2 Stocks That Could Crush the Market in 2025

From Nasdaq: 2024-11-16 07:30:00

As 2025 approaches, investors are advised to consider portfolio adjustments for the new year. Fund managers often make changes before year-end, sparking a potential “Santa Claus rally.” Stocks like Alphabet and PayPal may see increased interest due to their affordability compared to other market options, making them worth considering for investment.

Alphabet, Google’s parent company, remains strong in the search engine market and is adapting with innovative features like generative AI-powered searches. Google Cloud’s popularity is soaring, driving a 35% revenue increase to $11.4 billion. With a forward P/E ratio of 22, Alphabet presents a compelling investment opportunity for growth-oriented investors.

PayPal, after a stock price decline, is showing signs of revival under new CEO Alex Chriss. Active accounts and transaction margins have increased, leading to a 6% revenue growth and 19% operating income rise. PayPal’s aggressive share repurchases, with a low P/E ratio, make it an attractive stock pick for investors seeking value and growth potential.

Considering investment in Alphabet? While not featured in the “10 best stocks” list by Motley Fool Stock Advisor, the service has a track record of outperforming the S&P 500 since 2002. With a history of identifying high-return stocks, investors may want to explore other recommendations for potential opportunities. Suzanne Frey, an Alphabet executive, has a position in the company.



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