To begin, we want to announce that this isn’t official financial advice and that every investment comes with some form of risk. These are purely speculation and we are observing these possibilities as potential investments. There are many variables to consider!
Tesla could be risky, especially after the recent words from its founder, Elon Musk. Despite failing to manufacture enough Model 3’s, many are optimistic about Tesla’s future. Depending on if Musk can get the proper funding to stimulate Tesla’s manufacturing, we can see some serious potential for their 2018-2019.
There’s only one more thing to consider. Tesla announced that the Model 3 might not be able to be sold at the once forecasted $30,000. Nobody is entirely sure how far off the $30,000 projected value was, and that will surely dictate demand. Tesla has an opportunity to be the face of electric cars, making it a major investment opportunity.
Like other large stocks, this is considered a low-risk with relatively low reward opportunity. This is because large, more established companies are more steady and while they are far less likely to plummet, they also have less room to grow because of their sheer size. Amazon is a perfect example of this, the best ways to invest in Amazon is over time, similar to a mutual fund.
Due to their recent acquisition of Wholefoods, Amazon might show a small surge of growth. This could be the result of them potentially changing the grocery game. Amazon Prime members will receive additional discounts for Whole Foods, which will significantly increase loyalty and boost revenue. After a one-year earnings report, we will know the short-term impact of their recent addition.
Economists and real estate professionals seem to agree with one thing right now, and that’s that property values are going up. The other trend to consider (and more direct for Travelers Companies) is the recent increase in storms after the past few years. Despite them disappointing some investors in 2017, Travelers Companies has been able to stay profitable for 2018. Based on projections and their most recent performances, we think Travelers Companies could be a sound investment for 2018.
Like Amazon, Microsoft is a great, steady investment and a favorite for asset diversification. With the growth and aggressive push of The Microsoft Cloud, there is room for long-term growth. Considering the rise of other emerging technologies, we project growth from Microsoft. The one dark horse here is Amazon Web Services (AWS), as they are looking like a serious force in the cloud game.
There seems to be nowhere to go but up for AT&T. Following their recent acquisition of Time Warner, AT&T will likely look to expand further. In addition, they will look to become more competitive with Verizon Communications Inc. in the content game, following their additions of HBO, Turner, and Warner Brothers. Take into account their partnership with DirecTV and consider the potential for a strong long-term revenue hike.
The investment of Wells Fargo might come down to the success of their rebrand. While not exclusive, Wells Fargo was in the middle of many scandals, including the creation of several fake accounts and sales incentives for branches. This has put significant doubt in one of the United States’ oldest banks, and they will have to rely on their new image to put them on the right track. Their new branding statement focuses on their roots and proposes a clean slate. Can their new messaging strategy give Wells Fargo’s brand more of a personal community bank feel? We will start to see signs of their progress by the end of the third quarter so stay tuned!
Cosco Shipping Holdings Co. (CNY)
After demonstrating excellent corporate culture, Cosco shows promise for investors. But it’s not just the customer loyalty they are finding on the wholesale side. Following its addition of Orient Overseas International, Cosco will be looking to compete with Europe in the global shipping market. This could be a major game changer for Cosco and we are fairly confident that they will see growth by 2018’s third quarter.
Don’t get us wrong because we’re not sure how the public will react to Facebook, following the recent scandals surrounding it. However, it’s sister-platform, Instagram has shown nothing but positive signs for years.
Regardless of Facebook’s uses decline, they will still be able to turn profits with their Audience Network. This means advertisers can still use the platform and target users on or off Facebook.
Cybersecurity is becoming a trend in an era of data breaches. FireEye is considered to be a leader in the data security game and is projected to grow by late 2018. From email security to encrypted documents, FireEye has shown promise.
The bottom line is cybersecurity is on the rise, and you have to monitor potential innovation. They are investing in growth, so this can be a coin toss BUT if things go well for FireEye, their stock prices can go through the roof. Definitely watch out for this one!
The best thing Uber could have done was remove their former CEO, Travis Kalanick, as he continued to make controversial waves while in control. Since his departure, Uber has demonstrated solid numbers and has built its brand into a sustainable, long-term future, which is ideal considering their massive market share of the local transportation industry.
The next thing to consider is whether Uber will find another competitor to join Lyft, and how that can impact future market shares. With Artificial Intelligence finding its way on the roads, nothing is for certain.
Conclusion
Investments are difficult to predict because there are so many variables that determine the outcome of a business. When you consider the sheer size of these top businesses, these forecasts only become less reliable. What we can have confidence in, is that these projections are likely to take place at some point, it’s simply a matter of timing.
With that said, we encourage you to keep an eye out and invest wisely!
