Finance

Top 3 Stocks to Buy in 2018: Time to Invest

First off, before we move on, we must remind you that you should do your own due diligence before investing because that’s how investors get rich and avoid losing money.

Having said this, you should start looking for investment opportunities for the next year, and this article will share with you the top 3 promising stocks that are expected to have an excellent performance in 2018.

#1 – Xperi Corporation (XPER):

The previous year was bright and prosperous for Xperi Corporation (formerly Tessera Technologies). The market reacted very well when the company decided to acquire audio technology firm DTS in September 2016 for approximately USD 850 million.

However, this year hasn’t been so good for Xperi Corporation. It suffered a major drop during the last quarter of 2016, and this trend has continued through 2017. Therefore, the shares of this company are in a bearish territory right now.

Nonetheless, it is a good stock to invest in because it might have an excellent performance in 2018 because the synergy between Xperi Corporation and DTS has brought them the power, talent, and resources to deliver the next generation of imaging and audio solutions to the most important industries in the world.

Therefore, you should keep an eye on it, because it might offer you an excellent return the next year. And before you move on, you should take a look at Market Review if you want to learn about more investment opportunities for 2018.

#2 – Netgear (NTGR):

This company is very well known for developing and fabricating Wi-Fi routers, but they also have an important share of the market of Wi-Fi cameras with Arlo. It has become a significant referent in this field because the demand for home security products is growing rapidly.

Although, competition from Alphabet Inc. offering Google Wi-Fi has produced NTGR stocks to tank by 20% in 2017, offering investors an excellent entry point.

It is a promising stock because the margins will improve by 2018, and on top of that, the company has a dominant market share in the major sectors of this industry, so it is wise to say that will experience excellent growth once they start implementing their latest marketing plans.

Moreover, it is important to note that the company has a huge 10x free-flow cash multiple, which is something that will feed this expected growth in 2018.

In addition, if you are looking for a long-term hold then this can be an excellent investment because the home security industry is growing and people are starting to realize its big importance in their lives. Therefore, we can expect Netgear to appreciate in value with the pass of the years because unlike other minor players, they have an excellent market share that is hard to beat even by other big players like Alphabet Inc.

#3 – BankUnited (BKU):

If we compare BankUnited to other banks in the region, then we will find that it has had a catastrophic performance. To put it into perspective: BKU has dropped by double digits this year. This alone proves that this year hasn’t been the best for BankUnited.

However, this drop offers an excellent entry point for investors and not only that, because BKU shares might experience a significant appreciation in value in 2018 due to the following reasons:

  1. Expected higher interest rates
  2. The opportunity to lend more profits
  3. Real estate markets growing stronger

This is supported by traders who expect the Fed to raise interest rates in the middle of 2018.  It is easy to see from here that banks will be greatly benefited by this, and you can join this upcoming rally by buying BKU shares because the entry point is significantly much cheaper than other options around.

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