It’s that time of the year again when investors are invited to take a look at their portfolios to see which of their assets are performing well and which ones they’ll have to get rid of.
The housing market and real estate-focused investments are common in several investors’ portfolios but given the rising interest rates, analysts have a divided opinion on what could happen during the second half of the year. Higher interest rates are not always a good thing for the housing market and after two hikes this year already, a further two are still expected in the next six months.
Therefore, aside from dealing with your realtor, it’s important that you really pay attention to the stock purchasing moves you make at this point in the financial year, especially in light of recent news that the long reign of the bull market is about to come to an end.
However, now is not the time to make risky decisions, but rather look for stocks that can remain steady regardless of the market conditions.
Here are eight stocks that could have an impressive performance for the remainder of the year.
1. Amazon.com (AMZN, Financial)
Anyone who’s paid attention to the stock market knows that Amazon is making a killing right now as their share price continues to increase. According to analyst forecasts, the company is currently sitting on earnings of about $2 billion for this year.
Now, realistically speaking, Amazon stock is not the cheapest to purchase but it’s totally worth it when you consider the returns that it gives and will continue to give in the future.
This tech giant is highly tipped to break the $1 trillion market cap soon, which will serve well to confirm its growth prospects. Over the last few years, Amazon has invested heavily in different marketplaces as it continues to expand its footprint in retail business.
2. Johnson & Johnson (JNJ, Financial)
While J&J had to deal with a weak first quarter of the year due to bad press generated by one of its leading coagulants, their profit margins continue to soar thanks to the release of new and improved drugs from the company. J&J’s dividend yield is sitting at 3% while the company’s ability to effectively manage crisis makes it a stable investment.
This company can be a great defensive stock, and its dividend payment and growth history should get shareholders excited about the future despite the recent drawbacks.
3. Bank of America Corp. (BAC, Financial)
While an increase in interest rates can be seen as a negative sign for many, it’s actually a good thing for the financial industry because it enables borrowers to increase their lending rates as well. This climate is what makes Bank of America rates worth investing in this year, especially when you consider the tax break that the corporations are set to receive because of Trump’s new tax plan.
The company’s stock hit a multi-year high of about $33 per share this January, but it has since pulled back to trade at about $28 per share. This could be an interesting opportunity to invest in one of the blue-chip back stocks.
4. Walt Disney Co. (DIS, Financial)
Despite Disney Co.’s extensive holdings, including the Disney/ABC Television Group, ESPN as well as Disney Parks and Resorts, the company’s stock is actually selling for an incredibly discounted rate right now.
Anyone who opts into the company’s stock will definitely see impressive returns though, as Disney recently acquired huge production companies such as Pixar Animation Studios, Lucasfilm (Star Wars) and the Marvel Cinematic Universe (Black Panther).
5. Huntington Ingalls Industries (HII, Financial)
Huntington Ingalls Industries just got a tender to construct, refurbish and maintain 11 Ford-Class aircraft carriers, which means a hefty payday for the company and its stockholders. You too can be a member of this club, thanks to the company’s recently reduced stock price.
The company’s shares have fallen from about $263 in mid-April 2018, to the current level of about $223, implying a 15% decline in just under three months.
Disclosure: I have no position in the stocks mentioned in this article.
