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Top Discounted Stocks to Consider for Your Portfolio

Investors should consider discounted stocks like Constellation Brands, Celsius Holdings, and Wolfspeed. With market volatility, these companies present unique buying opportunities despite current challenges.

Date: 
AI Rating:   6

Investment Opportunities and Risks

The report highlights three compelling stocks to consider amid current market volatility and discounted prices. All three companies mentioned are experiencing different market challenges, impacting their stock performance but also presenting potential investment opportunities.

Constellation Brands (NYSE: STZ): The company is dealing with a significant downturn, with beer sales in the U.S. at a multi-decade low and a fourth-quarter earnings miss contributing to a 20% stock decline. Despite this, analysts maintain a positive outlook with a target price of $237.83, indicating a potential upside. The expected earnings per share (EPS) for this year is projected to be $13.33, which could suggest undervaluation and potential recovery, especially in the premium product segment.

Celsius Holdings (NASDAQ: CELH): This energy drink company has seen a year-over-year sales growth of 22% and is expected to continue this momentum, having captured significant growth in the energy drink market. However, shares are down over 70% from their peak, indicating overreaction in the market. Analysts are optimistic, projecting an average price target of $38.53, which suggests potential recovery as the brand can capitalize on its health-conscious product positioning.

Wolfspeed (NYSE: WOLF): Currently facing a challenging business environment, with shares down 95% from their 2022 highs, Wolfspeed is positioned within the growing silicon carbide market, vital for future technologies like electric vehicles and renewable energy. Although expected to remain in the red in the near term, the company could benefit significantly as demand for its technology grows, highlighting a potential high-risk, high-reward scenario for investors.

Overall, these companies, despite facing distinct challenges, offer varied opportunities for growth and recovery. Investors may find value in these stocks as they trade at significant discounts relative to future growth potential.