Saturday, October 29, 2022

7 High-Risk Stocks For Aggressive Investors

This weekend's extracurriculars will revolve around the themes of risk and safety.  Today I present this week's article from U.S. News Invested, for those of you who are risk-on, featuring their seven best pics of high payoff stocks for those who prefer profits over safety.  Tomorrow I will present a list of much more conservative stocks designed for those who prefer income over growth.  Enjoy the weekend.  It's going to get wet soon. 


OCTOBER 27, 2022

U.S. News & World Report

Invested

Advice, rankings and stock market news for investors.

Good morning, investors. The Nasdaq loses ground, and a rare IPO brings a glimmer of hope to Wall Street.

Highlights of today's newsletter include our market insights plus these new articles:

7 High-Risk Stocks For Aggressive Investors
How to Invest in Lithium as EV Demand Grows


It's been a terrible year for hypergrowth investments. With interest rates soaring and risk appetites disappearing, many former high fliers have crashed and burned in 2022. But while financial conditions have tightened, there's no shortage of ongoing innovation that can lead to strong investor returns once sentiment picks back up.

With high-risk, high-reward stocks, there's less certainty of future returns. There's a reason these picks have all seen their share prices plunge in 2022. However, if things go right, these seven high-risk, high-reward stocks could all be "multibaggers," or stocks that soar several times higher than the purchase price, in the years to come:

Unity Software Inc. (ticker: U). Unity is a software company whose main asset is its Unity graphics engine. Today, Unity is primarily used to power video games. Its appeal is that it is easy for developers to learn to use, and it works across multiple platforms. A game developer can build a game for, say, PCs, and quickly port it to consoles and smartphones. Unity has a particularly strong position on mobile, where an estimated 70% of leading apps use Unity's engine. Going forward, virtual reality offers a huge opportunity for Unity, as it has the easiest-to-use graphics engine for creating augmented and virtual reality applications. The company is also working on broadening its graphics tools into non-gaming uses such as video animation, architecture and 3D commerce. Unity hasn't fully monetized its technology, and there are concerns around its advertising business. But if it can iron these problems out, the upside could be tremendous.

UiPath Inc. (PATH). UiPath is a software company focused on process automation. As the company's motto goes, "We make software robots, so people don't have to be robots." Specifically, UiPath's technology allows companies to automate repetitive data entry functions. Instead of having to pay skilled workers to do thankless tasks such as entering data from a website into a spreadsheet, a UiPath software robot can be deployed to do this automatically. The company has grown with tremendous speed, jumping from $336 million in revenue in fiscal 2020 to an estimated $1 billion for fiscal 2023. However, UiPath is only marginally profitable. It was also founded in Romania and retains substantial operations in Eastern Europe, thus raising some concerns due to Russia's invasion of nearby Ukraine. However, for investors with a high risk tolerance, UiPath looks like it has a tremendous growth trajectory ahead of it.

Click here to continue reading.


  • Unity Software Inc. (ticker: U)
  • UiPath Inc. (PATH)
  • Spire Global Inc. (SPIR)
  • Datadog Inc. (DDOG)
  • C3.ai Inc. (AI)
  • Dutch Bros Inc. (BROS)
  • Neogen Corp. (NEOG)

No comments:

Post a Comment