Reuters / Brendan McDermid
- Goldman Sachs says there are some huge opportunities in the stock market after fears about President Trump’s trade war touched off waves of selling.
- Equity derivatives associate Vishal Vivek says he’s identified 30 stocks that have done worse than the broader market recently, and could begin to rally as they report earnings in the coming weeks.
- On average, Goldman’s analysts expect those stocks to rise 34% in the next year.
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Even if it’s been hard to watch the stock market the last few days, Goldman Sachs says investors can find big winners if they look closely.
Some of the stocks that plunged the most last week could come all the way back and more, according to equity derivatives associate Vishal Vivek. That’s due to the combination of painful trade war selloffs in the present, a still-growing economy, and a steady stream of corporate earnings reports over the next couple of weeks.
"We believe the market is underestimating the potential for a relief rally in many of these names, as the fundamental thesis plays out," he writes.
With numerous companies in the tech, energy and retail sectors still waiting to report their second-quarter results, those industries take up large portions of Vivek’s list.
Each of the stocks has underperformed the broader S&P 500 index over the last month, but the list doesn’t only cover companies that might rise in the short term. Vivek says that on average, these stocks could rise 34% in the next year to hit Goldman’s price targets.
Here are the 30 companies Goldman has identified, listed in increasing order of potential upside:
30. Analog Devices
Markets Insider
Ticker: ADI
Market cap: $41 billion
Loss last week: -10%
Upside to price target: 4%
29. Avalara
Markets Insider
Ticker: AVLR
Market cap: $5 billion
Last week: -5%
Upside to price target: 5%
28. Skyworks Solutions
Markets Insider
Ticker: SWKS
Market cap: $13 billion
Last week: -11%
Upside to price target: 15%
See the rest of the story at Business Insider
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Source: Business Insider – mjay@businessinsider.com (Marley Jay)