Nothing is boring about making money… But for most of 2020, the cool and shiny technology stocks could do no wrong and led the stock market to profitable highs. So, as investors are looking for new opportunities to make large gains away from FAANG stocks and the usual suspects in the Nasdaq, there are three stocks in less sexy industries that we expect to perform well moving forward.
The Nasdaq is down about 7% since its all-time high and continues to decline even with a reopening and recovering economy.
In contrast, the 10-year U.S. Treasury yield is hovering around its 14-month high.
This is making investors increasingly more worried about interest rates and associated inflationary fears.
The way to make gains in the stock market at this present time then is to concentrate on the “low-hanging fruit.” Sectors like industrials (which generally increases with interest rates), financials, energy, and basic materials look a lot less boring than the usual large-cap tech sphere.
Watch the full interview for three stocks we are highlighting, which coincide with this thesis. Stocks that pay a large dividend, have intrinsic value, and have had great stock price appreciation, which we see will continue this year.