The stock market’s strong performance in 2024 has made many investment options too expensive for some traders. However, with the recent pullback, an opportunity has emerged to invest in excellent value picks with $100.
Finbold has analyzed current market trends and fundamentals to identify three compelling stocks investors should consider adding to their portfolios.
Bank of America (NYSE: BAC)
Bank of America (NYSE: BAC) faces the cyclicality of money-center banks, which ride the ups and downs of the US economy.
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Despite potential challenges like a looming recession, history shows that economic downturns tend to be short-lived, allowing banks like BofA to capitalize on growth opportunities during periods of economic expansion.
One key advantage for BofA is its sensitivity to interest rates, which has led to a significant increase in net interest income amid the Federal Reserve’s recent rate hikes.
Additionally, the bank’s investments in technology have paid off, with a growing number of consumers using digital banking services, leading to improved operating efficiency.
Despite BAC stock adding 13.19% since 2024 started, its current valuation of $38.37 presents investors with an affordable, great potential option.
Jazz Pharmaceuticals (NASDAQ: JAZZ)
Jazz Pharmaceuticals (NASDAQ: JAZZ) operates in the competitive healthcare sector, facing challenges like patent expiration and new competitors.
Despite this, Jazz’s strategic advantages offer promising growth prospects, including its strong Oxybate franchise with drugs like Xywav and successful therapies like Epidiolex.
Additionally, its expanding oncology portfolio, which surpassed $1 billion in annual sales last year, highlighted by Rylaze’s impressive performance, further strengthens its position in the market.
Slightly more expensive than the $100 threshold, JAZZ stock offers a great undervalued option due to its 13.60% YTD pullback.
Warner Bros. Discovery (NASDAQ: WBD)
Warner Bros. Discovery (NASDAQ: WBD) has faced challenges amidst a tough advertising landscape and economic uncertainty. However, it’s actively expanding its streaming services despite losses in its direct-to-consumer (DTC) segment.
Despite setbacks, the company stands to benefit from cyclical upswings and anticipates a boost in political ad spending in 2024 due to the US presidential elections.
Financially, it remains robust, generating substantial cash flow and reducing outstanding debt. With promising growth prospects and effective cost management, Warner Bros. Discovery looks set for a rebound in 2024 and beyond.
Although these stock options are currently undergoing a slight price correction (with the exception of BAC stock), they present investors with a great long-term investment option, thanks to their robust financials and great future outlook in their respective industries.
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Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
