10 Best Stocks to Invest in September 2022
The stock market has many ups and downs, with many stocks going up and down simultaneously. As a result, investors are always looking for the best stocks to invest in during these times of intense volatility.
This article will provide you with 10 top picks that have a good chance of being one of the most profitable investments for the next year if they continue to be successful.
For those investors looking at short-term trading stocks, it is important to remember: Past performance does not guarantee future success.
In the first part of this list, we will cover five technology stocks, while the other five will be a mix of companies in varying sectors.
10 Best Stocks to Invest in September 2022
Alphabet (GOOGL)
Alphabet (GOOGL) is a parent company that has been performing well. Google, one of their many subsidiary companies, has been performing well as an advertising company in a very competitive market. In addition, the company has made numerous acquisitions to help expand its market share and see rising revenues and profits. But the future does not look so good for Google’s flagship search business.
The company’s Google business unit, which is responsible for all of the company’s flagship products, reported revenues of $21.4 billion for the quarter. Revenues grew 20 percent year over year, with both mobile search and YouTube contributing to gains in revenues and profits reported by Alphabet last quarter.
In its quarterly earnings report, Alphabet Inc. (GOOGL) reported Q2 revenues of $21.5 billion, up from $20.3 billion in Q1 and missing revenue estimates by a penny as analysts had expected revenue of $21.57 billion on an adjusted basis.
Earnings per share were $8.10, compared to the Wall Street consensus estimate of $8.14 per share and beating estimates by 0 cents per share as the company continued to report strong growth in advertising revenues with a 35 percent increase year-on-year in high-margin display ads and auto-generated search ads being a key contributor to Alphabet’s gains in Q2 revenues last quarter. In addition, Alphabet’s “other bets’ segment – which includes the company’s self-driving cars and Google Fiber, a broadband internet service provider venture – contributed $2.1 billion, a third straight quarter of strong performance for Alphabet’s other segments.
Advertising revenues at the Google segment rose 27 percent year over year on growth in paid clicks, rising 26 percent to $30.3 billion in Q2, while average cost-per-click declined by 2 percent year over year to $7.56 from $7.71 a year ago as the mix of clicks shifted toward lower-cost traffic sources such as mobile search clicks.
Amazon (AMZN)
Amazon (AMZN) is the second pick on this list. This company has been performing well as a retailer and bookstore while expanding its offerings.
The revenue has been rising along with the stock price, and shares are now reaching all-time highs as investors continue to anticipate great things for Amazon.
However, analysts believe that when Amazon is no longer keeping costs low enough to increase profits and revenue, we will see a decline in the stock’s value in a few years. Other struggling retailers such as Sears could eventually join this list.
Microsoft (MSFT)
Microsoft (MSFT) is the third most popular stock on this list. Having begun as a software company, Microsoft has diversified itself into various other markets such as online gaming, search engine, and even phone manufacturing.
Microsoft has a lot of potential as an investment. It is still a strong company but has lost some of its luster over the past decade.
The stocks are still performing very well, but the growth is less than it used to be, and the stock price has not been recovering like other companies on this list.
However, the company’s fundamentals are strong and can still grow even if the stock price has not been rising recently.
Meta Platforms (FB)
Meta Platforms (FB) is the fourth on this list. The online social network has been a blockbuster hit since its inception, growing from just a college project to being one of the biggest companies on the internet.
As with Amazon and Microsoft, FB has impressive growth numbers. The stock price continues to rise as investors place a high value on this social network.
S&P 500 (SPX)
The S&P 500 is a stock market index intended to represent the performance of the large-cap U.S. equity market. The S&P 500 index, as it is typically called, was created by Standard & Poor’s (S&P) and is maintained and published by McGraw Hill Financial (MHF).
