Where to invest $ 5,000 now
FFinding the best companies to invest your hard-earned money in isn’t always easy. With so many stocks to choose from, finding the right investment choices that match your portfolio and long-term investment goals takes time, effort, and patience.
To make this process easier, we’re going to take a look at two great companies that we believe have what it takes to be long-term winners for buy and hold investors. These companies come from two completely different industries – healthcare and technology – but each has a variety of positive catalysts to help a long-term investor’s portfolio. Let’s take a closer look.
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1. Fulminating Genetics
Gene-based testing is changing the landscape of healthcare by changing the way providers identify and diagnose medical conditions or specific predispositions to a patient’s genetic makeup and family history.
Companies like Lightning Genetics (NASDAQ: FLGT) lead the way in this new era of diagnostic tools – and can also present a compelling investment opportunity. Not only are the products and services provided by Fulgent Genetics facing high and growing demand, the company operates in an industry with untapped potential.
By 2019, the global genetic testing market had grown to just under $ 11 billion. But it is on track to surpass a valuation of $ 21 billion as early as 2027, according to data provided by Allied Market Research. From panel testing to known mutation testing to carrier screens, Fulgent Genetics’ product portfolio covers a wide range of disease areas and health issues.
The company caught the attention of investors early in the pandemic because of its COVID-19 tests, but that’s actually only a small part of its overall business. Nor is Fulgent Genetics just resting on its laurels and making strategic choices to expand its market share and dominance in the field of genetic testing.
For example, in August, the healthcare company announced the acquisition of CSI Laboratories, a leader in cancer diagnostic tests. Management said the acquisition will allow the company “to significantly expand its molecular diagnostic and oncology testing capabilities” and that the combined platforms “will create a new comprehensive cancer screening solution for customers across United States “.
During the last quarter, Fulgent Genetics reported that its total revenue grew 790% year-on-year. The company also delivered nine times more billable tests in the three-month period than in the second quarter of 2020.
Like many other high-growth stocks, Fulgent had a volatile year, dropping from $ 30 to $ 189 before falling back to around $ 81. However, shareholders have still recorded a gain of over 700% over the past five years. And currently, the stock is trading at just under five times earnings.
If you are looking for a business with steady growth, a solid competitive advantage, and a compelling growth history, Fulgent Genetics could be for you.
the parent company of Google, Alphabet (NASDAQ: GOOGL) (NASDAQ: GOOG), is hardly going to be a new name for most readers. It is part of a small group of giant tech companies known as FAANG. With the world’s number one search engine as well as dominant online properties such as YouTube, it’s safe to say that Alphabet is a solid stock that has proven to be a proven long-term investment.
Since Alphabet was founded in 2015 with the goal of streamlining Google’s business, the company has released exceptional financial reports year after year and quarter after quarter. In the past five years alone, Alphabet has increased its annual sales and net profit by more than 100%.
And recent results have also been excellent. In the last quarter, Alphabet’s revenue jumped 62% year-over-year while net profit jumped more than 166%. If you’re wondering if a giant stock like Alphabet still has room, just look at how the stock has developed over the past five years to see that the company continues to deliver optimal price growth. action in line with its income and profits. to augment.
Alphabet shares have jumped about 240% in the last five-year period, widely outperforming S&P 500100% return over the same period. And with analysts predicting the stock could potentially realize a potential rise of up to 30% in the next year alone, its run doesn’t look like it’s over.
If you don’t already own stock in the company, you might be put off by the price of around $ 2,800. However, this is where fractional investing can be particularly useful. If you want to own even a small portion of a massive company like Alphabet, but don’t want to invest all of your current available capital in just a few stocks, then split investing allows you to buy the amount that suits you.
10 stocks we prefer over Alphabet (A shares)
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Suzanne Frey, an executive at Alphabet, is a member of the board of directors of The Motley Fool. Rachel Warren owns Alphabet shares (A shares). The Motley Fool owns and recommends Alphabet (A-shares), Alphabet (C-shares), and Fulgent Genetics, Inc. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.