As we step into 2024, investors are adjusting to the realization that the Federal Reserve’s triumph over inflation may not be as imminent as previously anticipated. The last few weeks of 2024 have seen this shift in expectation.
Economic growth is also predicted to be subdued this year. A report from Argus Research highlights that the peak growth of the US economy was witnessed in the third quarter of 2023, with a significant slowdown expected in the first half of 2024.
This is primarily attributed to the decrease in US household savings accumulated during the pandemic, which had bolstered the economy in 2023 despite challenging conditions.
Nevertheless, there is an expectation of stock market growth and earnings expansion in 2024.
Read More: 3 Tech Stocks That May Be Positioned For a Big Rally
Morgan Stanley’s Strategic Stock Selections
Morgan Stanley, in its Equity Sales Global Thoughts, Themes, and Ideas report published in December, highlighted a list of potential stock buys for 2024.
We will look at some of these stocks below.
Lazard Inc (NYSE:LAZ): Lazard Inc is noted for its financial advisory and asset management services.
Wolfe Research upgraded the company’s rating earlier this month. Insider Monkey data shows that 11 hedge funds had stakes in Lazard as of the third quarter of 2023.
Varonis Systems Inc (NASDAQ:VRNS): Varonis Systems, a security software company, is highlighted for its significant upside potential.
Susquehanna’s December bullish rating on the stock reflects a positive outlook for cybersecurity sector spending.
Seagate Technology Holdings PLC (NASDAQ:STX): Seagate Technology Holdings is noted by BMO Capital for its placement in a list of tech stocks with high growth at a reasonable price.
“Our analysis suggests that the sector outperforms about 80% of the time in the year following similar two-year performance levels,” BMO Capital stated regarding tech stock performance trends.
L3Harris Technologies Inc (NYSE:LHX): L3Harris Technologies, an aerospace and defense company, has been recognized for a substantial potential upside in 2024 by Morgan Stanley.
Diamond Hill Mid Cap Strategy commented on the company’s prospects, noting, “We anticipate the US’s defense budget will be better than expected over the next few years…We accordingly capitalized on a recent share-price decline to initiate a position at what we consider a compelling valuation.”
Discover Financial Services (NYSE:DFS): Discover Financial Services is recommended for its potential upside.
Despite a value drop over the past year, its dividend yield and revenue growth remain notable.
Also Read: Dividend Stocks: What they are and 10 Things to look for when Evaluating a Dividend Stock
NU Holdings Ltd (NYSE:NU): NU Holdings is praised for its market opportunity, business model, and management team.
White Falcon Capital Management elaborated on their investment in Nu Holdings in their fourth-quarter 2023 investor letter, highlighting the company’s significant market presence in Latin America.
Devon Energy Corp (NYSE:DVN): Devon Energy Corp is recognized for its high upside potential.
BMO Capital included it in a list of January 2024 laggards expected to outperform for the remainder of the year.
Biogen Inc (NASDAQ:BIIB): Biogen Inc is favored for its substantial upside.
Baird’s bullish outlook on the biotech sector and the potential rate cuts in 2024 reinforce the positive prospects for Biogen and similar companies.
Morgan Stanley’s Investment Strategy: A Focus on Growth and Stability
This analysis showcases Morgan Stanley’s strategic approach to stock selection, focusing on companies with strong growth potential and favorable market positions.
These insights offer investors valuable guidance for making informed decisions in the evolving financial landscape of 2024.
Read Next: Dividend, Growth, and Value Investing: What is Each One and How Do They Compare?
DISCLAIMER
You should read and understand this disclaimer in its entirety before joining or viewing the website or email/blog list of SmallCapStocks.com (the “Publisher”). The information (collectively the “Advertisement”) disseminated by email, text or other method by the Publisher including this publication is a paid commercial advertisement and should not be relied upon for making an investment decision or any other purpose. The Publisher is engaged in the business of marketing and advertising the securities of publicly traded companies in exchange for compensation. The track record, gains, upside, and/or losses mentioned in the Advertisement, if any, should not be considered as true or accurate or be the basis for an investment. The Publisher does not verify the accuracy or completeness of any information included in the Advertisement. While the Publisher does not charge for the SMS service, standard carrier message and data rates may apply. To unsubscribe from receiving promotional text messages to your phone sent via an autodialer, using your phone reply to the sender’s phone number with the word STOP or HELP for help.
The Advertisement is not a solicitation or recommendation to buy securities of the advertised company. An offer to buy or sell securities can be made only by a disclosure document that complies with applicable securities laws and only in the states or other jurisdictions in which the security is eligible for sale. The Advertisement is not a disclosure document. The Advertisement is only a favorable snapshot of unverified information about the advertised company. An investor considering purchasing the securities, should always do so only with the assistance of his legal, tax and investment advisors. Investors should review with his or her investment advisor, tax advisor or attorney, if and to the extent available, any information concerning a potential investment at the web sites of the U.S. Securities and Exchange Commission (the "SEC") at www.sec.gov; the Financial Industry Regulatory Authority (the "FINRA") at www.FINRA.org, and relevant State Securities Administrator website and the OTC Markets website at www.otcmarkets.com. The Publisher cautions investors to read the SEC advisory to investors concerning Internet Stock Fraud at www.sec.gov/consumer/cyberfr.htm, as well as related information published by the FINRA on how to invest carefully. Investors are responsible for verifying all information in the Advertisement. As an advertiser, we do not verify any information we publish. The Advertisement should not be considered true or complete.
The Publisher does not offer investment advice or analysis, and the Publisher further urges you to consult your own independent tax, business, financial and investment advisors concerning any investment you make in securities particularly those quoted on the OTC Markets. Investing in securities is highly speculative and carries an extremely high degree of risk. You could lose your entire investment if you invest in any company mentioned in the Advertisement. You acknowledge that we are not an investment advisory service, a broker-dealer or an investment adviser and we are not qualified to act as such. You acknowledge that you will consult with your own independent, tax, financial and/or legal advisers regarding any decisions as to any company mentioned here. We have not determined if the Advertisement is accurate, correct or truthful. The Advertisement is compiled from publicly available information, which include, but are not limited to, no cost online research, magazines, newspapers, reports filed with the SEC or information furnished by way of press releases. Because all information relied upon by us in preparing an advertisement about an issuer comes from a public source, it is not reliable, and you should not assume it is accurate or complete.
By your subscription to our profiles, the viewing of this profile and/or use of our website, you have agreed and acknowledged the terms of our full disclaimer and privacy policy which can be viewed at the following link: www.SmallCapStocks.com/Disclaimer and www.SmallCapStocks.com/Privacy-Policy
By accepting the Advertisement, you agree and acknowledge that any hyperlinks to the website of (1) a client company, (2) the party issuing or preparing the information for the company, or (3) other information contained in the Advertisement is provided only for your reference and convenience. The advertiser is not responsible for the accuracy or reliability of these external sites, nor is it responsible for the content, opinions, products or other materials on external sites or information sources. If you use, act upon or make decisions in reliance on information contained in any disseminated report/release or any hyperlink, you do so at your own risk and agree to hold us, our officers, directors, shareholders, affiliates and agents harmless. You acknowledge that you are not relying on the Publisher, and we are not liable for, any actions taken by you based on any information contained in any disseminated email or hyperlink.
I’m Elizabeth Monroe, a writer who brings you stories from around the world. I’m passionate about sharing important global news and amplifying the voices of those often left unheard. Through my writing, I aim to make the world feel a bit closer and more accessible.