Major financial analyst groups have already published their forecasts for the coming year. Here we are going to analyze their reports and identify global stock market trends to see which stocks of corporations and slightly more modest companies are worth buying in 2022 to guarantee profits.
Experts from the independent investment bank Jefferies are confident in a stronger dollar and rising U.S., European, and Japanese bond yields, based on the growth of global stock indices.
The least risky assets in the U.S. market experts called:
- a pharmaceutical company Pfizer,
- a steel company Alcoa,
- and the largest banks – Goldman Sachs and JPMorgan Chase.
The best growth next year, according to analysts, should show the shares of:
- a financial services company Charles Schwab,
- a machinery manufacturer Deere & Co,
- a US insurance company Chubb,
- an automobile manufacturer Ford,
- and an American video game company Electronic Arts,
The most accessible and reliable securities were called:
- technology companies Apple, Microsoft, Cisco, Texas Instruments,
- Alphabet (a holding company for Google),
- and a retail corporation Walmart.
Among European companies:
- a transportation company AP Moeller,
- a steelmaker ArcelorMittal,
- an Austrian energy company OMV,
- automakers Daimler and Volvo,
- a Norwegian oil and gas company Equinor,
- a German holding Deutsche Post,
- a pharmaceutical company AstraZeneca,
- semiconductor manufacturers Infineon, STMicroelectronics, Carrefour, Ashtead,
- and a tire manufacturer Michelin and several other companies were singled out.
On the Japanese stock market, the leading securities of the largest companies:
- automotive manufacturers Toyota, Mitsubishi Electric, Suzuki Motor,
- and a conglomerate corporation Sony.
- In addition, shares of:
- a chipmaker Tokyo Electron,
- an auto parts maker Denso,
- a manufacturer of optics Olympus,
- a telecom operator KDDI,
- and a pharmaceutical Otsuka made the list.
Experts from financial holding JPMorgan Chase are optimistic about the American market. However, they think the biggest growth will be in stocks of companies from China, Indonesia, Russia, and Brazil as well as Malaysia and Peru. Analysts advise paying attention to oil and related industries as well as to financial companies. They do not recommend buying shares of companies that produce food and provide utilities.
Experts picked up six promising companies to invest in 2022:
- IT companies Amazon, Meta Platforms (formerly Facebook), Netflix, and Twitter,
- a mobility service Uber,
- and a manufacturer of simulators for home training Peloton.
There are 179 companies on the list of future profitable assets compiled by Goldman Sachs analysts, with one in 20 expected to show growth of more than 60%. The most promising of them, according to CNBC, are the shares of six companies:
- a Chinese Internet giant Alibaba,
- a video games developer Activision Blizzard,
- a South Korean manufacturer of medical equipment Jeisys Medical,
- a Boston biotechnology company Vertex Pharmaceuticals,
- a pharmaceutical company WuXi Biologics,
- and a German polymer manufacturer Covestro.
In addition, the largest and most reliable companies in the energy sector were chosen: Exxon Mobil, Phillips 66, Baker Hughes, Quanta Services, Schlumberger, and Halliburton.
The business news portal CNBC chose stocks that, although slightly down in price (more than 10%), still received a buy recommendation from more than 70% of analysts. These are:
- Mastercard, a payment system,
- Schlumberger, an oil refining company,
- DuPont, a US chemical company,
- Metlife, an insurance company,
- ConocoPhillips, an oil company,
- and major oil companies including Valero and Marathon Petroleum, Assurant financial company securities as well as Caesars Entertainment, AES Corporation, Everest Re and Teledyne Technologies.
From the above, we can conclude that to invest most reliably and profitably, you should choose stocks of pharmaceutical and industrial companies (oil, chemical, and machinery), as well as IT corporations.