Top Six Stocks Worth Investing in During February, According to Forbes
Investment opportunities in the new year are thriving, as industry experts identify stocks that could offer strong returns for February. To help investors make informed decisions, Forbes recently interviewed seven professionals from the tech and financial sectors. Here is an overview of the six stocks that were highlighted as potential buys for the following month.
AI, Tech, or Financial Sector – Where Is the Trend Going?
Artificial Intelligence (AI) has become a driving force in the market, with some experts predicting that the hype is only beginning. However, others caution that much of the growth has already been priced in, emphasizing the need for caution when investing in AI-related stocks.
Anton Chashchin, for example, suggests that the market's focus may shift from AI and Big Tech to the financial sector by 2025, as other sectors start to take center stage. In contrast, Vince Stanzione sees potential in overlooked tech stocks, particularly Intel, which is expected to face intense pressure in 2024.
Top Stocks for February, According to Forbes Experts
Apple - The Future of "Apple Intelligence"?
Jason Brown is bullish on Apple stock, pointing to the potential of its AI-powered toolset "Apple Intelligence," available on the latest devices. This technology could help Apple entice customers to upgrade to newer iPhone models, potentially boosting revenue in the long run. In addition to AI, Apple earns money from both hardware and services like Apple Pay, iCloud, and the App Store. Analysts remain optimistic, with an average price target of $252 offering an 8% upside.
Nvidia - A Post-Crash Buying Opportunity?
Chunyang Shen and Arron Bennett continue to support Nvidia, the leading player in AI chip production. The integration of AI into various industries leaves Nvidia in a unique position, according to Bennett, as it changes business models, increases productivity, and drives demand for automation. Despite a 20% drop in January, the long-term prospects for Nvidia remain excellent, with an average price target of $179, representing a 43% upside.
Tesla – Risk or Comeback Opportunity?
To the surprise of some, Tesla also made the Forbes list. Alonso Munoz sees potential through ongoing innovations, such as autonomous driving and new models that could invigorate demand. However, there are also risks, notably political ones: if former President Donald Trump is re-elected, US tax incentives for electric vehicles may be removed, and Elon Musk's unpredictable nature as CEO could lead to significant stock price volatility. As a result, analyst opinions on Tesla are mixed, with a median price target of $336 and a 9% downside risk.
Berkshire Hathaway - Warren Buffett's Legacy?
Berkshire Hathaway makes the list due to its stable, diversified portfolio similar to an ETF of successful companies, and Warren Buffett's consistent track record of outperforming the market over the years. Long-term investors looking for security and steady returns may find Berkshire Hathaway an attractive choice.
Intel - The Big Comeback in 2025?
Intel's stock plummeted nearly 60% in 2024 and was removed from the Dow Jones Industrial Average. Despite this, Vince Stanzione believes that 2025 could be Intel's comeback year, as the current price does not reflect its true potential. However, Intel remains highly speculative, with only one analyst recommending a buy, and considerable upside potential of 12% represented by a $22 price target.
Reddit - The Growing Social Media Giant?
Rebecca Kacaba is optimistic about Reddit, which went public in 2023 and has since seen strong gains. The stock is up over 360% since its IPO! Analyst opinions are divided, but the average price target of $185 still implies a 15% downside risk. In the long run, Reddit's community-driven monetization strategies could make for an interesting investment, although high volatility should not be ignored.
In light of the shifting focus from AI and Big Tech to the financial sector, Anton Chashchin anticipates that investing opportunities in the financial sector could increase by 2025. Vince Stanzione, however, sees promising prospects in Intel, which may undergo a comeback in 2025, despite its low current standing.
