MarketBeat: Week in Review 12/21–12/23

With just days remaining before having to take off on their sleigh, Santa Claus, I mean the U.S. Congress, passed a stimulus bill. However as of this writing, the fate of the bill is unclear.

President Trump expressed his displeasure at the bill’s bloated spending for many things outside of its immediate directive to help those most affected by the economic shutdowns. And in a fitting end to 2020, the President’s call for up to $2,000 in direct checks to Americans is being cheered by none other than Congresswoman Alexandria Ocasio-Cortez (i.e. AOC). You honestly can’t make this stuff up.

Nevertheless, there is direct relief going to help the pandemic. The Moderna (NASDAQ:MRNA) vaccine was approved and has started being distributed. While the vaccines are not widely available for now, it will be a real shot in the arm (pun intended) for the economy at some point.

Next week will be another short week as the markets will be closed on Friday to ring in the New Year. However the MarketBeat staff will continue to actively track the stocks that are moving the market to help you prosper in 2021.

Articles by Sean Sechler

There is something to be said for buying an expensive stock. But price doesn’t always mean value. And Sean Sechler had his eyes on three stocks that are trading under $50, but may present investors with great upside next year. This year will be remembered as the year of the special purpose acquisition company (SPAC). And it appears that SPACs will remain popular in 2021. Sechler gave investors who are willing to speculate three SPACs that are worth keeping an eye on. From speculation to relative safety, Sechler also gave investors three dividend stocks in the tech sector. This is an uncommon combination, but can offer investors regular dividends with capital appreciation.

Articles by Jea Yu

Speaking of SPACs, Jea Yu was analyzing RMG Acquisition (NYSE:RMG) which is conducting a reverse merger with Romeo Power Technology, a battery technology optimization play for the electric vehicle (EV) market. The EV sector has become a risk-on trade, but Yu suggests risk-tolerant investors should look at the new company for opportunistic pullbacks. Yu was also pointing investors to two stocks that couldn’t be more different yet are presenting investors with a buy-on-the-dip opportunity. In the case of AT&T (NYSE:T) the stock was recently downgraded even after it announced a distribution deal for the company’s content to be streamed on Roku (NASDAQ:ROKU). AT&T is the owner of the DC Entertainment Universe (DCEU) which will be rolling its content out in 2021. For a more speculative stock, Yu was looking at Virgin Galactic (NYSE:SPCE). The company recently made news for the wrong reasons when it had to abort a test flight. However, the incident did show that the company’s fail-safe mechanisms are active and in place.

Articles by Thomas Hughes

Thomas Hughes was eyeing Leslie’s (NASDAQ:LESL) which is a surprising pandemic winner. The 60-year old company just recently went public and its timing is perfect. Sales of pools and spas have increased by over 25%. And Leslie’s is the largest supplier of pool and spa equipment and supplies in the United States. Combine that with the company’s direct-to-consumer model and you have a stock that analysts love and investors should get to know. Hughes was also analyzing the return of the luxury market – at least from a consignment standpoint. And that recovery along with its ability to offer value to consumers, writes Hughes, is what should put RealReal (NASDAQ:REAL) on investors’ watch lists. And like Sean Sechler, Hughes was giving investors two dividend stocksthat also investors a little growth.

Articles by Nick Vasco

Vasco was looking at Spotify (NYSE:SPOT) because of its comparison to Netflix (NASDAQ:NFLX). Spotify appears to be learning what Netflix has figured out. Original content is king. And while investors have to pay attention to the cost to create all this content, the company is growing its user base at a pace that should support that cost. Vasco was also looking at Texas Roadhouse (NASDAQ:TXRH) which looks to pick up where it left off once a vaccine permits restaurants to resume business as usual. And as we are in the holiday season, Vasco was looking at Urban Outfitters (NASDAQ:URBN). While the travails of brick-and-mortar retailers is well known, Urban Outfitters is looking like a buy as it has expanded its digital presence and saw new digital customers in the last quarter by 45%.

Articles by Sam Quirke

The market is looking a little overheated, but as investors know dips can provide opportunities. And Sam Quirke was tipping investors towards three stocks to buy on pullbacks. Speaking of a stock recovering from a pullback, Quirke was looking at Splunk (NASDAQ:SPLK). The company’s stock dipped after a disappointing earnings report but has since roared back and that uptrend should continue. Quirke was also bullish on the cybersecurity stock, Fortinet (NASDAQ:FTNT). The company’s stock is up over 110% in the past nine months and it looks certain to push past its all-time high (set in July) in the near future.

Articles by Steve Anderson

One of the biggest news items of the week outside of the stimulus plan and vaccine rollout was an announcement from Apple (NASDAQ:AAPL). The company announced that it may enter the EV sector (can you say iCar). Right now, this may be a boon for battery manufacturers, but if you’ve been sitting on the fence with Apple, this may be a reason to buy the stock at its current price. Anderson was also writing about Walmart (NYSE:WMT) as an investment for risk-averse investors. Like it or hate it, Walmart has proven during the pandemic that it’s an essential brand in the brick-and-mortar and the e-commerce sectors.