Stocks to buy

Investing in the stock market is a good way to grow your wealth. But with so many different stocks, it can be challenging to know which stocks to buy. The key to successful stock investing is research. Taking the time to look into each company’s fundamentals and news reports will help you make more informed decisions when buying stocks. Make sure you pay attention to market trends, too, as specific sectors may benefit more than others depending on what’s happening globally. Finally, try not to let emotions like fear of missing out get the better of you on decisions– it’s always best to invest wisely and carefully.

For those looking for stocks to buy, now might be a good time to invest in overlooked, “cheap” stocks. While the stock market is volatile, bargain hunters could find great deals if they know where to look. Smaller companies are often more volatile than bigger ones. And their shares may fluctuate in value. It pays to do your research; hidden gold could be buried in these overlooked stocks.

However, the stocks on this list boast strong fundamentals and experienced management teams. It is a winning combination for those looking for value without sacrificing safety and security. With some research and prudent decision-making, it is possible to find profitable investments even in an uncertain marketplace.

Ticker Company Price
ABNB Airbnb $93.93
FVRR Fiverr International $32.91
M Macy’s $21.76

Airbnb (ABNB)

Source: Diego Thomazini / Shutterstock

This year, Airbnb (NASDAQ:ABNB) has suffered a 45% hit due to broader market volatility. Investors are concerned about the effects of a recession on travel. And even public opinion looming over it could discourage people from bookings.

This demonstrates that even with solid revenues and profits, Airbnb cannot entirely escape larger economic forces and challenging global circumstances. For investors, this may bring a caution when considering how firms like Airbnb weather the storm in the current climate.

In the third quarter, Airbnb reported a record $2.9 billion in revenue, rising 29% year-over-year, and handily outpacing analyst estimates by $35.93 million. According to external revenue filings, Airbnb earned $1.2 billion in net income this quarter – up 46 percent year-over-year. This translates to a 42% margin, the best of their history.

One of the best stocks to buy before the holiday season is Airbnb. In recent years, more and more people have been opting for short-term rentals over traditional hotels because it’s cheaper, more personalized, and much nicer than staying in an anonymous hotel room. With the global travel market slowly recovering, it is a great time to get involved with this name.

Fiverr International (FVRR)

Source: Temitiman / Shutterstock.com

Fiverr’s (NYSE:FVRR) shares have declined, adding to a more than 70% downfall. This is an attractive price considering that the company’s downfall has stemmed from various factors, industry trends, and external factors.

Even though Fiverr has experienced a boost in spending, many people on Wall Street feel there are better ways to drive growth stocks in a recession. Additionally, an increase in cost will put downward pressure on profit margins and reduce profitability over time.

Adding fuel to the fire is that Fiverr International is currently not profitable on a generally accepted accounting principles basis. This lack of profitability for a company investing heavily in its long-term growth is understandably concerning to many investors, especially in uncertain times.

With the gig economy showing no signs of slowing down, Fiverr is well-poised to take advantage of a massive total addressable market. Per Statista’s report, the gig economy is projected to gross $455.2 billion in 2023. This market will inevitably keep growing as more and more people opt for flexible work options. At the same time, companies are finding that hiring contract workers is a better way to quickly and cost-effectively meet the ever-shifting needs in the modern workplace. Therefore, remaining interested in Fiverr is an inevitably wise decision at any time.

Macy’s (M)

Source: digitalreflections / Shutterstock.com

Macy’s (NYSE:M), one of the largest global retailers, deserves kudos for its success in a difficult retail market. While most stores face challenging times, Macy’s has remained strong and steady amidst these painful conditions. This is due to their savvy inventory control attributes. It allows them to adjust supply according to demand while limiting excess stock levels.

As the global pandemic significantly impacted the production and distribution of merchandise, many major retailers faced inventory shortages. The situation led to empty shelves and higher prices. However, Macy’s was one of the few that did not experience the same issues. Despite their successful strategy in these difficult times, now that other retailers are offering discounts due to excess inventory caused by the pandemic, Macy’s will undoubtedly have to implement further sales and promotions. This action is expected to reduce profitability. However, more customers visiting in-store should help compensate for lost earnings.

It does not look like the streak is in trouble heading into the holiday season. Macy’s has done better than analysts predicted in the last three quarters. It is on a hiring spree, with plans to welcome more than 41000 full- and part-time workers into the fold in the holiday season. That bodes well for the general economy and retail, making Macy’s one of the best stocks to buy.

On the publication date, Faizan Farooque 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.

Faizan Farooque is a contributing author for InvestorPlace.com and numerous other financial sites. Faizan has several years of experience in analyzing the stock market and was a former data journalist at S&P Global Market Intelligence. His passion is to help the average investor make more informed decisions regarding their portfolio.

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