Markets moving away from ‘Darwinistic’ phase: Morning briefs


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Goldman Sachs says these 3 stocks can rise more than 30% from current levels

After a true Ennis horribalus, we are ready for a better time. The US equity strategy team at Goldman Sachs, led by David Kostin, sees those better times ahead and in the near term. The team is forecasting a 25% gain for the S&P 500 within the next 24 months – or to put it in absolute numbers, they believe the index will reach 4,600 by December 2022. Four clear reasons for believing Costin gives us the start of another long bull race. First, he generally focuses on improving economic conditions; Second, he indicates corporate income growth; Third, there are historically low interest rates, as the Fed is tied to its near-zero rate policy; And finally, Tina is, or ‘there is no alternative.’ Stocks are entering a virtuous circle, Kostin believes, as they provide the highest returns available for now. In a recent interview, Goldman’s chief equity strategist said of these points, “This is the story, this is about an economy that is getting better, closing. Epidemics, and generally better. Getting on, and the Fed on hold. It’s all positive and I think the market is recognizing this and will continue to do so. “Goldman Sash analyst following Costin’s lead, pointing to three stocks He says he thinks the general market gains will benefit. We ran a trio through the TipRanks database to see what Wall Street analysts had to say about him. Laurdown Motors (RIDE) was the first Goldman The choice is Lordstown Motors. The Ohio-based company is tied to Big 3 Standard General Motors, an electric vehicle manufacturer. The company operates out of GM’s old Lordstown, Ohio assembly plant, which it bought last year. In Lordstown Has a production floor space of 6.2 million square feet, and a capacity of 600,000 vehicles per year. The flagship vehicle of the all-wheel drive endurance pickup truck is. The vehicle is based on a unique design, using separate electric motors in each wheel hub. Endurance is scheduled for delivery in the fall of 2021. Viewed in 2018, Lordstown Motors went public earlier this year through a merger with a ‘blank check’ company. These transactions are designed to provide capital for companies wishing to enter the public market. As part of preparations to release its endurance truck, Lordstown has entered into an agreement with RV manufacturer, Camping World Holdings (CWH). Camping World will train its mechanic on the new truck, and provide garage floor space for customers in Lordstown. The agreement includes expansion possibilities, such as sales, space sharing, and RVs. Providing electric drive system for. Incorporating this stock for Goldman Sachs, analyst Mark Delaney writes, “We believe this collaboration is the first step to address Lordstown’s service footprint and charging infrastructure. , And we see Lordstown’s decision to leverage an existing service footprint as a cost-effective strategy … We believe that the broader customer experience, including service and charging, plays an important role in product differentiation and EV can help start-ups succeed. In our view, ease of maintenance and charging and reliability are particularly important for Lordstown’s fleet / commercial customer base, which focuses on vehicle up-time. According to these comments, Delaney rates buy RIDE with a share with a $ 31 value. Target for the next 12 months. At current levels, this means 67% upside potential. (To see Delaney’s track record, click here) Overall, shares of RIDE get a hold of the analyst consensus, reflecting Wall Street’s caution towards a new and highly speculative effort. The rating is derived from 4 recent reviews, evenly divided between 2 Buys and 2 Sells. However, the average price target of $ 27.50 suggests that RIDE has a 48% upside for the coming year. (See RIDE Stock Analysis on TipRank) Liberty Global (LBTYA) is Liberty Global, a holding company in the telecom sector. Liberty has a global presence with operations in seven European countries: UK, Netherlands, Ireland, Belgium, Poland, Slovakia and Switzerland. The company receives annual revenues of over $ 11 billion. In addition to its subsidiaries, Liberty serves more than 11 million subscribers with a combined 25 million subscriptions for broadband Internet, TV and telephone services. The company also claims 6 million mobile and WiFi subscribers. Liberty is a leading investor in European digital and online infrastructure projects. The company’s recent move included the acquisition of Swiss telecommunications provider Sunrise Communications last month. With the completion of the transaction, Liberty Global now owns more than 98% of SunRisers’ total share capital, making the Swiss company a wholly owned subsidiary of Liberty Global Group. Goldman Sachs analyst Andrew Lee in a comprehensive review of Liberty’s current business and market position. , Points to the Swiss acquisition as an important factor for the company’s future. He writes, “We see Sunrisers as a quality asset that has the potential for sustained market share growth.” We expect this to directly benefit LBTYA as Sunrise continues to win shares from Swisscom, but to help stabilize the UPC asset. “Lee gave LBTYA a Buy rating with a $ 33 price target. This figure is 36% higher than current levels in a year. (To see Lee’s track record, click here) Like RIDE above, there is also a split between recent reviews of Liberty – in this case, 3 buys and 2 halls, the analyst consensus view is a Moderate Buy . The shares are priced at $ 24.32, and an average price target of $ 30.12 indicates room for a ~ 24% increase from that level. (See LBTYA Stock Analysis on TipTranks) Lufax Holding (LU) FinTech is a fast-growing niche, and Lufax operates a personal financial services platform that serves the Chinese market. The company provides wealth management for the fast-growing middle class in China, a population that is not only growing in size, but also in affluence. Lufax provides financing solutions for personal and business loans to this population, which are not always well offered by China’s established banking sector. The company’s customer base includes small business owners and salaried employees. Revenue for the third quarter, earlier this month, came to $ 2 billion in US currency. EPS of 24 cents beat estimates by 10 cents or 71%. These numbers were reduced from year to year, although currently the major uncertainty facing Lufx is state regulation. China’s government, while allowing a market-based economy, typically keeps a tight grip on economic activity, and modern, cutting-edge companies like Lufax can run a group of regulators who are sometimes uncomfortable with the digital world. . The prospect of tight regulation, as government officials seek to exert control over fintech, has worried some investors. After a comprehensive review of the Chinese technical regulatory environment, Elsie Cheng of Goldman, who covers Lufx, noted: “We remain creative for Lufx’s ability. Navigate through the constantly evolving regulatory environment and Provide consistent value additions for your consumers / financial partners. ”In light of this, Cheng rates a Buy LU with a $ 20 price target, which is 34% upside for the coming year. (Cheng’s track record To see, click here) All in all, the Moderate Buy Analyst consensus rating on Lufx is based on 7 reviews, including 4 Buys and 3 Holds. The average price target of $ 17.70 indicates a potential 15% next year. ( See LU Stock Analysis at TipRank) To find good ideas for stock trading at attractive valuations, buy TipRank’s Best Stocks, a newly launched tool that unites all of TipRank’s equity equities. Disclaimer: In this article Opinions expressed are solely those of select analysts. To be done for informational purposes only. It is very important to do your own analysis before making any investment.

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