The year 2020 has been an unpredictable one, and this has caused a lot of instability in the financial market. As such, investors are eagerly looking forward to 2021 to see which stocks will perform well and provide their portfolios with the much-needed stability. This article highlights the top five business news stocks to watch in 2021.
1. Amazon (AMZN)
Amazon has been a resilient stock throughout 2020, despite the pandemic. This company has found a way to stay profitable and has even grown its market share during the pandemic. In 2021, Amazon is expected to continue to dominate the online retail space, which makes it a relatively safe investment. Additionally, Amazon continues to grow its cloud computing business, which is expected to bring in even more revenue than its retail operations.
2. Tesla (TSLA)
Tesla has been the darling of 2020, with its shares surging more than 700% in the last 12 months. The company has ambitious plans for the future, which include increasing the production of its electric cars and expanding into the energy storage space. Experts predict that the company’s potential entry into the S&P 500 could drive up its stock price even further.
3. Microsoft (MSFT)
While Microsoft is primarily known for its software products, the company has successfully diversified its portfolio over the years, including its cloud computing division. In 2021, the company is poised to benefit from the growing demand for cloud services, which is expected to continue well into the future.
4. Alibaba (BABA)
Alibaba, China’s largest e-commerce player, has expanded its operations beyond its home base in recent years. The company has successfully penetrated the Southeast Asian market, which has boosted its revenue. For 2021, investors are likely to keep a close eye on the company’s performance, particularly with the ongoing US-China trade war and how this could affect its operations in the long run.
5. Shopify (SHOP)
Shopify is another company that has performed well during the pandemic, with its shares surging more than 180% over the last 12 months. The company provides an online platform for small businesses to set up and run their online stores, making it an attractive option for investors. Experts predict that the company’s customer base will continue to grow, especially with more businesses shifting to online operations.
In conclusion, investing in the right stocks in 2021 could prove to be very lucrative, particularly with the recovery of the global economy. While these five stocks are by no means the only choices available, they represent a diversified portfolio that could provide investors with stability and growth potential. Investors should do their own research and due diligence before making any investment decisions.
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