As the year winds down, it’s time to consider which stocks to buy to close it out.
After all, 2023 is ending on a strong note for stocks, with all three major indices rallying. The benchmark S&P 500 index is up nearly 20% on the year and only about 5% below its all-time intraday high of 4,818 reached in January 2022.
Despite the bear market in 2022, this year’s rally is impressive. Right now, the market is full of predictions about which stocks to buy, some bullish and many bearish on the year ahead. Some analysts see the S&P 500 breaking above 5000 in 2024, while others see us ending next year at the same level we’re at now.
It’s hard to know what the coming months will bring, but there are some stocks that look fundamentally sound and should rise over the near-term. Here are three stocks to buy before the New Year.
The New York Times Co. (NYT)
The New York Times Co. (NYSE:NYT) is the only newspaper publisher that is thriving right now. In this year’s third quarter, the company’s total number of subscribers (digital and print combined) surpassed 10 million for the first time in the paper’s 172 year history.
Management has a goal of reaching 15 million paid subscriptions by the end of 2027, and is on track to beat that target. The key to The New York Times’ success can be found in its digital subscriptions, which now total 9.41 million per month.
The publisher continues to diversify its content, moving beyond its award winning news coverage to offer readers popular items such as cooking recipes, games like Wordle and its famed crossword puzzle. It’s sports coverage is provided by The Athletic, an online specialty sports site the Times bought in 2022 for $550 million.
Now, the company is working to get subscribers to sign up for more than one of its offerings in a bundled package that has a higher price tag.
NYT stock has gained 38% in 2023 and is up 76% over five years, making it.
JPMorgan Chase (JPM)
Bank stocks are due for a turnaround, and JPMorgan Chase (NYSE:JPM) would be a good one to own when the move higher arrives.
The world’s largest bank with $4 trillion of assets under management, JPMorgan Chase tends to outperform its peers. JPM stock is up 13% in 2023 compared to a 14% decline in the S&P Bank Index.
JPMorgan Chase raised its quarterly dividend to stockholders by 5% this September, taking its payout to $1.05 per share.
Despite a challenging environment that has been brought about by high interest rates, JPMorgan has managed to outperform with its financial results. In Q3, the lender issued earnings that easily beat Wall Street forecasts on the top and bottom lines.
The company announced earnings per share (EPS) of $4.33, which topped the $3.95 expected among analysts. Revenue totaled $40.69 billion, which was above the $39.63 billion expected on Wall Street. Profit at JPMorgan was up 35% from a year ago.
Federal Express (FDX)
Another stock that is on an upswing as we head into 2024 is Federal Express (NYSE:FDX). The shipping and logistics company’s share price has increased 44% this year and has momentum behind it.
FDX stock has gotten a lift from the normalization of its supply chains after the pandemic, as well as aggressive cost reductions that have boosted its financial results. The company’s share price jumped 5% immediately after its last print, which included raised full-year guidance.
FedEx reported earnings per share of $4.55 on revenue of $21.7 billion. Wall Street analysts had forecast EPS of $3.71 and sales of $21.7 billion. The company’s operating profit margin came in at 7.3%, which was ahead of consensus forecasts of 6%.
FedEx noted its earnings were helped by the bankruptcy this past summer of trucking company Yellow Corp., which gave its customer base a boost. Looking ahead, FedEx said it expects to earn between $17 and $18.50 per share for its full 2024 fiscal year.
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.
