The stock market starts with a wild start in early 2021. Strong performance for technology companies and the increased potential for another major stimulus round added strong momentum. But the recent volatility has kicked off by the short-press mania surrounding GameStop and a handful of other companies lead to uncertainty and complicate the picture.
While it makes sense to keep up with the developments of the day, investors will usually be able to serve best by keeping a long-term focus and placing their dollars behind strong companies that plan to distance themselves. Read on for three promising growth stocks worth buying in February.
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1. PubMatic
Digital advertising has reformed the media landscape. The move has pulled dollars away from distribution media, including cable television and print media, but the overall effect goes far beyond just shifting spending to new channels. This has enabled great growth in the wider space for digital communication.
In addition to serving as the basis for Alphabet and FacebookThe technology-rich digital advertising is the core of the internet experience and economy. For most pages you visit on the Internet, digital advertising is the monetary fuel that keeps the machine running – whether through direct ad placement or data collection used to deliver your ads along the way. PubMatic (NASDAQ: PUBM) is a company that offers software to make advertising more and more flexible and hyper-targeted, and it can have a long runway for growth.
Programmatic advertising is an approach to buying and targeting ads that changes the game. The integration of data analytics and artificial intelligence provides PubMatic and other players in the space software for the cloud to automate the purchase of ads. With this approach, companies can get more out of their advertising dollars, and expenses can be quickly diverted to other opportunities that deliver better results.
PubMatic’s share price has risen about 41% since closing on the day of its first public offering in December 2020, and the company now has a market capitalization of about $ 1.9 billion. It’s not the only player in the space, and larger competitors, including The commercial bank and Magnet (1 470% and 1 670% respectively over the past three years) will compete for category growth, but PubMatic has a good chance of delivering strong performance and delivering impressive returns.
2. Amazon
Amazon (NASDAQ: AMZN) may play a greater role in shaping the next few decades than any other enterprise on earth. The technology giant already has leadership positions in e-commerce and cloud computing, two of the most influential industries on the planet, and the continued growth of online retail and communications is at the heart of reforming business and everyday experiences.
Amazon is also significantly pushing the digital advertising market, challenging category leaders, including Alphabet and Facebook. This growth bet can pay off big in the long run, and this is what investors should be excited about.
According to ResearchAndMarkets, the global digital advertising market generated $ 169.7 billion in 2020. The industry is expected to grow by a compound annual growth rate of approximately 11.9% by 2023 and reach $ 237.5 billion at the end of the forecast period.
As more commerce and communications increasingly move to online channels, the digital advertising market has room for continued growth. Even better, the strengths of Amazon’s individual businesses reinforce each other and this must continue in the future.
The company has huge advantages when it comes to technological infrastructure and data, and its leading online retail platform naturally stands out as a valuable destination for advertisers. Cloud computing and a huge e-commerce platform have laid the foundation for pursuing other promising growth initiatives, and these projects also have the potential to further strengthen the two core pillars. Amazon’s overall business is a thing of beauty.
3. Take-two interactive
Take-two interactive (NASDAQ: TTWO) has been one of the biggest success stories in the video game industry for the past decade. The company’s share price rose about 1,500% over that time, and the growth for its market capitalization was even more impressive by almost 2,100%, thanks to the added benefit of creating new shares. Much of that incredible achievement came from Grand Theft Auto V (GTA V)Take-Two’s most successful game ever – and by some accounts the most lucrative release in history.
Take-Two released the first versions of the game in 2013, and it continued to send the game to new platforms. This expanded the game’s audience and generated extra revenue as players purchased the game multiple times to gain access to improved graphics and expanded features. Take-Two also liked GTA V alive and thriving with the help of regular content updates for its online multiplayer mode, and the title has now shipped more than 135 million copies and made billions of dollars in high-margin content sales.
Now Take-Two will release an updated version of GTA V on Sonyse en Microsoft‘s respective next generation consoles, and it looks like the title still has a lot of kick in it. Release new content updates Grand Theft Auto VThe online mode to keep players busy and to spend money on the game was very lucrative for Take-Two, and the debut on PlayStation 5 and Xbox Series X and S at the end of 2020 will help the company do even more. lifetime to get record title.
With Take-Two ready, it’s likely to be another very lucrative version GTA V, and see high performance for other franchises, including NBA 2K and Red Dead Redemption, the company has never looked stronger.