Sleeper Hits: 3 Unexpected Stocks Poised for a Breakout in 2024


  • Here are three names that could easily become surprise breakout stocks for 2024.
  • GSK (GSK): An investment bank appears to have made the Street finally take note of the firm’s low valuation.
  • First Solar (FSLR): The Street is becoming more upbeat on solar energy in general and FSLR in particular.
  • BlackBerry (BB): BB looks poised to carry out a strategic transaction that will boost the shares. 
breakout stocks for 2024 - Sleeper Hits: 3 Unexpected Stocks Poised for a Breakout in 2024

Source: Banpot

Wall Street’s views on stocks and sectors can change tremendously in a short time. For example, in early 2022, the Street was sure that Luckin Coffee (OTC:LKNCY) was dead and buried. By the end of that year, the firm’s shares were soaring. Similarly, in early April 2023, Rivian’s (NASDAQ:RIVN) shares had slumped to around $12.80, and the conventional wisdom contended that the firm was destined for the trash heap. At the end of the year, the shares had nearly doubled to $23.46. So which names will be surprise breakout stocks for 2024? Here are three sleeper equities that could surprise the Street.


A GlaxoSmithKline (GSK) office in London.
Source: Willy Barton /

I believe the Street has been irrationally worried about the lawsuits against GSK (NYSE:GSK) over allegations that its Zantac drug had caused cancer. Investment bank Jefferies expects the Zantac cases to resolve for the relatively low sum of $3 billion to $4 billion. The company’s EBITDA over the 12 months that ended in September was $9.2 billion. And, the bank believes that the stock, which has a low forward price-earnings ratio of nine, is undervalued. Which has led to Jefferies giving the Street the green light to buy GSK shares. On Jan. 3, Jefferies upgraded its rating on the shares to a buy.

In the wake of Jefferies’ note, GSK jumped nearly 4% during late-day trading On Jan. 3 to $38.90. It continued to climb on Jan. 4 and closed out the day above $39. The rally could mark a positive turning point for the shares, marking the beginning of its emergence as one of the breakout stocks for 2024.

First Solar (FSLR)

Person holding smartphone with logo of US renewable energy company First Solar Inc. (FSLR) on screen in front of website. Focus on phone display. Unmodified photo.
Source: T. Schneider /

Last year, many solar companies struggled due to high interest rates. This was compounded by California’s decision to reduce the amount that utilities pay for solar-generated electricity and elevated inventories in Europe. As a result, the Street soured tremendously on solar stocks.

But due to the EV revolution, tech firms’ rapidly growing use of electricity and many governments’ continued commitment to solar, the sector’s long-term future remains bright. That’s especially true for the companies that specialize in selling products to utilities, which aren’t as impacted by elevated interest rates. The Street seems to be embracing that idea, as two banks recently issued very positive notes on First Solar (NASDAQ:FSLR).

Goldman Sachs (NYSE:GS) recently named FSLR as one of its top picks. The investment bank thinks that FSLR is in a position to benefit from the U.S. government’s solar tax credit. Meanwhile, Japanese bank Mizuho increased its price target on FSLR to $196. It is predicting that the prices of solar modules will be high, while the demand for solar module from utilities in America will be elevated.

BlackBerry (BB)

An image of people all holding cellphones with reaction icons coming off the screens

On Dec. 11, BlackBerry (NYSE:BB) announced that it had decided not to follow through with its previous plan of spinning off its Internet of Things unit. But the company still appears to have plans to carry out some sort of strategic transaction in the near-to-medium term. It disclosed that its IoT and Cybersecurity units would become standalone divisions. Speaking on the company’s earnings call last month, its new CEO, John Giamatteo, said that separating the units provides BB with more options in the future.

The firm’s Internet of Things unit should attract many suitors. Its top line grew 8% in the third quarter versus the same period a year earlier. Meanwhile, it expects sales to have reach a record $62 million to $66 million in Q4.

Also noteworthy is that multiple automakers remain interested in the company’s auto app platform, called IVY, and Giamatteo said that the firm could announce another design win for IVY at the Consumer Electronics Show next week.

On the date of publication, Larry Ramer held long positions in BB and RIVN and his wife held a long position in LKNCY. The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines.

Larry Ramer has conducted research and written articles on U.S. stocks for 15 years. He has been employed by The Fly and Israel’s largest business newspaper, Globes. Larry began writing columns for InvestorPlace in 2015. Among his highly successful, contrarian picks have been SMCI, INTC, and MGM. You can reach him on Stocktwits at @larryramer.

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