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Best Stock Investments for 2022

Updated: Jan 24

While the year 2021 was a rough year for many players in the stock market, some were on the winning side. However, a current downtrend may not be the best indicator of a stock to buy. The stock market is known for volatility, a falling stock this month might pull significant weight in the next month.


Although there may be no way to be certain about the performance of a stock in the future, you can have a clue. Here are a few stocks that some top-of-the-line analysts believe will do well in 2022, the best stock investments for 2022.


1. Tesla (TSLA)

The Austin-based electric vehicle and clean energy company, Tesla Inc is leading the world transition to the use of sustainable energy through electric cars, solar and clean energy. With a current market cap of over $1 trillion TSLA has shown great performance. Practically the stock has continuously outperformed the expectations of many analysts for years now.


As of December 16, 2021, the company has a 31% YTD. This is most likely going to increase more by 2022, analysts expect $8.17 earning per share of the company in 2022. Tesla has also planned to boost its production levels significantly in the coming year via the opening of two new gigafactories. Buy Tesla stock


2. Alphabet Inc. (ticker: GOOG, GOOGL)

Since 2004 when Google went public, it has remained on the top of the list of performing investments. The search engine and advertising company has improved so well that it had to change its name to Alphabet in 2015 to reflect its expansion. Currently, it competes with Apple (APPL) on the smartphone operating system front and Facebook. Inc (FB) in the mobile advertising market.


The greatest selling point of Alphabet stock is its valuation. The price earnings of GOOGL is very similar to that of the S&P 500, shares trading at 30 times estimated earnings for 2021. Buy Alphabet Stock


Read more: Pharmaceutical Stocks: The Most Promising Pharma Companies to Invest in 2022


Although Google cloud business is not yet a major chunk of the pie, it adds significantly to the company's revenue. As of last quarter, the cloud operations have topped $18 billion in annualized revenues. Alphabet's advertising has also gained a strong position, with essential properties such as YouTube contributing immensely to its moat.


The stock has added more than 43% from YouTube alone in the most recent quarter. Both the advertising market and the cloud operations of Alphabet keep surging up. Analysts expect up to a 24% rise in GOOGL earnings for each year in the next five years. Buy Alphabet stock



3. PayPal

Almost across the world people are conversant with the name PayPal as payment processing giant company. However, this year 2021 was not such a good one for the company. In the past few months, its holding has fallen more than ever in the company's history. Even though many financial analysts think that the fall is only temporary and the fintech stock will soon bounce back in full force.


First off, PayPal has already secured its slot as one of the notable digital payment mediums and most of the biggest business, over 75% uses PayPal. The payment solution can only get better as online businesses increase. Again, with the new features that the company has introduced, it has widened its scope of use.


Currently, you can pay through your Venmo account using PayPal, this has the potential to boost its customer base. In addition, PayPal intends to initiate a high-yield savings at the beginning of 2022. Analysts expect the share price to go 50% higher than its current price in the coming year.




4. Teladoc Health

Teladoc Health's (NYSE:TDOC) has not really been on an all-time high for some months now. And, a major contributing factor is that investors are not so certain about its performance after the pandemic. Despite the reduced influx of investors however, the company continues to thrive.


The company has already mapped out strategies to boost its earnings. For a start, analysts think that virtual care is going to be one of the company's big things in 2022. Another likely key to Teladoc's performance in 2022 may be its contract with HCSC (a leading name in the US health insurance industry) which kicks off in the first month of 2022.


5. Microsoft Corp. (MSFT)

The high-margin and fast-growing cloud computing platform, Microsoft. Corp is the second-largest cloud provider after AWS. It's major streams of cash flow are operating systems and productivity software. Microsoft is making huge gains through Windows and Office and Office 365. It may not be surprising if the $2.6 trillion company reaches and surpasses $3 trillion in 2022. Buy Microsoft stock


Conclusion

If you are planning for a buoyant financial life in the coming year, you may need to invest in stocks that are likely to take off, among other financial moves. This article may have already handled part of your puzzle for best stock investments for 2022.

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