3 Cathie Wood Stocks to Count on in Q2 – InvestorPlace
Posted: April 28, 2022 at 1:51 am
When we talk about Cathie Wood stocks, were referring to the picks made by one of the top investors during the pandemic years.
Her flagship ARK Innovation ETF generated more than 150% returns for its stockholders and continued climbing for the better part of last year.
Cathie Woods ETFs have experienced some major losses in the latter half of 2021. From October to December last year, her fund lost more than $8 billion in value.
Her funds primarily hold disruptive stocks which can experience massive gains and losses, and there are many with incredible long-term cases. However, she seems unfazed by developments and has doubled down on her bets.
Investors continue to have faith in the star stock pickers abilities despite the lackluster performance. For example, these three Cathie Wood stocks that offer amazing upside potential.
Crispr Therapeutics(NASDAQ:CRSP)is a speculative biotech stock working on gene-editing technology.
The company hopes to make this technology the norm for disease treatment. Multiple therapies are in the trial stage and studied for various conditions, including diabetes, cancer, and other diseases.
The business currently generates minimal revenue as its products arent commercialized yet. Its market valuation is based purely on its fundamentals. CRSP is a disruptor, and most investors are banking on its long-term ability to surprise the market. However, it is likely to have a rocky road ahead involving regulatory hurdles and clinical trials.
The company has the opportunity to become market-leading biotech in treating serious diseases. If it can effectively achieve its objectives, then it will establish a strong moat, and it could grow into its massive $4.5 billion value.
Block(NYSE:SQ), formerly called Square, is a fintech giant boasting an incredible track record of growing revenues.
It launched as a payments solution which quickly became popular with small enterprises. It expanded into personal banking, transfers, and other profitable verticals, attracting millions of new users.
Its sales have grown more than 63% in the past five years.
SQ stock shed more than 58% in the past year as a result of the broader tech sell-off. Nevertheless, its underlying business boasts robust fundamentals and a strong growth runway ahead.
Its consumer and seller ecosystems are remarkably popular in the younger demographic. Additionally, its focus on emerging technologies such as blockchain is starting to pay dividends and could set it apart from its competition.
The companys revenue rose 86% last year, meaning its business will faces tough comparisons in the upcoming quarters. However, to expect the phenomenal growth to continue from the pandemic years is wishful thinking from investors.
Block will continue firing as its ecosystems further penetrate its target markets. Moreover, investments in other profitable areas will add a new direction to its business.
Teladoc Health(NASDAQ:TDOC) is a leader in virtual health care and has been developing a moat with its tremendous services ecosystem.
The telehealth specialist was a pandemic darling; however, its shares have fallen off a cliff since February of last year. It has shed off its frothy valuation and now presents itself as an attractive long-term investment.
The companys top line grew a spectacular 86% from the previous year to $2 billion. The business is still unprofitable, but there was a healthy improvement in this department last year.
Its loss per share came in at $2.73 per share compared with a loss per share of $5.36 in 2020. The telemedicine markets massive opportunities and competitive edge will help the business rake in consistently growing revenues and turn a profit soon.
Fortune Business Insights estimates that the global Telehealth market will likely grow at a tremendous 32%, from $90 billion in 2021 to a whopping $640 billion in 2028.
Moreover, the company estimates that around 92 million of the 298 million insured Americans have access to a Teladoc product. There is massive upside potential with Teladoc and this sell-off makes it an attractive buy at current levels.
On the date of publication, Muslim Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article.The opinions expressed in this article are those of the writer, subject to the InvestorPlace.comPublishing Guidelines.
Muslim Farooque is a keen investor and an optimist at heart. A life-long gamer and tech enthusiast, he has a particular affinity for analyzing technology stocks. Muslim holds a bachelors of science degree in applied accounting from Oxford Brookes University.
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3 Cathie Wood Stocks to Count on in Q2 - InvestorPlace
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