3 Overlooked Stocks That Can Easily Double in 2024

Stocks to buy

Looking beyond the headline-creating stocks, it’s important to consider companies that fly under the radar. You know, companies with less than stellar coverage or business models largely ignored by the investing public. These three companies represent the sort of overlooked stocks that I think provide excellent value in this otherwise concentrated market.

These companies have solid fundamentals and growth possibilities, offering impressive upside potential with minimal risk — ideal for diversified portfolios.

For overlooked stock opportunities, consider these three hidden gems across various sectors. From fintech to manufacturing, each presents unique profit potential. With distinct advantages like cutting-edge technology and market dominance, they offer promising investment prospects before broader recognition.

Zoom Video (ZM)

Source: Girts Ragelis / Shutterstock.com

Although the world has somehow recovered from the COVID-19 lockdown, video conferencing company Zoom Video (NASDAQ:ZM) remains a flourishing business. Recently, the company launched Zoom Workplace in AWS Marketplace, simplifying access to various products and bolstering collaboration and communication in the digital age.

In other news, ZM and Avaya joined forces to enhance enterprise collaboration, integrating ZM Workplace with Avaya’s Communication & Collaboration Suite and improving user experiences. Despite the cloud trend in enterprise communications, many large banking, government and travel organizations hesitate to shift from on-premise solutions. Avaya CEO Alan Masarek’s campaign promotes cloud migration, with Zoom as a bridge to Avaya’s Communication Manager. That setup offers significant customer benefits.

The stock now boasts a forward price-earnings ratio of just 12 times, far too cheap for its long-term growth prospects. Indeed, the company has continued to impress investors with its strong Q4 revenue numbers. The transition toward enterprise revenue is poised to accelerate Zoom’s long-term growth.

Devon Energy (DVN)

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Analysts currently favor Devon Energy (NYSE:DVN). Citi (NYSE:C) and Wells Fargo (NYSE:WFC) analysts are optimistic, favoring Devon Energy amid oil’s $86/barrel price and production curtailment by OPEC and OPEC+ countries. Devon’s assets and shareholder policy make it a strong buy for oil bulls.

UBS (NYSE:UBS) also raised Devon Energy’s target to $57 from $48, maintaining a Neutral rating. It anticipates strong Q1 results, driven by robust Q4 performance. Analysts expect high-end oil volumes, leading to positive operational updates in the company’s Delaware and Williston basin operations. The company’s focus on share buybacks over variable dividends will likely enhance shareholder value. Despite uncertainties around M&A plans and valuation, optimism surrounds the upcoming Q1 2024 report.

Devon Energy’s dividend structure combines fixed and variable components, rewarding investors during energy market upswings. That approach may not suit income-focused investors seeking predictability but appeals to those willing to take risks. Recent share price gains reflect growing investor interest. Devon Energy demonstrates long-term value creation through wise investments and strong return on investment.

The Metals Company (TMC)

Source: Manu Galdamez/ShutterStock.com

Mining stocks, like tech giants, often go unnoticed, but The Metals Company (NASDAQ:TMC) pioneers deep-sea mining for valuable polymetallic nodules. While speculative, this long-term investment could yield significant gains. Analysts forecast up to $1 billion in revenue by 2027.

Gerard Barron, CEO of The Metals Company, highlighted 22 offshore campaigns over 12 years, gathering extensive marine data. Recent assessments show promising seafloor ecosystem states, challenging environmental concerns.

Despite low trading levels due to slow progress, TMC stock presents an intriguing option for risk-tolerant investors. The congressional bill passed on March 13 boosts TMC by supporting deep-sea mining, enhancing infrastructure and environmental analyses. Speculators may find value in TMC’s potential, especially around $1 per share.

On the date of publication, Chris MacDonald did not hold (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.com Publishing Guidelines.

Chris MacDonald’s love for investing led him to pursue an MBA in Finance and take on a number of management roles in corporate finance and venture capital over the past 15 years. His experience as a financial analyst in the past, coupled with his fervor for finding undervalued growth opportunities, contribute to his conservative, long-term investing perspective.

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