Recent declines on Wall Street have been unnerving for most investors. So far in the year the S&P 500 index has lost around 21%. But you can still find some interesting stocks to buy right now.
Investing is a long-term strategy that helps many of us prepare for later years. Metrics suggest between 1991 and 2020, the average return for the S&P 500 index has been well over 10%.
For instance, let’s assume you are now 35 with $10,000 in savings and you plan to retire at age 65. You decide to invest that $10,000 in several robust stocks and exchange-traded funds (ETFs). You also will make an additional $4,800 in contributions annually at the end of every calendar year.
If the annual return is 8%, compounded once a year, at the end of those 35 years, the total amount saved will be close to $975,000. In practical terms, saving $4,800 a year would mean putting aside $400 a month or about $13 a day. And if the annual returns increased to 9%, the total goes over $1.2 million.
So, being millionaire may very well be within your grasp. These stocks to buy give you a possible route on how to get there.
|TXG||10x Genomics, Inc.||$41.72|
|MAR||Marriott International, Inc.||$136.46|
|SEDG||SolarEdge Technologies, Inc.||$280.40|
Stocks to Buy: 10X Genomics (TXG)
Biotech group 10x Genomics (NASDAQ:TXG) designs genetic sequencing technology. It has over 3,500 instruments in use in various research institutions around the world. The biotech name focuses on five primary areas: infectious disease, immunology, cancer, neuroscience, and drug discovery.
In early May, 10x Genomics reported Q1 financials. Revenue totaled $114.5 million, representing an 8% increase year-over-year. Diluted net loss per share was 38 cents, compared to a loss of 11 cents the year before. Cash and equivalents were $539.3 million.
Recently, 10x Genomics launched two new products designed to increase the adoption of its cell analysis platform. The Fixed RNA Profiling Kit contains new tools designed to improve the speed and efficiency of RNA sequencing. Meanwhile, the Nuclei Isolation Kit enables the generation of nuclei suspensions from frozen samples for a fraction of the time and cost.
Despite the growth of operations, TXG stock has tumbled over 7o% in 2022. Shares are trading at 10.56x trailing sales. Meanwhile, the 12-month median forecast stands at $100.
Bruker (NASDAQ:BRKR) supplies scientific instruments and material for various research and medical purposes. Its clients come from a broad spectrum of industries, such as biological sciences, pharmaceuticals, agriculture, and materials.
In early May, Bruker issued Q1 results. Revenue was $595 million, representing a 7.3% increase from a year ago. Diluted EPS was 49 cents, compared to 44 cents the year before. Free cash flow (FCF) was $58.8 million.
Recently, the company announced key innovations that focus on integrating mass spectrometry imaging with cell biology. Additionally, Brucker introduced a new, state-of-the-art detector for X-ray spectrometers. The XFlash 7 will increase sensitivity and speed of detection.
So far in 2022, BRKR stock has declined 27%. Shares are trading at 3.7x trailing sales. Finally, the 12-month median forecast stands at $78.
E-commerce platform Etsy (NASDAQ:ETSY) makes our list of stocks to buy because it’s benefited from the increase in online sales during the pandemic. Management is hopeful the online shopping trend will continue in the months ahead.
ETSY reported Q1 results on May 4. Revenue was $579.3 million, up 5.2% versus the first quarter of 2021. Diluted EPS resulted in 60 cents, and the e-commerce giant ended the quarter with $1 billion in cash and equivalents.
Recently, ETSY launched a purchase protection program for buyers and sellers. The platform will invest at least $25 million for refunds on purchases, without bringing any additional costs to sellers.
ETSY stock is down by 66% in 2022 and 56% over a 12 month period. Shares are changing hands at 29.1x forward earnings and 5.1x sales. The 12-month price forecast for ETSY stands at $130.
Stocks to Buy: Insulet (PODD)
Medical device manufacturer Insulet (NASDAQ:PODD) is known for its flagship product, the Omnipod drug delivery system. It is a wearable and programmable device that adheres to a patient’s body. It delivers the correct dosage at specified intervals.
In early May, Insulet reported Q1 financials results. Revenue totaled $295.4 million, a 17.1% increase from a year ago. Diluted EPS was 40 cents, compared to a breakeven quarter in the prior year. Cash and equivalents totaled $709.6 million.
Recently, the company broke ground on a new manufacturing facility in Malaysia, slated to begin production in 2024. Additionally, Insulet presented positive results from a study on its new Omnipod 5 insulin delivery system. This device is designed to be used in the treatment of both Type 1 and Type 2 diabetes.
PODD stock has lost around 22% so far this year. Shares are trading at 156.25x forward earnings and 12.10x trailing sales. The 12-month median forecast stands at $258.
Marriott International (MAR)
With around 8,000 properties, Marriott International (NASDAQ:MAR) is among the largest hotel chains worldwide. Its portfolio extends to 30 brands, including Westin, Sheraton, and Ritz-Carlton. Bonvoy, Marriott’s loyalty program, has over 140 million global members.
In early May, management announced Q1 earnings. Total revenue hit $4.2 billion, an 81% increase from a year ago. Diluted EPS was $1.14, compared to a diluted loss of 3 cents per share in Q1 2021. Cash and equivalents totaled $1 billion.
Since the beginning of June, Marriott has opened several new hotels around the world. Some of these new properties include the W Algarve in Portugal, Le Royal Meridien Doha in Qatar, and a Ritz-Carlton in Jordan.
MAR stock has declined more than 17% in 2022. Forward P/E and P/S numbers are 23.6x and 2.9x, respectively. Analysts’ 12-month median forecast is at $180.50.
Home-furnishings designer and retailer RH (NYSE:RH) has more than 70 venues in the U.S. and Canada, several of which are located in renovated historical buildings. Additionally, RH owns and operates restaurants and wine bars inside select store locations.
In early June, RH released Q1 results. Revenue increased 11% from a year ago to $957 million. Diluted net income per share was $12.16, compared to $4.19 the previous year. FCF was $107 million.
Recently, the company announced the opening of RH San Francisco in the historic Bethlehem Steel Building at Pier 70. The new store is a five-story gallery complete with a restaurant, wine bar, and rooftop garden. Investors are hopeful that the new venue will contribute to top line growth at RH.
However, RH stock has lost around half of its value so far in 2022. Forward P/E and P/S numbers are 9.42x and 2.01x, respectively. Lastly, the 12-month median forecast stands at $400.
Stocks to Buy: SolarEdge Technologies (SEDG)
Alternative energy component specialist SolarEdge Technologies (NASDAQ:SEDG) provides photovoltaic arrays to increase energy output levels. It has developed the DC optimized inverter that lowers costs.
SEDG put out Q1 results on May 2. Revenue was a record $655.1 million, up 62% from last year. Diluted EPS was $1.20, up from 98 cents from a year ago. The energy innovator generated strong cash flow of $163 million, compared with $24.1 million a year ago.
Recently, the solar powerhouse launched a home energy management portfolio in Europe, expanding its market to the environment-conscious continent. Moreover, SolarEdge opened a 2 GWh battery cell plant in South Korea to meet the growing demand for battery storage.
SEDG stock is around flat so far in the year. Shares are trading at 38.2x forward earnings and 7.1x sales. Analysts’ price forecast for SEDG stands at $359.
On the date of publication, Tezcan Gecgil did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.