Will There Be A Recession In 2024?
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Every year, in December, Tracey and John discuss whether or not a recession is coming. In 2022, they had some great analysis with John recommending investors buy the Invesco QQQ ETF because “it sold off the worst, and it will come back the first”. QQQ is up 35% year-to-date.
But what should investors do next year, now that the growth stocks have rebounded?
5 Stocks: Put These on Your Shortlist, or Not?
1. Science Applications International Corp. (SAIC - Free Report)
SAIC just reported earnings and beat and raised. John Blank owns SAIC in his Large Cap Trader portfolio. The shares of SAIC spiked on the earnings news and are now up 16.8% year-to-date.
SAIC trades at 18.4x and pays a dividend yielding 1.1%. It’s a Zacks Rank #2 (Buy).
Should SAIC be on your shortlist for 2024?
2. Arista Networks, Inc. (ANET - Free Report)
Arista Networks is in cloud networking. Shares of Arista Networks are up 75.7% year-to-date.
It’s not cheap, with a forward P/E of 32.8. Arista Networks does not pay a dividend. Scared it’s too expensive? John Blank says to wait for a pullback as an entry point.
Arista Networks is a Zacks Rank #2 (Buy) stock.
Should Arista Networks be on your shortlist for 2024?
3. Eli Lilly and Co. (LLY - Free Report)
Eli Lilly was featured on this podcast a year ago. At that time, Tracey thought it was too expensive. Shares were trading at 47x.
In Dec 2023, shares are even more expensive, with a forward P/E of 89. Eli Lilly is up another 61% this year.
Eli Lilly is a Zacks #3 (Hold) stock.
Is Eli Lilly too hot to handle in 2024?
4. Pfizer Inc. (PFE - Free Report)
Tracey and John discussed Pfizer on last year’s podcast. At that time, it was cheap with a forward P/E of just 7.
In 2023, shares of Pfizer have plunged, falling 43% year-to-date. It’s no longer as cheap, however, with a forward P/E of 19.
Pfizer is paying the big dividend, though, currently yielding 5.6%.
But is Pfizer a value, or a trap, in 2024?
5. Signet Jewelers Ltd. (SIG - Free Report)
Signet is the largest retailer of diamond jewelry in the world. It recently reported earnings and said it saw sequential improvement in engagement trends.
Signet shares have surged 40% year-to-date but are still cheap. It trades with a forward P/E of just 9. Signet also pays a dividend, currently yielding 1%.
Should a retailer like Signet be on your short list in 2024, even if a recession is coming?
What Else do you Need to Know About the Outlook for 2024?
Video Length: 00:42:24
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