Three Stocks to Watch for the Week of June 28th

The market made a strong comeback last week with the S&P 500 and the Nasdaq both hitting record highs.  This week stocks could continue to push higher on hopes that inflation is as transitory as the Fed claims, and that additional government spending could be on the way if the infrastructure bill gets passed. 

Now is the time to be looking for stocks to add to your watchlist.  And we’ve got three for you to consider.  

Today we’ll give you three stocks that have one thing in common, and that’s the potential for strong upside.  Read on to learn what gives these potential winners the advantage and find out why you need to have them on your radar now.   

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E-commerce thrived last year amid lockdowns and social distancing restrictions and continues to thrive as many are maintaining remote agangements.  In the first quarter ended March 31st, e-commerce sales in the United States increased 39% year over year to $196.66 billion.  Online sales accounted for 19.5% of total retail sales in the first quarter, which is an increase of 360 basis points from the same period last year.  

E-commerce is likely to be a continued habit for many.  Statista projects e-commerce sales in the U.S. will steadily climb to $563.4 billion by 2025.  One company that stands to benefit greatly from rising e-commerce sales is Stamps.com (STMP), a leading provider of online mailing and shipping solutions.  Stamps.com helps businesses fulfill hassle-free shipping and seamless deliveries. 

In April Stamps.com subsidiary GlobalPost debuted its HS code lookup tool which has helped facilitate smooth deliveries and avoid delays and unnecessary fees and taxes.  The new addition is attracting more customers by improving delivery experiences.  

The consensus expects a 13.1% increase in revenue from last year to boost STMP’s 2021 revenue to $887.36 million.  Analysts expect the company’s EPS to increase by 17.3% year-over-year.  Stamps.com has surpassed analyst estimates in each of the trailing four quarters.  

The current consensus among analysts polled is to Buy STMP stock.  The 12-month median price forecast of $340 represents an increase of 66.48% 

Renewable chemicals and advanced biofuels company, Gevo Inc. (GEVO) may see upside thanks to the Biden administration’s push for enhanced infrastructure and cleaner energy.  With the country hungry for green solutions, this provider of cleaner alternatives to petroleum-based products could do quite well. 

Gevo’s liquid hydrocarbons have potential to yield net-zero greenhouse gas emissions when burned and can be used for drop-in transportation fuels such as gasoline, jet fuel and diesel fuel.  A huge plus for investors with a focus on ESG. 

In February, share price for GEVO rocketed, only to be knocked down.  Since its February peak, GEVO is down more than 40%, causing value investors to begin to take notice again.  

The current consensus is to Buy GEVO stock.  The median 12-month price target of $17 represents a hefty 109% increase from its current price.  

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 Fiverr International (FVRR) is a bet on the burgeoning gig economy.  The company operates an online freelancing platform that connects buyers and sellers.  Fiverr’s platform allows freelancers to connect with buyers in a variety of verticals, such as graphic designing, digital marketing, translation, legal and more.

FVRR recently expanded its service to Latin American countries, including Brazil and Mexico.  The company has also launched Fiverr Business, which is a subscription-based service that helps users manage and collaborate with teams of freelancers.  

Fiverr share price gained almost 700% in 2020, but the stock has pulled back nearly 30% from it’s mid-February peak.  Of nine analysts polled, 7 rate the stock a Buy and two call it a Hold.  There are no Sell ratings for FVRR stock.  

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