3 Meme Stocks to Buy Now: Q2 Edition

Stocks to buy

Quite frankly, with so much attention paid to artificial intelligence and cryptocurrencies, there hasn’t been much discussion (relative to prior market cycles) about meme stocks to buy now. However, the practice itself hasn’t gone away.

Peruse your favorite social media network and you can find plenty of discussions about coordinated efforts to lift certain ideas. Even better, the discipline has evolved, encompassing far more than troubled video game retailers or cineplex operators facing lean times.

While there are some unconventional (and thus highly risky) names, the internet offers some wise gems. Below are meme stocks to buy now.

Caterpillar (CAT)

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A powerhouse in the broader industrials space, Caterpillar (NYSE:CAT) doesn’t exactly sound like your typical meme stocks to buy now. Its main specialty is farm and heavy construction machinery. Also, it was founded in 1925. That’s the boomer’s boomer stock, as the kids might say. Yet I believe Caterpillar has its charms.

It’s possible that the internet is reading between the lines. While there has been much talk about monetary policy – specifically about the Federal Reserve lowering interest rates – this narrative took a hit. With the jobs reports showing high employment rates, more dollars are chasing after fewer goods. That’s inflationary, which ultimately benefits gold.

Subsequently, gold is flying higher, which could mean downwind benefits for Caterpillar in terms of mining equipment. At the moment, covering experts believe that the company will post revenue of $67.36 billion for fiscal 2024. That’s up less than half-a-percent.

However, by factoring in the gold demand spike, revenue could land at the highest end of the spectrum. So, CAT could be an unusually attractive wager for meme stocks to buy now.

American Airlines (AAL)

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While American Airlines (NASDAQ:AAL) isn’t a typical idea for meme stocks to buy now, it aligns more with the speculative nature of the discipline. Generally, airliners are relevant enterprises – obviously, people need to get around. However, the issue centers on post-pandemic economic realities. Yes, revenge travel helped. However, AAL stock still trades below its pre-pandemic levels.

Now, the bad news is that the intensity of the revenge travel phenomenon appears to have faded. However, as Deloitte mentioned, a new era of travel prioritization could materialize. Basically, people recognize how important experiences are (perhaps because we learned that it can all be taken away). So, if this forecast holds true, AAL could be intriguing.

Notably, covering experts believe American Airlines could post revenue of $55.33 billion for the current fiscal year. That’s up 4.8% from last year’s print of $52.79 billion. Further, fiscal 2025 sales could hit just under $58 billion.

Analysts peg shares a consensus moderate buy with an $18.62 price target, projecting nearly 33% growth.

Block (SQ)

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Operating in the infrastructural software space, Block (NYSE:SQ) originally was known as Square. It came to fame through its trendy point-of-sale equipment, which was a hit with small businesses. Eventually, the company migrated into cryptocurrency wallets and buy now, pay later (BNPL) solutions. It’s this latter business that could make SQ an intriguing play for meme stocks to buy now.

One huge catalyst is Americans’ penchant for spending. Even with inflation and high-interest rates, credit card balances have soared to record heights. What’s more, reports indicate that 6.5% of the U.S. population uses BNPL platforms to pay for groceries. I’m not entirely sure how sustainable such a framework is. Cynically, though, it’s a plus for SQ stock.

Let’s take a look at expert projections. For the current fiscal year, Wall Street anticipates revenue of $25.02 billion on average. That’s up 14.2% from last year’s haul of $21.92 billion. What’s more, in the following year, the top line could jump to $27.83 billion.

Analysts rate shares a consensus strong buy with a $90.42 price target, implying over 25% upside potential.

On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. Tweet him at @EnomotoMedia.

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