5 Bullish Stocks and the Case for Investing Right Now
Recent market volatility has made many investors wary. Ups and downs have resulted in sideways trading, making it difficult to identify breakout stocks primed for bullish growth. To further complicate things, mixed earnings and socioeconomic uncertainties have cast doubt on many market movements. This is all to say that bullish stocks have become more difficult to distinguish the further we get into 2022.
Thankfully, between chart patterns and other technical indicators, there are still a few hallmark signals investors can hang their hats on to evaluate stocks. Even surrounded by economic uncertainty, many stocks have begun flashing these buy signs.
Here’s a look at five bullish stocks worth considering right now, and why adding them to your portfolio at their current price could result in strong gains in the near future.
1. Intel Corporation (NASDAQ: INTC)
On the surface, Intel might not look like the most exciting stock, but investors looking beyond 2022’s early fall will see signals of an impending breakout. After falling to a 52-week low of $44.65, the stock flashed a bullish engulfing pattern. Since then, it’s been on the rise and showing signs of bullish activity, even in the face of an IT sector that’s struggling.
Intel’s fundamentals support positive investor sentiment. With a P/E of 9.64, the stock looks exceedingly cheap at its current price. Coupled with strong sales figures and excellent operating margins, Intel stands poised to grow. As bulls continue to climb onboard, analysts have already set ambitious price targets for Intel. Need even more reason to go long on Intel? It’s at the top of the list in conversations about domestic semiconductor production: a topic with increasingly lucrative ramifications.
Key takeaway: Intel is stronger than it appears, with financials to support its bullish behavior.
2. Expedia Group Inc. (NASDAQ: EXPE)
Up more than 30% over the last six months, Expedia is a stock more and more institutional investors are looking at. After two years of stunted travel, the world is finally easing back its COVID-19 restrictions and Expedia stands poised to capitalize. The stock has performed relatively well during the pandemic despite the onslaught of the travel industry; now, it’s ready to take off.
Expedia’s stock chart is choppy, yet recent action suggests it’ll climb higher as a bullish trajectory continues to develop. Behind the scenes, the company’s financials are strong. It posted $2.2 billion in revenue and $386 million in income in Q4 of 2021, both up triple digits from the previous quarter. While the company’s debt-to-equity ratio is a bit high (4.11), its +80% profit margin should be enough to make investors feel confident.
Key takeaway: People are eager to travel again and Expedia stands poised to capitalize.
3. General Dynamics Corporation (NYSE: GD)
Investors looking for the bullish case to invest in General Dynamics need only to look at the 2022 stock chart. Not only is the company up 12% YTD, it’s likely to continue rising in the face of the Russo-Ukraine war. Even without direct involvement by the United States, General Dynamics stands to benefit from its role in the aerospace and defense sectors. If the conflict escalates to include a response from NATO, expect this stock and others like it to become instant buys.
In many ways, General Dynamics is a thematic play; however, its balance sheet and financials are all stable. While the company did miss its 2021 Q4 revenue goal by a slim margin, the relative consistency and stability of its revenue and profit should be attractive to long-term investors. It’s not often a stable stock like this one stands poised for an uptick. That, and the 2% dividend is a nice perk from this Dividend Aristocrat.
Key takeaway: Conflict in Eastern Europe could spark a bullish run on all defense stocks.
4. Bristol-Myers Squibb Co. (NYSE: BMY)
Investors paying attention to the pharma sector will know that Bristol-Myers Squibb took a hit in late 2021, falling to a 52-week low in December. Since then, the stock has done nothing but rally and is nearing its previous 52-week high. As it does, there’s bullish sentiment that it’ll break resistance and continue trending upward, propelled by an array of positive drivers.
For starters, the company’s Q4 earnings report was nothing short of phenomenal, which kickstarted the recovery. Its promising research on biologic medications and strong development pipeline have made the company a stalwart contender in any healthcare investor’s portfolio. And, its balance sheet is in superb condition. With a forward P/E of 8.31, it’s rare to find a company this strong at a price this affordable… and it’s not likely to be for long as the price continues to rise.
Key takeaway: Bristol-Myers Squibb took a beating in 2021 and didn’t just survive, it thrived.
5. Apple Inc. (NASDAQ: AAPL)
Apple continues to be exactly the stock everyone thinks it is: a stalwart blue-chip that weathers even adverse market conditions. Even in the midst of a semiconductor crisis and supply chain chaos, the company’s 2021 Q4 numbers exceeded expectations: 9% growth in product revenue and 24% growth in services revenue. And while the stock has traded sideways this year, there’s no reason to think it won’t break out in a bullish trend.
Few companies have a balance sheet as strong as Apple, and it continues to show phenomenal growth. Right now, it’s just below its 50-day moving average. Therefore, this signals a great opportunity for investors to get in and go long. Apple has proven time and again that the sky is the limit, and it’s expected to continue outpacing the market.
Key takeaway: Apple continues to do what Apple does best: exceed expectations.
Do Your Research on Bullish Stocks
Each of the above five stocks shows a clear trajectory for growth in the coming months. Whether you prefer to evaluate them via chart patterns or take solace in a fundamental analysis of their financials, all signs point to positive performance. Consider these strong contenders as you add stocks to your watch list or open long-term positions in your portfolio.