in January, it’s possible that Democrats will break Republican control of the Senate. Regardless, the 7 stocks ahead are all doing well on momentum and fundamental bases.

A-Rated Stocks To Buy: Etsy (ETSY)

The Etsy mobile app on a tablet display

Source: Shutterstock

This online marketplace specializes in goods made by individuals rather than big businesses. Etsy particular appeals to younger demographics that are interested in supporting individual craftspeople and artists, rather than large corporations with offshore factories.

And nowadays, it’s a great place to shop online for anyone looking for unique products. Most online shopping platforms have done well during the pandemic and ETSY is no exception.

Pre-pandemic this company was doing well, but as more of a niche player still finding its feet. No longer.

Now it has the cash to expand and build out its infrastructure. And with high unemployment, more sellers are joining.

The stock is up a whopping 224% year to date and while growth won’t sustain at that pace, it does have plenty of room to run.

iRobot (IRBT)

An iRobot (IRBT) Roomba inside Saturn electronic store

Source: Grzegorz Czapski / Shutterstock.com

If you had maid service before the pandemic, then there’s no doubt you had the dilemma about whether to let cleaners into your house for hours at a time. Was it safe given the COVID-19 pandemic?

For many, that meant coming up with a decent alternative. And one of those alternatives is to fire the maids and hire a robot. IRBT’s machines might not dust or do windows, but you can set them to clean your floors when you want, empty themselves and recharge themselves.

IRBT stock is up 66% year to date, yet it still trades at a P/E ratio of 15. When it comes to the rise of smart homes, there’s a lot of opportunity left for IRBT.

Logitech (LOGI)

Two receivers for wireless Logitech (LOGI) devices, plugged into a laptop computer.

Source: Somphop Krittayaworagul / Shutterstock.com

We’re all staying home a lot more than we used to. And that includes working from home.

One of the big trends of the past few quarters has been people setting up home offices and upgrading their electronics. This all is great news for LOGI, one of the world’s leading designers and manufacturers of peripherals for computers and digital platforms.

Whether you’re a gamer or a marketing manager, you’ve likely heard of LOGI. The Swiss company has been selling similar equipment since the early 1980s. And it has kept its product lines simple. Good products at a good price. Nothing fancy, but reliable quality.

And that has paid off for both companies that buy its equipment in bulk and individuals looking to upgrade what they have. LOGI is up nearly 100% year to date and will be a solid growth stock for years to come.

PennyMac Financial Services (PFSI)

image of small toy homes with a red arrow pointing up to represent reits to buy

Source: Shutterstock

Record low interest rates plus a massive trend in moving out of expensive urban and suburban areas means a good real estate stock is a big asset to a portfolio in 2020.

That’s where PFSI comes in. It’s one of the top four lenders in the U.S., and the second biggest lender of government loans. That means much of its mortgage business is underwritten by the U.S. government, significantly lowering its risk.

The company reported Q3 earnings on November 5, and PennyMac had a stellar quarter. Income was up 52% from the previous quarter and 338% for the same period year-over-year. And that’s on the back of a record Q2.

Yet PFSI stock is still cheap, selling at a P/E under 5, while the stock is up 67% year to date.

Stamps.com (STMP)

the stamps.com (STMP) logo on a sign outside of a corporate building

Source: Michael Vi / Shutterstock.com

This is another company that has been waiting for its big break, and got it when the pandemic turbocharged the digital economy.

Most individuals and small businesses know STMP from its ads and direct mail marketing of postage services. But the other significant piece of the business is its enterprise level software shipping and e-commerce solutions.

Obviously, both of these sectors are in significant demand right now. And this has certainly helped earnings as well as STMP stock price.

There’s also no doubt we’ve reached a point of inflection on digital mail services. More large businesses are now looking for new direct delivery solutions. That means STMP is in a great position.

The stock is up 203% year to date, but still isn’t particularly expensive given its growth potential.

Tupperware (TUP)

a tubberwear container on a table (TUP)

Source: nipastock / Shutterstock

Among all of these tech firms, a food storage company founded in 1946 might seem a bit out of place.

But this is the new TUP that was reorganized in 1996, and includes brands like Fuller, NaturCare, Nutrimedics and others. Their direct-to-consumer operation now has a number of product lines that appeal to more demographic trends and lifestyles.

Also, while unemployment hovers in the upper 7% range, TUP gives young entrepreneurs a chance to start working and recently unemployed workers a chance to begin a new career on their own terms.

What’s more, TUP is a global brand with a sales strategy that is very popular in emerging markets where access to goods isn’t as easy as it is elsewhere.

Earnings in Q3 were strong, with sales in the U.S. up 43%. TUP stock is up 278% year to date and has plenty of growth ahead.

Shutterstock (SSTK)

Neon sign of the Shutterstock logo glowing against an exposed brick wall in the San Francisco office of Shutterstock, Inc. (NYSE: SSTK).

Source: Nova Patch / Shutterstock.com

Once a mild-mannered online print shop for digital picture processing, SSTK is now in the content licensing business.

SSTK has always found the trend and made the most of it. And now, as the internet has grown up, one of the biggest needs is content, particularly visual content — for websites, email campaigns, mailers, etc.

Most people have access to free sites or, in the corporate world, access to one or more of the big three stock photo services. But that means as websites and microsites proliferate, everyone is accessing the same database of images.

SSTK is not only a unique spot for fresh images, but it also licenses music and editorial content. It’s in a great space with plenty of upside potential — that is, unless you think the digital revolution is just a mere fad (and spoiler alert: it isn’t).

The stock is up 62% year to date and is still pretty decently valued.

On the date of publication, Louis Navellier has long positions in ETSY, LOGI, PFSI and STMP in this article. Louis Navellier did not have (either directly or indirectly) any other positions in the securities mentioned in this article. 

The InvestorPlace Research Staff member primarily responsible for this article did not hold (either directly or indirectly) any positions in the securities mentioned in this article.

Article printed from InvestorPlace Media, https://investorplace.com/2020/11/7-a-rated-stocks-to-buy-that-are-all-weather-winners/.

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