The stock market has been a bit volatile this year, but there are some sectors that are still experiencing significant share price gains. For example, the Nasdaq 100 Technology Sector is up about 22% over the past 12 months. Those gains are pretty impressive, but a handful of tech stocks, have seen their share prices jump about five times as much.
Top 5 Safest Stocks To Buy Right Now: BlackBerry Limited(BB)
BlackBerry is best known to the public for its once-iconic brand of smartphones, but the company ditched hardware manufacturing recently and now serves as an enterprise software and services company. This transition is finally getting the attention of analysts, and an improving earnings outlook has earned the stock a Zacks Rank #1 (Strong Buy). The company has also managed to surpass EPS estimates in nine consecutive quarters. Still, this is one for the long haul, with earnings expected to expand at an annualized rate of nearly 19% over the next three to five years.
Top 5 Safest Stocks To Buy Right Now: Tesla Motors, Inc.(TSLA)
Tesla (TSLA) shares are on the verge of breaking down out of a multimonth consolidation range amid ongoing Model 3 production woes, executive departures and fresh worries about the future of autonomous vehicles after an Uber self-driving car killed a pedestrian.
Goldman Sachs analysts, in a recent note, reiterated a sell rating on worries about output and Q1 deliveries.
The company will next report results on May 2 after the close. Analysts are looking for a loss of $3.22 per share on revenues of $3.6 billion. When the company last reported on Feb. 7, a loss of $3.04 per share beat estimates by 11 cents on a 43.9% rise in revenues.
Top 5 Safest Stocks To Buy Right Now: Uniti Group Inc.(UNIT)
This real estate investment trust currently has a 12.6% dividend yield, which is often a red flag. Extremely high yields tend to come with very low share prices, which in turn is a healthy market reaction to deeply troubled business operations.
But maybe pigs do fly after all. This huge yield seems to stem from a misunderstanding, not some profound insight about impending doom.
It’s true that Uniti is tethered to another company that really does deserve plenty of crimson-flag-waving. Regional telecom Windstream Holdings (NASDAQ:WIN) reported a $2.1 billion net loss over the last four quarters, along with roughly breakeven free cash flow and negative EBITDA (earnings before interest, taxes, depreciation, and amortization) profit. Uniti is the new embodiment of Windstream’s former network infrastructure operations, which were spun out as a stand-alone business three years ago. Since then, Windstream’s future has only darkened, while Uniti has been edging away from its old parent company in many ways.
Sometimes, Uniti is punished for Windstream’s sins. But it’s obvious to me that Uniti walked away from the 2015 separation with the better deal. What we see today is a struggling telecom that spun out its most valuable and effective operations in a Hail Mary attempt to gain some financial stability. In the future, I fully expect Windstream to either go bankrupt or agree to a pennies-on-the-dollar buyout, just to salvage a tiny bit of shareholder and debt-writer value. When that happens, Uniti will go on supplying its services through some 4.8 million miles of fiber-optic network strands and 700 wireless towers, but to a whole new set of clients.
When that day comes, Uniti shares will take another big hit as many investors expect the dying Windstream to drag this company down behind it. Maybe I’ll buy more shares at that point, because Uniti’s long-term story is solid.
And in the meantime, you can’t beat that ultragenerous dividend yield.
Top 5 Safest Stocks To Buy Right Now: Tele Celular Sul Participacoes S.A.(TSU)
TIM Participacoes SA (NYSE:TSU) based in Rio de Janeiro, Brazil, the company is the sole wireless service provider throughout Brazil.
TIM Participacoes has expected earnings growth of 27.5% for current year. The Zacks Consensus Estimate for the current year has improved by 4.1% over the last 60 days.
Top 5 Safest Stocks To Buy Right Now: MeetMe, Inc.(MEET)
Often when you run across small-cap tech stocks, you have to pay a big premium for growth. But savvy investors don’t just chase highflying names, but also extreme values among small-cap stocks in the sector.
That’s what Meet Group Inc (NASDAQ:MEET) offers. Via its MeetMe website and app that go by the same name, Meet Group helps connect people and businesses with one another based on location. That sounds like a go-to segment to be in right now given the push for geolocation in every sector from retail to information technology, right?
The challenge is that Meet Group debuted a bit early, in 2011 before the mobile promise was fully understood and while investors were about to go “risk off” because of the European debt crisis. In the intervening years, sexier platforms like Facebook and Twitter and Snapchat have sucked all the oxygen out of the room, and this tiny $200 million company has been all but forgotten.
But quietly, the fundamentals of MEET have been improving impressively. Right now, Meet Group recorded 60% revenue growth in 2017 — and unlike other small-cap tech stocks, it actually posted plenty of actual profits.
Yet despite this impressive narrative, MEET shares are trading a single-digit P/E ratio 8! That’s if you act while the stock is still under my buy-below price.