The S&P 500 index is based on the stock prices of 505 large companies that trade on either the NYSE or NASDAQ in an effort to emulate the overall movements of stocks in these two exchanges; however, between 1991-2002, it was a calculated as a price-weighted average of those five hundred stocks. S&P divested itself of the ownership of the index in 2002, and, today, the S&P 500 is owned and published by S&P Dow Jones Indices under the ticker SPX.
Intuitive Surgical, Inc. (ISRG)
Intuitive Surgical, Inc incorporated on March 1, 2000, is a medical instruments and devices company. The company’s products are used in various surgical procedures around the world.
As of June 30, 2017, the company had two sources of revenue: product sales and service revenues. Product sales are derived from the sale of robotic surgical systems domestically and internationally to hospitals and clinics; other products consist principally of disposable instruments that are sold to customers in connection with surgical procedures performed by these customers.
The company’s product sales are made in the United States, Canada, Israel, and other foreign countries. As of June 30, 2017, the company operated in 48 countries.
The company’s surgical robotic systems consist of the da Vinci Surgical System (the da Vinci Surgical System), or da Vinci; which is a single-site robot that is designed to perform minimally invasive surgery.
Although it can also be used for open surgery procedures; and the da Vinci Xi Surgical System (the da Vinci Xi Surgical System), or Xi; which is an advanced single-site system with enhanced ergonomics and a larger work envelope than the original DaVinci system.
The company provides service contracts with its robotic surgical systems. Under the terms of these contracts, customers are entitled to various levels of service covering the life of the robotic system. As of June 30, 2017, the company’s da Vinci systems had an estimated 36-month useful life.
The company completed its initial public offering in December 2011. The company is headquartered in Sunnyvale, California.
Redfin Corporation (RDFN)
Redfin is an online real estate brokerage that helps people buy, sell and rent houses. The company operates in three segments: Redfin Established Market, Mid-Atlantic, and Redfin Metro.
The company’s core markets are Washington, D.C.-Baltimore; Seattle-Tacoma; Chicago; Minneapolis-St. Paul; Detroit; Portland, Oregon; and the San Francisco Bay Area.
As of June 30, 2017, the company had an international presence in Toronto, Ontario, Canada, Sydney, and Melbourne, Australia.
Palo Alto Networks, Inc. (PANW)
You may not have heard of Palo Alto Networks. Still, it’s currently trading at a reasonable 16.7x P/E ratio and has a 3.06% dividend yield for the next World Cup. It’s also in the business of cyber security and is riding on artificial intelligence as cybersecurity threats increase globally.
The company earned $0.40 a share in its latest quarter, easily topping the consensus estimate of $0.15, with revenue increasing 73% year-over-year to $321.5 million versus the consensus estimate of $305.56 million. The strong earnings have been driven by growth in subscriptions, and a large portion of that comes from recurring subscription revenues.
The stock has been on quite a ride as it plummeted from 16.6x P/E to just over 6.5x at the end of June because of numerous hits to the stock price, including a mere 1.3% jump before earnings and two successive down days in May and June that caused the stock to fall by almost 4%.
The company’s operations are split into two segments: Platform and Professional Services, which accounted for 85% of revenues in fiscal 2016, and service, which is what the company calls its recurring subscription business that has come to be known as software as a service (SaaS). It expects this business to be at more than $1 billion in revenue by the close of fiscal 2017.
The company has a stellar balance sheet with over $1 billion in cash and no debt, trading at just over 6x cash flow, on top of 20%+ earnings growth and a 3.06% dividend yield.
But it is now up 10% since its recent lows. You can see from the chart below that the company has had a decent run since this time last year, with some good volatility included in there as well:
Shopify Inc. (SHOP)
Shopify is a commerce platform where you can create an online store and start selling your products. It is one of the lowest-priced stocks on the market today. Shopify has a lot of great things going for it, including its low price and high potential for revenue growth. Shopify is also one of the leading corporations to be investing in because it is predicted to reach $117 billion by 2029, according to its long-term growth rate.
