The year 2021 will certainly be exciting in the stock markets. Thanks to COVID-19, the year 2020 first brought a decline, but in the autumn months there was another strong increase.
Investments in equities also became more popular among retail investors last year, which has a huge impact on the stock market.
Luxuriously a leading technology stocks , which benefited from drastic changes due to the introduction of quarantine around the world. Popular stocks such as Tesla also performed well, but the German Wirecard fell, for example .
Another important event was the huge change in the price of oil, which was even negative in the USA for some time.
With the new year, we face a new challenge to make the right investment decisions. In the following article, we will introduce you in detail to the 5 best stocks to buy now that could stand on the podium in 2021!
5 Best Stocks For 2021
- KKR shares
KKR is one of the leading players in the field of private investment funds - a type of company that makes private investments with its clients. The dividend of 1.37% is relatively low, but the company has more room for growth compared to the competition.
Investment in Asia and new strategies will bring many new opportunities in the future. In one year, KKR's assets under management increased from $ 153 billion to $ 177 billion, an increase of 15.7%. With a P / E ratio of 24 and a book value of 1.58, KKR shares are relatively cheap.
- Heijmans shares
The construction company Heijmans performed relatively well during the pandemic and even performed better in the third quarter than in the previous year. For the whole of 2020, the company expects growth of 5-10%, which is an excellent result compared to competitors.
Heijmans is still valued at only 0.9 times its book value. With a market value of € 195 million, this is not a very large company. Given the strong balance sheet, the P / E ratio of 6.5 is very interesting.
- Kratos Defense & Security Solutions (KTOS)
This action from our list of the best 2021 stocks is far from the most well-known. Americans are known for their military spending. This company is very well positioned in this area. Kratos Defense combines defense and technology. Kratos has entered into numerous contracts with the US authorities, and a large part of its turnover comes from these public contracts. The company innovates in drones and other military systems, which is why this company is highly valued by the US Department of Defense.
Kratos Defense technology systems are not yet generating high profits, but the situation could turn around quickly. Indeed, Kratos Defense recently concluded various contracts, with the US Air Force this time. Under these contracts, the US military has ordered state-of-the-art drones and space technology devices. The proceeds from these sales should enable Kratos Defense to improve its balance sheet in the near future. Investors will most certainly be watching this stock, which is ideally positioned to become one of the top stocks in 2021.
- SAP (SAP)
SAP is a German manufacturer specializing in software for businesses. Established on all continents, the company is the European leader in software publishing and the fourth largest publisher in the world. Its flagship product is the SAP ERP management software.
The company was spared by the health crisis. In the first half of 2020, SAP saw revenue growth of 25% and saw its earnings per share double. On October 26, 2020, the SAP SE share dropped dramatically by -22%. This collapse followed the announcement of the drop in revenue forecast for the year, itself due to a drop in demand caused by the lockdowns. Since then, the stock has erased its losses and is close to the level it was before the bearish gap last fall. The SAP SE share has therefore found an uptrend and remains an excellent candidate to establish itself among the best stocks in 2021.
- UnitedHealth Group (UNH)
UnitedHealth Group is an American insurance and health care company. UnitedHealth Group shares are quite expensive but the growth potential is quite interesting. Even during the health crisis, the group managed to keep their heads above water and profits soared due to non-emergency operations postponed by hospitals. Joe Biden's recent election will undoubtedly be action-friendly, with Biden keen to protect and strengthen the Affordable Care Act. This law requires all American citizens to take out health insurance with a private insurer, which should allow UnitedHealth Group to increase the number of its customers.