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Goldman Sachs: these three stocks could rise at least 40%
Let’s talk volatility. The NASDAQ kicked off this week with a dip in the correction area, a drop to just over 10% below its February high. And now? After three trading sessions, the index fell by 5.5%. Behind the volatility lies an economy that is capable of shutting down. The Goldman Sachs strategic team views the number of jobs in February, along with the COVID relief package in Congress (the House has just passed the Senate version and sent the bill to President Biden’s desk) as net positive. Goldman economist Jan Hatzius predicts a 7.7% GDP for 2021 and says of immediate conditions: ‘The main reason we expect a rise in rents this year is that reopening, fiscal stimulus and slashed savings are a lot strong growth in demand must stimulate. ‘ Following Hatzius’ optimism, Goldman’s stock analysts were working on the stocks they see as potential winners under current circumstances. They have certain agreements that could increase their interest in investors: strong buy ratings and, according to Goldman, the potential for the next twelve months upside potential of at least 40%. Let’s find out what makes these specific stocks so fascinating. Bioventus (BVS) The first Goldman choice we look at is Bioventus, a medical innovator. The company has an active development program that focuses on treatments to improve the body’s natural healing ability. The company’s goal is to promote healing through minimally invasive treatments that are clinically effective and cost effective. The company’s product range is focused on the skeletal system, with products to improve bone healing, joint therapies and surgical procedures for bone grafting. Bioventus is present in 30 countries around the world. In February of this year, Bioventus held its IPO and set the initial price of the shares in the range of $ 16 to $ 18. When shares began trading on the NASDAQ on February 11, the opening price was $ 13, below the range. The company put 8 million shares on the market that day and they closed at $ 18.43. The sale earned $ 153 million, with a net return of $ 104 million for Bioventus. The next big data point for investors will take place on March 25, when Bioventus announces its results for the 4Q20 and full year. Although these numbers will cover a period before the IPO of the company, the first quarterly report as a public company is always eagerly watched. Bioventus shares have slipped since they started trading – the share fell 29% in the first month on the market. However, Goldman Sachs believes that this new, lower share price could offer new investors the opportunity to go cheap at BVS. In his note to Goldman, analyst Amit Hazan writes, “[We] see recent underperformance in equities providing a solid entry into a story that includes a notable portfolio of joint holdings, and broad M&A opportunities that are likely to rise in the coming years. The analyst added: ‘Key growth trends include: a strong portfolio in the better growing segment of the HA market; opportunities for market share in the bone graft market; a large presence of direct sales staff and a network of independent distributors that can be used when new products are introduced … ‘For this, Hazan BVS is rating a buy and its price target of $ 19 indicates an upward potential of 42%. (To see Hazan’s record, click here.) Wall Street analysts clearly like BVS shares, as the four recent reviews are all Buys, which unanimously rates Strong Buy’s consensus rating, which is currently priced at $ 13.33, and the average price target of $ 19.25 implies a 44% increase for the coming year. (See BVS stock analysis on TipRanks.) Salesforce.com (CRM) Next, Salesforce is one of the biggest names in technology and marketing. The company is a leader in the field of Custo mer Relationship Management (CRM) and even extract its preferences from its leading products. Salesforce offers its customers SaaS solutions in the cloud for most of the leading day-to-day marketing departments. Salesforce shares have risen 40% over the past twelve months as the company’s products and business models could be easily adapted to the pandemic-driven direction of remote offices and virtual commuting. After a low revenue in the first quarter of the year, the company showed the best profits in each of the next three quarters, as well as a year-on-year profit. In the fourth quarter, the most recent report, the company beat the forecasts by large margins. Revenue from the top line is $ 5.82 billion, above the expected $ 5.68 billion and 20% higher than in the year-on-year. The EPS, with 28 cents, was a strong reversal of the 28 cents loss recorded in 4Q19. Also in the fourth quarter, Salesforce continued to acquire and integrate the communications app Slack. The acquisition is worth $ 27.7 billion and is expected to close by July 31 this year. Kash Rangan, a five-star analyst at Salesforce for Goldman, writes: ‘In our opinion, Salesforce remains one of the most strategic application software companies in the $ 1 ton + TAM cloud industry. With a broad and expansive platform covering sales, service, e-commerce, marketing, BI / analytics, artificial intelligence, custom applications, integration and collaboration, we consider Salesforce well positioned to spend on accelerated spending on digital transformation. . ”Rangan places CRM shares on his firm’s conviction list, with a buy rating. Its price target of $ 315 implies room for upward growth of 45% this year. (Click here to see a Rangan record.) A Salesforce tech company will always grab Wall Street’s attention – and CRM shares have received 24 recent reviews. Of these, 19 are for sale and only 5 for hold, making the analyst’s consensus rating a strong buy. The average price target of $ 277.30 indicates an upward potential of 28% of the trading price of $ 216.80. (See CRM stock analysis on TipRanks) Jamf Holding (JAMF) High-tech products – laptops, tablets, smartphones and their accessories – have revolutionized the way we interact with each other, with our colleagues and customers, with our electronic devices deal with. Jamf Holdings, a Wisconsin-based software company specializing in manufacturing IT management products for Apple devices running macOS, iOS, iPadOS, and tvOS. With Jamf’s products, system administrators can manage device groups, create policies, restrict device features, and even enable remote features like setup, lock, and wipe. Apple has been one of the market’s biggest growth stories over the past decade, and Jamf offers investors a way to make the technology giant money. Jamf held his wallet in July last year and the shares quickly showed huge gains. The 18 million shares offered on the market started at $ 26 and reached 51% on their first trading day. The company has also reported steadily increasing revenue since its IPO. 2Q20, the first quarter reported after the opening, shows $ 62 million at the top line; Q3 and Q4 showed $ 70.4 million and $ 76.4 million, respectively. The earnings, as in many technology companies, show a net loss. In his report on JAMF for Goldman Sachs, analyst Rod Hall sees the company a clear way forward. “We believe that Jamf’s unique remote control solutions for Apple products will have to benefit the company, as trends in work and study trends seem to be here to stay … Jamf noted that their better performance in the fourth quarter was driven by broad demand with> 25% Y / Y growth in every product, geography and large industry, ”Hall noted. Hall proposes a buy rating on Jamf’s stock, coupled with a price target of $ 52 indicating an upward potential of 40% for the shares. (To view Hall’s record, click here.) The Strong Buy analyst’s consensus rating on JAMF is unanimous, based on six recent Buy-side reviews. The shares cost $ 37.01 and their average price target of $ 47 indicates an upward rate of ~ 27% for the next 12 months. (See JAMF stock analysis on TipRanks.) To find great ideas for stocks trading at attractive valuations, visit TipRanks’ best-selling stocks, a newly introduced tool that unites all TipRanks stocks. Disclaimer: The opinions expressed in this article are solely those of the proposed analysts. The content is for informational purposes only. It is very important to do your own analysis before investing.