Marvell Technology (MRVL)
Chipmakers are firing on all cylinders this year, and Marvell Technology has enjoyed a nice rally. From May to November, shares of the Wilmington, Delaware-based semiconductor company climbed a whopping 60%.
But that could just be a start. Marvell reported third quarter earnings Dec. 2. In the following trading session, the stock shot up 17.7%.
Revenue for the quarter grew 61% year-over-year to $1.21 billion. Adjusted earnings per share improved 72% from a year ago to 43 cents.
A nice post-earnings pop brought Marvell’s share price to about $84. But Goldman Sachs sees more upside ahead.
The bank upgraded Marvell from “neutral” to “buy” on Dec. 3 and raised its price target to $95.
Many consider big data to be the next big thing. And that’s where Snowflake found its opportunity.
The cloud-based data warehousing company, founded in 2012, serves thousands of customers across a wide range of industries, including 223 of the Fortune 500.
Snowflake has received more investor attention and now commands a market cap of over $100 billion.
In the three months ended Oct. 31, revenue surged 110% year-over-year to $334.4 million. Notably, net revenue retention rate was a solid 173%.
The company continued to score large customer wins. It now has 148 customers with trailing 12-month product revenue of more than $1 million, compared to 65 such customers a year ago.
Last week, Goldman Sachs raised the price target on Snowflake from $340 to $390 and maintained its “buy” rating for the company.
Snowflake has traded recently at about $340 to $360 per share. But you can get a piece of the company using a popular stock trading app that allows you to buy fractions of shares with as much money as you’re willing to spend.
Weave Communications (WEAV)
With a market cap of roughly $1 billion, Weave Communications is substantially smaller than the names mentioned above. But according to Goldman, it could be one of the biggest opportunities in the market.
Weave offers an all-in-one customer communications platform for small businesses. The platform helps those operations attract, communicate with, and engage customers to grow their business.
The company went public on Nov. 11 at an IPO price of $24 per share. But the stock didn’t pick up much upward momentum. Today it’s at $13.54.
In Q3, Weave added 1,326 new customer locations, bringing its total sites to 22,553. Revenue came in at $30.3 million, up 42% year-over-year.
Goldman initiated coverage of Weave on Dec. 6 with a “buy” rating and a $37 price target, saying that the current share price represents a “compelling entry point.”
Based on where Weave stock is at right now, Goldman’s price target translates to a potential upside of 173%.
Remember, if you don’t want to pick individual stocks in today’s volatile market, you can always build a diversified portfolio automatically by using just your “spare change.”
Big upside outside of the stock market?
At the end of the day, stocks are volatile. And even Wall Street experts are not right 100% of the time.
If you want to invest in something that has little correlation with the ups and downs of the stock market, take a look at some alternative assets.
Traditionally, investing in fine art or commercial real estate or even marine finance have only been options for the ultrarich.
But with the help of new platforms, these kinds of opportunities are now available to retail investors too. A single investment can build a fixed-income portfolio spread across multiple asset classes.
Fine art as an investment
Stocks can be volatile, cryptos make big swings to either side, and even gold is not immune to the market’s ups and downs.
That’s why if you are looking for the ultimate hedge, it could be worthwhile to check out a real, but overlooked asset: fine art.
Contemporary artwork has outperformed the S&P 500 by a commanding 174% over the past 25 years, according to the Citi Global Art Market chart.
And it’s becoming a popular way to diversify because it’s a real physical asset with little correlation to the stock market.
On a scale of -1 to +1, with 0 representing no link at all, Citi found the correlation between contemporary art and the S&P 500 was just 0.12 during the past 25 years.
Earlier this year, Bank of America investment chief Michael Harnett singled out artwork as a sharp way to outperform over the next decade — due largely to the asset’s track record as an inflation hedge.
Investing in art by the likes of Banksy and Andy Warhol used to be an option only for the ultrarich. But with a new investing platform, you can invest in iconic artworks just like Jeff Bezos and Bill Gates do.