Top 10 Safest Stocks For 2019

Gold rose above last week’s closing level of $1,347.90 an ounce in Monday’s trading as threats of “actual wars” pushed the price of the yellow metal.

Prices had earlier touched a five-week high in March 2018 as threats of a trade war between the United States and China weighed on the dollar and equities. On Jan 25, spot gold touched a high of $1,366 an ounce. Gold value has increased more than 2% in 2018 so far, after recording a healthy 12% gain last year.

As markets remain skeptical in the face of the ongoing geopolitical tensions, prices are expected to move northward.

Top 10 Safest Stocks For 2019: Retail Opportunity Investments Corp.(ROIC)

While many investors grapple with uncertainty surrounding the state of the retail industry, Retail Opportunity Investments has been busy carving out its own sustainable niche. This real estate investment trust (REIT) focuses on buying and revitalizing grocery-anchored retail properties in mid- to high-income areas in the Western United States. Their necessity-based nature means those properties have proven largely immune to broader retail-industry struggles, enabling the company to maintain healthy lease rates (above 97% for the past 15 quarters), and giving it pricing power for base rents (up 21.6% and 8.3% on new and renewed leases last quarter, respectively).

Perhaps best of all for prospective buyers of the stock, Retail Opportunity Investments has pulled back around 13% over the past year even as the company continues to steadily build its portfolioand demonstrate its relative strength. With shares now trading at a reasonable 14.5 times this year’s expected funds from operations, and with a dividend yielding around 4.6% annually as of this writing, I think Retail Opportunity Investments is easily one of the market’s most promising retail stocks today.

Top 10 Safest Stocks For 2019: Xcerra Corporation(XCRA)

Little-Known Stocks to Buy: Xcerra (XCRA)

Source: Shutterstock

 

Xcerra Corp (NASDAQ:XCRA) is fundamentally in the business of making and operating semiconductor testing equipment.

While this has been a traditionally cyclical market, the fact is, now that more and more “dumb” devices are now becoming “smart,” chipmakers are able to create longer tails on their chip production. That makes the lag between new generations of chips shorter and provides more stability for companies like XCRA.

Also, since there are growing uses for chips, XCRA is in a much better position than big chipmakers since they are constantly under pressure to innovate to keep up with current technological demands, whereas XCRA simply needs to make sure its diagnostic and performance equipment can deliver the results clients are looking for.

Up  38% this year, and sporting a $745 million market cap, this one could be moving up to the mid-cap sector pretty soon.

Top 10 Safest Stocks For 2019: Euronet Worldwide Inc.(EEFT)

Euronet Worldwide (NASDAQ:EEFT) provides payment and transaction processing and distribution solutions to financial institutions and retailers worldwide.

The company’s total revenue stands at $2,252 million as of fiscal year ending December 2017. This is 77.7% higher than the $1,268 million achieved in fiscal year December 2012 and represents a five-year CAGR of 12.2%. Euronet Worldwide’s revenue growth has also steadily ranged from 6.5% to 17.8% over the last five fiscal years.

Analysts are estimating that Euronet Worldwide’s total revenue will reach $3,869 million by fiscal year 2022 representing a five-year CAGR of 11.4%.

Applying these assumptions to 8 valuation models imply nice upside for shareholders.

Euronet Worldwide’s stock currently trades at $86.43 per share as of Tuesday, up only 2.8% over the last year. However, finbox.io’s intrinsic value estimate suggests that shares could increase 34.1% going forward.

Top 10 Safest Stocks For 2019: SolarEdge Technologies, Inc.(SEDG)

Solaredge Technologies also reported on its latest quarterly earnings results.

For its first quarter, the solar energy products provider announced revenue of $209.9 million, which was ahead of the $205 million that analysts were calling for in their consensus estimate.

Solaredge Technologies also impressed in its earnings call as the company reported adjusted earnings of 87 cents per share. Wall Street was calling for adjusted earnings of 80 cents per share.

For its second quarter, the company is calling for revenue in the range of $220 million to $230 million, ahead of analysts’ forecast of $208 million. Solaredge Technologies also announced that it is entering the multibillion-dollar market for uninterruptible power supplies as it will acquire Gamatronic Electronic Industries.

SEDG stock soared 16.5% during regular trading hours and fell 0.2% after hours.

Top 10 Safest Stocks For 2019: Tesla Motors, Inc.(TSLA)

Shopify stock is up more than four times in value over less than three years since coming public. And yet, over the course of those three years, the company’s losses have doubled (from $19 million in 2015 to $40 million last year), and its rate of cash burn, — less than $1 million in 2015 — has swelled to more than $12 million burnt over the past 12 months.

So why is Shopify stock so popular? Sales growth appears to be investors’ primary motivator. In 2015, Shopify took in $205 million in revenue — up more than eight times from the $24 million in sales booked in 2012. Last year, Shopify’s sales had swelled to more than $673 million, another three-fold increase — close to a 100% annualized growth rate.

Is there any other company we know about that can match that kind of performance? Actually, there is: Tesla.

Like Shopify, Elon Musk’s electric car company, Tesla, has posted astounding sales growth off of a very small base. It may be hard to recall today, but as recently as 2011, Tesla had only sold 1,500 or so cars since its creation. Even today, with more than 250,000 cars sold, Tesla’s entire "lifetime achievement" is fewer cars than GM sells in a month. Growing off its exceedingly small base, finviz.com calculates that Tesla’s sales have grown at a very Shopify-like growth rate of 95%, annualized.

Granted, Tesla still isn’t profitable. Then again, neither is Shopify, and that doesn’t seem to be slowing down its stock growth. And like Shopify, Tesla is expected to turn profitable as early as 2020. If you’re looking for a rocket stock that could put Shopify’s returns to shame, look no further than Tesla.

 

A red Tesla Model S.

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