Stocks That Are About to Blow Up
Advanced knowledge of stocks that are about to blow up is an investor’s dream. For anyone who hasn’t heard that phrase before, “blow up” means to increase in share price extremely fast. Some recent stocks that match this criterion include Moderna (NASDAQ: MRNA), BioNTech SE – ADR (NASDAQ: BNTX), AMC Entertainment Holdings (NYSE: AMC), GameStop (NYSE: GME) and Cleveland-Cliffs (NYSE: CLF). These are all stocks whose price (percent change) increased greatly in 2021.
But unfortunately, those gains are in the past, and there is no guarantee of future success. As many prudent investors know, a stock that rises too quickly is at risk of falling just as fast. This might be truer now than at perhaps any other point in history. As meme stocks, FUD and Reddit penny stocks dominate the headlines, millions of inexperienced investors are shelling out their hard-earned cash in hopes of quick wins.
The vast majority of stocks that have these characteristics are not backed by strong earnings per share (EPS), price to earnings (P/E) ratio, dividend payout ratio (DPR) or any of the other key indicators investors look for. The future potential of these investments rely almost entirely upon “fake news” and social media hype. They are held together with little more than bubble gum and shoestrings.
Fortunately for those seeking stocks that are about to blow up, there are services out there with strong stock-picking track records. Pro Traders Bryan Bottarelli and Karim Rahemtulla have made careers out of picking winning investments. Now they share their secrets with a group of elite traders in The War Room.
Here are a few picks Bryan and Karim are targeting to take off in the weeks and months ahead…
2 Stocks That Are About to Blow Up (Even More?)
1. Chewy (NYSE: CHWY)
Chewy is an up-and-coming online platform for all things pet-related. The pet industry is growing fast in the U.S. and around the world. The fundamentals look good for Chewy as well. Strong sales growth and price-to-sales and debt-to-equity ratios are just some of the reasons the War Room team likes this stock.
Does Chewy have a good shot at being acquired by Amazon?
Amazon does not like competition, and I think it is a potential acquirer of Chewy in the future. While Amazon also sells pet products, it doesn’t have Chewy’s great reputation for customer service and competitive pricing. Chewy focuses on customer service, and it’s not unusual for the company to send out condolences when it notices that a customer is ordering or canceling based on the passing of a pet. – Karim Rahemtulla
Check out this recent video of Karim talking to Trends Expert, Matthew Carr about why they think Chewy is a stock that is about to blow up.
*Update – Yesterday Chewy (NYSE:CHWY) volume was over 11M shares. This may be the time to buy Chewy for a great price.
2. Hertz Global Holdings (Nasdaq: HTZ)
According to IU Einstein Bryan Bottarelli, Hertz has three powerful tailwinds moving in its direction in 2022.
These three tailwinds are:
- Pricing power – “Hertz Global, Avis Budget and the privately held Enterprise control a combined 95% of the U.S. rental car market – which gives them a powerful advantage.”
- The company’s financial position – “In June, Hertz emerged from bankruptcy with minimal debt and a clean balance sheet. This has helped the company redefine its business.”
- Hertz’s comp-sale valuation – “Shares of Hertz are down 7.4%, grossly underperforming the S&P 500’s gain of 28.79%. However, take just one look at the performance of the company’s top competitor, and you’ll see what a bargain Hertz represents right now. Are you ready for this?”
Stocks That Are About to Blow Up – Summarized
So there you have it…two stocks that could explode in 2022. Want more up-to-date tips on stocks that are about to take off? Join Trade of the Day Plus today! It’s the best way to get in on the action for all of the latest investment opportunities.
About Ben Broadwater
Ben Broadwater is the Director of Investment U. He has more than 15 years of content creation experience. He has worked and written for numerous companies in the financial publishing space, including Charles Street Research, The Oxford Club and now Investment U. When Ben isn’t busy running Investment U, you can usually find him with a pair of drumsticks or a guitar in his hand.