Shopify has great potential to become a billion-dollar company:
- It can handle up to 1,000,000 orders per day
- They have over 500 employees, and the average is $35 an hour. If they all work 8 hours a day, five days a week, that would cost $516,000 per day. The revenue they bring in every year is $100 million
- Shopify’s platform has over 200 products that it offers as tools for building online stores of any type. There are apps for e-commerce for Apple and Android devices too
Tencent Holdings Limited (TCEHY)
Tencent Holdings Ltd is a Chinese investment holding company with operations in social media, entertainment, search engine, e-commerce, and other businesses. Tencent also provides value-added mobile services like gaming and shopping search.
Tencent’s main products include:
- The QQ IM software.
- The WeChat messaging service and games.
- The Qzone online social networking service.
The company also provides advertising, cloud computing, e-commerce, and Internet security services.
Tencent operates in various countries and regions, including Hong Kong, China Mainland, Taiwan, Singapore, and Thailand. Tencent is headquartered in Nanshan District, Shenzhen, and has over 50 offices worldwide.
Tencent is one of the most investor-friendly companies on Wall Street today because of the progressive strategies that have made it more financially viable to its investors.
Roku, Inc. (ROKU)
Roku, Inc. is a company that provides streaming media players and Roku-enabled smart TVs that stream internet television and music over the home network to several devices simultaneously. It also offers other related services such as private listening with its Roku Music service.
The company’s shares trade on NASDAQ in both U.S. and Canadian markets. Roku, Inc. is a minority owner of Major League Baseball’s Los Angeles Dodgers and holds a 14% stake in Cord Television Inc. (CTI) station-management company. Roku Inc., formerly called Roku Inc., comprises two divisions: Consumer Technology and Digital Content.
The company has two main products:
- Roku media players and TV-connected digital media players
- Soundbars
- Smart TVs (i.e., set-top boxes)
It also provides streaming content to other connected devices such as game consoles like Xbox One or Sony PlayStation 3.
10 Best Stocks to Invest in September 2022
The stock market has many ups and downs, with many stocks going up and down simultaneously. As a result, investors are always looking for the best stocks to invest in during these times of intense volatility.
This article will provide you with 10 top picks that have a good chance of being one of the most profitable investments for the next year if they continue to be successful.
For those investors looking at short-term trading stocks, it is important to remember: Past performance does not guarantee future success.
In the first part of this list, we will cover five technology stocks, while the other five will be a mix of companies in varying sectors.
10 Best Stocks to Invest in September 2022
Alphabet (GOOGL)
Alphabet (GOOGL) is a parent company that has been performing well. Google, one of their many subsidiary companies, has been performing well as an advertising company in a very competitive market. In addition, the company has made numerous acquisitions to help expand its market share and see rising revenues and profits. But the future does not look so good for Google’s flagship search business.
The company’s Google business unit, which is responsible for all of the company’s flagship products, reported revenues of $21.4 billion for the quarter. Revenues grew 20 percent year over year, with both mobile search and YouTube contributing to gains in revenues and profits reported by Alphabet last quarter.
In its quarterly earnings report, Alphabet Inc. (GOOGL) reported Q2 revenues of $21.5 billion, up from $20.3 billion in Q1 and missing revenue estimates by a penny as analysts had expected revenue of $21.57 billion on an adjusted basis.
Earnings per share were $8.10, compared to the Wall Street consensus estimate of $8.14 per share and beating estimates by 0 cents per share as the company continued to report strong growth in advertising revenues with a 35 percent increase year-on-year in high-margin display ads and auto-generated search ads being a key contributor to Alphabet’s gains in Q2 revenues last quarter. In addition, Alphabet’s “other bets’ segment – which includes the company’s self-driving cars and Google Fiber, a broadband internet service provider venture – contributed $2.1 billion, a third straight quarter of strong performance for Alphabet’s other segments.
