Investing in the stock market can be risky, but there are some stocks that are considered super safe to invest in. These companies pay plenty of dividends each year and don’t typically make risky moves that could harm your investment. Plus, some of these stocks have been around for more than a century and offer a strong history of paying dividends. Paying attention to the best stocks to invest in 2021, or those that will double from then, can reduce risk and ensure you have some great investment options.
Stocks to buy for 2021 – We all need some stocks to invest in for the future. A good portfolio of stocks, bonds and mutual funds is crucial for retirement planning. A single stock can make you rich but also break your heart. It’s not worth taking big risks with your money. For most people, investing in stocks is risky.
ALPHABET (NASDAQ: GOOG)
If you’ve never heard of Alphabet, we don’t blame you. That’s because Alphabetc Inc. is the parent company of tech titan, Google. A bona fide ‘Blue Chip’ stock investment, Google’s product portfolio is as extensive as it is impressive. It offers online advertising services, mobile operating systems, the world’s most popular web browser, cloud services, hardware devices and more. One of the world’s largest and most profitable companies, Google is a rock-solid share for beginners to invest in.
Linde plc (NYSE: LIN)
Number of Hedge Fund Holders: 43
Linde plc (NYSE: LIN) is a Dublin-based chemical and gas company. It is one of the best beginner stocks to invest in right now due to its recent investments in hydrogen power, a focus of the Joe Biden administration.
In Q1 2021, Linde plc (NYSE: LIN) generated over $7.2 billion in revenues, up from $6.7 billion during the same period last year. The share price of LIN stock has grown by 37.8% in the past year, after hitting a low of $151 in March 2020. Linde plc (NYSE: LIN) has received a price target of $330 from Morgan Stanley, raised from $285, on May 10, 2021.
At the end of Q1 2021, 43 hedge funds, tracked by Insider Monkey hold positions in Linde plc (NYSE: LIN), worth $4.6 billion.
Apple (NASDAQ: AAPL)
- Price: $149.32 (as of close Oct 25, 2021)
- Revenue Growth: 26.77%
Apple is another top tech stock that consistently reports top-ranking revenue numbers and returns for investors. This makes Apple a solid buy-and-hold choice for beginner investors.
Apple is most famous for inventing the iPhone, iPad, iTunes, AppleTV, iCloud, and Apple Watch. Apple also designs and manufactures a wide range of high-end personal computers, like the Macbook Pro and Macbook Air.
After a stock split in the summer of 2020, shares are currently around $140 at the time of this writing. (Stock splits shouldn’t really matter—it’s just cutting the same pie into more pieces, but they can cause investors to get excited and see the stock as more affordable.) If you invested $5,000 in AAPL five years ago, those shares would be worth around $15,000 today. Not too shabby! And with the company rolling out new products regularly, I think Apple shares are going to keep on climbing.
Telefonica SA (TEF)
Telefonica is the major telecom operator in Spain. Analyst Javier Correonero says the company is doing an impressive job of divesting underperforming divisions, but it may still be difficult for Telefonica to generate excess return on invested capital over the next decade. Still, Correonero says the company’s decision to sell its tower assets will help it reduce debt, a top capital allocation priority. Correonero says Telefonica will likely continue to sell assets and streamline its business, efforts that could potentially unlock hidden value in the company. Morningstar has a “buy” rating and a $5.80 fair value estimate for TEF stock.
Disney (NYSE:DIS)
An entertainment powerhouse, Walt Disney Inc. has been the best entertainment stocks to watch in the stock market with a solid history. From theme parks, brands, and movie theaters, Disney is clearly not a one-trick pony. Disney is restructuring to prioritize its streaming business, as it becomes the most important facet of the company’s media business during the COVID-19 pandemic. Within the realm of streaming services, Disney+ seems to be posing the greatest threats to the major players in the streaming world. Disney+ may be a relatively new service, but it has already racked up over 60.5 million paying subscribers globally. When the pandemic is over, Disney’s key revenue generators can fire on all cylinders again. Could you expect DIS stock to have a monstrous rally when that happens?
AMAZON (NASDAQ: AMAZN)
A long-term favourite of stock investors, Amazon hasn’t just weathered the storm of a global pandemic – it has thrived. As increasing numbers of people turn to online shopping, Amazon is well-positioned for future growth as it benefits from a dramatic shift in consumer behaviour. Riding the wave of 70% increase in stock price since March 2020, it’s hard to see this juggernaut losing the momentum it has built up. It’s not too late to board this train before it leaves the station
Palantir Technologies Inc. (NYSE: PLTR)
Number of Hedge Fund Holders: 32
An American software company, Palantir Technologies Inc. (NYSE: PLTR) is next on our list of the best beginner stocks to invest in right now.
In Q1 2021, Palantir Technologies Inc. (NYSE: PLTR) generated a revenue of over $341 million, up from $229 million during the same period last year. The PLTR share price has grown by 164% in the past year. Recently, Palantir Technologies Inc. (NYSE: PLTR) has come under an $18.4 million contract with Federal Aviation Administration FAA to manage the safety activities in the agency.
Of the 866 hedge funds in our database, 32 funds hold stakes in Palantir Technologies Inc. (NYSE: PLTR) as of the end of the first quarter, worth $1.1 billion.
Like Bristol-Myers Squibb Company (NYSE: BMY), MGM Resorts International (NYSE: MGM), Cloudflare, Inc. (NYSE: NET), and BP p.l.c. (NYSE: BP), Palantir Technologies Inc. (NYSE: PLTR) is one of the best beginner stocks to invest in right now.
Costco Wholesale (NASDAQ: COST)
- Price: $485.53 (as of close Oct 26, 2021)
- Revenue Growth: 17.49%
Whether you’re stocking up on paper towels or buying a new TV, you can find what you need at your local Costco. The company’s stock has also delivered the goods with a steady march upwards over the years. Today, shares are around $440 each, just about the highest they’ve ever reached.
But they’re not showing signs of letting up. At its most recent count, Costco had more than 100 million cardholders, a number that’s been climbing as steadily as its share price. The company could even bump its annual fee by $5 for even more profits to the bottom line and continue to make a push internationally. Costco has recently announced plans to add second locations to China and France and plans to enter the New Zealand market for the first time in 2022.
As a bonus, the company recently increased its dividend—basically, they’re paying you 70 cents each quarter for every share you own!
Energy Transfer LP (ET)
Energy Transfer is a U.S. midstream oil and gas infrastructure company. Analyst Travis Miller says Energy Transfer is set up for a “blockbuster” 2021, but there are still plenty of capital allocation risks that investors should monitor. Miller says Energy Transfer shares trade at roughly a 50% discount to his fair value estimate, making the stock one of the best values in the energy sector. Energy Transfer has reduced its debt by $5.2 billion this year, and Miller says he expects more acquisitions ahead. Morningstar has a “buy” rating and an $18.50 fair value estimate for ET stock.
Conclusion:
Stocks that will double in one year or two are usually stocks that are cheap due to the market facing some uncertainty about the company’s future. A stock is considered cheap using simple measures like PE Ratio (Price Earnings Ratio), Price/Sales Ratio, Dividend Yield, etc.