The market rally is broadening beyond the so-called “Magnificent Seven” technology giants. This means that many stocks that had been flying under the radars of investors are now joining the rally and their share prices are marching higher. This is welcome news as it gives investors a chance to broaden their portfolio and move capital into some new names whose stocks can be expected to continue rising over the next year. Best of all, many stocks that are starting to generate gains have sizable catalysts coming that should send their share prices even higher. The key is for investors to know where to look for opportunities that aren’t played out or overcrowded. Here is cash cow corral: three stocks generating moolah like no udder.
Oracle (ORCL)
Shares of Oracle (NYSE:ORCL) jumped 13% higher after the computer technology company reported strong financial results and issued bullish forward guidance. Oracle announced earnings per share (EPS) of $1.41 versus $1.38 that was expected among analysts. Revenue for the company’s fiscal third quarter totaled $13.28 billion compared to the $13.30 billion forecast. Sales rose 7% from a year earlier.
For the current quarter, Oracle forecast earnings of $1.62 to $1.66 per share. Analysts were expecting $1.64 in earnings. The company said it anticipates revenue growth of 4% to 6% from a year ago, basically matching expectations. Management said during an earnings call that they’re committed to their goal of reaching $65 billion in sales by fiscal 2026. ORCL stock is now up 50% over the last 12 months, with more gains likely.
Airbnb (ABNB)
Airbnb (NASDAQ:ABNB) is in the news after announcing that it’s banning the use of indoor security cameras in properties listed on its platform, citing privacy concerns. The homestay and house rental company also announced new restrictions on outdoor cameras and the use of noise monitoring devices. While these policy changes have generated headlines, they’re unlikely to significantly impact Airbnb’s earnings or its stock price.
ABNB stock has been hot over the past year as it resumes its growth trajectory after being hurt during the COVID-19 pandemic when its business was largely forced to shut down amid worldwide travel restrictions. But now, Airbnb’s business is thriving once again, fueling a 44% gain in its share price over the last 12 months, including a 24% increase so far in 2024. With summer coming, ABNB stock can be expected to continue outperforming.
BlackRock (BLK)
BlackRock (NYSE:BLK) is already the world’s largest asset manager with $10 trillion under management. But now, the company is likely to get a boost from its move into crypto exchange-traded funds (ETFs). Since the launch of spot Bitcoin (BTC-USD) ETFs on Jan. 11, the BlackRock iShares Bitcoin ETF (NASDAQ:IBIT) has emerged as the industry leader, reaching $10 billion of assets under management at the fastest pace on record.
Less than two months after the ETF launch, BlackRock holds nearly 200,000 Bitcoin. As of March 8, BlackRock said it owned 195,985 physical Bitcoin, a stake that’s worth $14.16 billion based on the current price of the world’s largest crypto. BlackRock has yet to report a quarter with the IBIT ETF on its books, but it’s a safe bet that the fees generated alone will boost its earnings and send BLK stock higher.
BLK stock hasn’t been on fire lately. The company’s share price is up 33% over the last 12 months. However the stock is likely to rise once the full impact of Bitcoin on its balance sheet becomes clear.
On the date of publication, Joel Baglole 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.