Advertising revenues at the Google segment rose 27 percent year over year on growth in paid clicks, rising 26 percent to $30.3 billion in Q2, while average cost-per-click declined by 2 percent year over year to $7.56 from $7.71 a year ago as the mix of clicks shifted toward lower-cost traffic sources such as mobile search clicks.
Amazon (AMZN)
Amazon (AMZN) is the second pick on this list. This company has been performing well as a retailer and bookstore while expanding its offerings.
The revenue has been rising along with the stock price, and shares are now reaching all-time highs as investors continue to anticipate great things for Amazon.
However, analysts believe that when Amazon is no longer keeping costs low enough to increase profits and revenue, we will see a decline in the stock’s value in a few years. Other struggling retailers such as Sears could eventually join this list.
Microsoft (MSFT)
Microsoft (MSFT) is the third most popular stock on this list. Having begun as a software company, Microsoft has diversified itself into various other markets such as online gaming, search engine, and even phone manufacturing.
Microsoft has a lot of potential as an investment. It is still a strong company but has lost some of its luster over the past decade.
The stocks are still performing very well, but the growth is less than it used to be, and the stock price has not been recovering like other companies on this list.
However, the company’s fundamentals are strong and can still grow even if the stock price has not been rising recently.
Meta Platforms (FB)
Meta Platforms (FB) is the fourth on this list. The online social network has been a blockbuster hit since its inception, growing from just a college project to being one of the biggest companies on the internet.
As with Amazon and Microsoft, FB has impressive growth numbers. The stock price continues to rise as investors place a high value on this social network.
S&P 500 (SPX)
The S&P 500 is a stock market index intended to represent the performance of the large-cap U.S. equity market. The S&P 500 index, as it is typically called, was created by Standard & Poor’s (S&P) and is maintained and published by McGraw Hill Financial (MHF).
The S&P 500 index is based on the stock prices of 505 large companies that trade on either the NYSE or NASDAQ in an effort to emulate the overall movements of stocks in these two exchanges; however, between 1991-2002, it was a calculated as a price-weighted average of those five hundred stocks. S&P divested itself of the ownership of the index in 2002, and, today, the S&P 500 is owned and published by S&P Dow Jones Indices under the ticker SPX.
Intuitive Surgical, Inc. (ISRG)
Intuitive Surgical, Inc incorporated on March 1, 2000, is a medical instruments and devices company. The company’s products are used in various surgical procedures around the world.
As of June 30, 2017, the company had two sources of revenue: product sales and service revenues. Product sales are derived from the sale of robotic surgical systems domestically and internationally to hospitals and clinics; other products consist principally of disposable instruments that are sold to customers in connection with surgical procedures performed by these customers.
The company’s product sales are made in the United States, Canada, Israel, and other foreign countries. As of June 30, 2017, the company operated in 48 countries.
The company’s surgical robotic systems consist of the da Vinci Surgical System (the da Vinci Surgical System), or da Vinci; which is a single-site robot that is designed to perform minimally invasive surgery.
Although it can also be used for open surgery procedures; and the da Vinci Xi Surgical System (the da Vinci Xi Surgical System), or Xi; which is an advanced single-site system with enhanced ergonomics and a larger work envelope than the original DaVinci system.
The company provides service contracts with its robotic surgical systems. Under the terms of these contracts, customers are entitled to various levels of service covering the life of the robotic system. As of June 30, 2017, the company’s da Vinci systems had an estimated 36-month useful life.
The company completed its initial public offering in December 2011. The company is headquartered in Sunnyvale, California.
Redfin Corporation (RDFN)
Redfin is an online real estate brokerage that helps people buy, sell and rent houses. The company operates in three segments: Redfin Established Market, Mid-Atlantic, and Redfin Metro.
The company’s core markets are Washington, D.C.-Baltimore; Seattle-Tacoma; Chicago; Minneapolis-St. Paul; Detroit; Portland, Oregon; and the San Francisco Bay Area.
