Each week we’ll bring you five stocks that are on our radar
In the fast-paced world of investing, staying ahead requires good ideas and timely decisions. This article highlights five stocks worth watching each week for their robust performance, market trends, and growth potential. Discover the stocks that could enhance your portfolio and navigate market fluctuations with confidence.
Shares of Cisco (CSCO) remain near their 52-week highs as the rest of the Nasdaq 100 dropped roughly 10% displaying the stock’s relative strength as shares move to new high territory.
The networking company has spent the last decade growing and contracting by way of acquisitions, but the networking company appears ripe to benefit from networking growth from AI.
Last week, Cisco announced Cisco AI Defense, a pioneering solution to enable and safeguard AI transformation within enterprises. Cisco has been investing heavily in AI developments while announcing cost-cutting measures. The results of the company’s cost-cutting and focus on AI networking and security are affecting a long-term turnaround for the stock.
Shares of Cisco are now trading above the wide trading range that has held shares for the last two years.
The stock’s break above $60 last week concludes a two-month consolidation at the top of the stock’s two-year range. That consolidation has now resulted in a “volatility rally”, which is supported by a shift to stronger momentum marked by the stock’s 20- and 50-day moving averages.
Shares of Cisco have been in a long-term bull market rally since mid-2023 and have a target price of $75.
Walmart (WMT) has returned to its former glory as a true growth stock as the world’s largest retailer benefits from its position in the market.
Shares of Walmart are trading 75% higher over the last year – outpacing most Nasdaq 100 companies – as the company has returned to its role as a price fighter for the average consumer.
The company fortified its role as an inflation fighter in 2023 and 2024, using its size to pressure suppliers to lower prices. That move allowed the company to maintain lower prices without affecting margins. Walmart also warned suppliers in August that they weren’t willing to accept price increases after “rolling back” prices on more than 7,000 products.
The return of inflation in 2025 is putting Walmart back at the top of investor’s lists as both a growth and defensive stock.
Walmart’s price chart indicates the approach of a breakout move higher.
Shares recently found support at their 50-day moving average near $90. This support comes for the stock after a short-term correction of just under 10% since December. The correction comes a month ahead of Walmart’s earnings report on February 20. Given the company’s fundamental performance over the last year, investors should expect a short-term “buy the rumor” rally ahead of the report followed by another 10-15% move higher following the earnings results.
Patterson-UTI Energy (PTEN) operates in the oilfield services industry, providing onshore drilling and pressure pumping services, directional drilling, and wellbore placement solutions. They cater to major oil and natural gas operators, focusing on innovation and operational efficiency to enhance resource recovery.
Oil service and other drilling-related stocks are now moving higher as the incoming administration looks to relax regulations on the oil and gas industries.
In addition to regulation changes, Patterson and other energy companies are set to benefit from a turnaround in the global economy. As the global economy recovers from its downturn, increased drilling activity, especially in North America, could lead to higher utilization rates and better pricing for PTEN’s services.
Patterson shares recently marked a long-term tradable bottom as the stock found support at $7.50. The stock lost 60% from its 2022 highs as global demand for gas and drilling services was slashed. The stock remains in a long-term bear market trend, though shares are targeting a move back above $10.
A price above $10 would indicate the shift into a long-term bull market trend for PTEN shares.
Chevron’s (CVX) short-term charts point to a bullish breakout, a nice addition to the stock’s 4% dividend yield.
Oil prices have surged over the last two months as economists expect an expansion in the world economy. For the first time since 2022, the price of Oil is set to enter a long-term bull market trend as prices are on the brink of breaking their wide trading range.
That move benefits Chevron and other energy companies, especially as the new Administration looks to relax regulations in the industry.
Chevron’s attractive balance sheet had been one of the reasons for Warren Buffett’s interest in the stock. That same balance sheet positions the company well against its competitors in the case that the economy does show any signs of slowing in 2025.
Shares of Chevron are also preparing to break out of a long-term trading range.
Chevron’s 50-day moving average just shifted into a bullish trend signaling a shift to positive momentum. That shift is likely to drive the stock above $165 into a new bull market trend.
Best Buy (BBY) stock has lost 20% of its value since October 2024, and the slide looks to just be getting started. Shares of the electronic and appliance retailer have lost their technical footing as investors were left unimpressed with the company’s holiday season execution.
In late November, the Best Buy missed its revenue target as sales continued to move lower on a year-over-year basis. The revenue shortfall resulted in an earnings per share miss of $0.04. The earnings miss was the first in more than five years though revenue has declined for more than three years straight.
Shares of Best Buy saw a significant rally ahead of the recent holiday season as investors speculated that the company would perform well. The stock moved more than 25% higher from August to November following the company’s positive outlook.
Those returns have been erased now as Best Buy stock has returned to its August trading range.
Last week, BBY shares moved below their 200-day moving average with the stock’s 50-day moving average just above in a strong bearish pattern.
Within two weeks, the stock will complete a “Death Cross” pattern. This technical pattern occurs when a stock’s 50-day crosses below the 200-day. The Death Cross is a sign of negative momentum and a forecaster of lower prices over the next 4–6-week period.
A move below $78 would mark Best Buy’s shift into a long-term bear market trend with a price target of $70.