As of June 30, 2017, the company had an international presence in Toronto, Ontario, Canada, Sydney, and Melbourne, Australia.
Palo Alto Networks, Inc. (PANW)
You may not have heard of Palo Alto Networks. Still, it’s currently trading at a reasonable 16.7x P/E ratio and has a 3.06% dividend yield for the next World Cup. It’s also in the business of cyber security and is riding on artificial intelligence as cybersecurity threats increase globally.
The company earned $0.40 a share in its latest quarter, easily topping the consensus estimate of $0.15, with revenue increasing 73% year-over-year to $321.5 million versus the consensus estimate of $305.56 million. The strong earnings have been driven by growth in subscriptions, and a large portion of that comes from recurring subscription revenues.
The stock has been on quite a ride as it plummeted from 16.6x P/E to just over 6.5x at the end of June because of numerous hits to the stock price, including a mere 1.3% jump before earnings and two successive down days in May and June that caused the stock to fall by almost 4%.
The company’s operations are split into two segments: Platform and Professional Services, which accounted for 85% of revenues in fiscal 2016, and service, which is what the company calls its recurring subscription business that has come to be known as software as a service (SaaS). It expects this business to be at more than $1 billion in revenue by the close of fiscal 2017.
The company has a stellar balance sheet with over $1 billion in cash and no debt, trading at just over 6x cash flow, on top of 20%+ earnings growth and a 3.06% dividend yield.
But it is now up 10% since its recent lows. You can see from the chart below that the company has had a decent run since this time last year, with some good volatility included in there as well:
Shopify Inc. (SHOP)
Shopify is a commerce platform where you can create an online store and start selling your products. It is one of the lowest-priced stocks on the market today. Shopify has a lot of great things going for it, including its low price and high potential for revenue growth. Shopify is also one of the leading corporations to be investing in because it is predicted to reach $117 billion by 2029, according to its long-term growth rate.
Shopify has great potential to become a billion-dollar company:
- It can handle up to 1,000,000 orders per day
- They have over 500 employees, and the average is $35 an hour. If they all work 8 hours a day, five days a week, that would cost $516,000 per day. The revenue they bring in every year is $100 million
- Shopify’s platform has over 200 products that it offers as tools for building online stores of any type. There are apps for e-commerce for Apple and Android devices too
Tencent Holdings Limited (TCEHY)
Tencent Holdings Ltd is a Chinese investment holding company with operations in social media, entertainment, search engine, e-commerce, and other businesses. Tencent also provides value-added mobile services like gaming and shopping search.
Tencent’s main products include:
- The QQ IM software.
- The WeChat messaging service and games.
- The Qzone online social networking service.
The company also provides advertising, cloud computing, e-commerce, and Internet security services.
Tencent operates in various countries and regions, including Hong Kong, China Mainland, Taiwan, Singapore, and Thailand. Tencent is headquartered in Nanshan District, Shenzhen, and has over 50 offices worldwide.
Tencent is one of the most investor-friendly companies on Wall Street today because of the progressive strategies that have made it more financially viable to its investors.
Roku, Inc. (ROKU)
Roku, Inc. is a company that provides streaming media players and Roku-enabled smart TVs that stream internet television and music over the home network to several devices simultaneously. It also offers other related services such as private listening with its Roku Music service.
The company’s shares trade on NASDAQ in both U.S. and Canadian markets. Roku, Inc. is a minority owner of Major League Baseball’s Los Angeles Dodgers and holds a 14% stake in Cord Television Inc. (CTI) station-management company. Roku Inc., formerly called Roku Inc., comprises two divisions: Consumer Technology and Digital Content.
The company has two main products:
- Roku media players and TV-connected digital media players
- Soundbars
- Smart TVs (i.e., set-top boxes)
It also provides streaming content to other connected devices such as game consoles like Xbox One or Sony PlayStation 3.