In 2020, the stock market had some negative growth but soon came out of it. People were anxious to watch the price targets again to purchase stocks. Many industries are showing a decrease in stock growth. But there is still hope in the industry. Some sectors still managed to have growth in the market. The best example is the technology sector which has gained over 35% in the stock market.
As an investor, you need to be wise when navigating this sector landscape. Here is the four-top industry that has shown growth in the stock market.
Volkswagen is an auto company that has different successful auto brands. Other than auto services, the company offers other services such as financing and insurance. Unlike other leading companies, Volkswagen has the upper hand in research and making electric vehicles.
Despite the many challenges in 2020, Volkswagen continues to assure its investors more growth. The company is planning on investing 33 billion euros in e-mobility by the year 2024. They will be spending over 8 billion euros annually on development. It aims to become the leader in the battery-electric vehicle in the market.
With the above information, there is a high expectation of growth in stock in the future. As an investor, consider getting a VOW3 share. The share has a higher pay on dividends, as it pays EUR 4.80 per the ordinary share. Since 2016, the company has been getting a profit. They will have more profit as soon as they start a massive selling of electric vehicles.
Walmart is one of the largest private-sector employers around the globe. In 2020, the company had annual revenue of over $500 billion and a 2% sale growth. As consumer staples, they gained demand for their products despite the market cycle. Walmart has a reputation for low growth, but in 2020, it benefited from a growing economy.
Due to new memberships and strong renewal rates, Walmart has recorded a gain of 21.2% compared to the previous year. The company to have more sales due to its current digital presence. Walmart has also partnered with Shopify Inc., giving competition to online leaders such as Amazon. They also have an extra curbside pickup service and a subscription-based delivery.
The e-commerce sale increased by 40% by the year 2020. In 2021, EPs are expecting a rise of 13%. Walmart has a value category of B, which is in sync with the stock price/ sale of 0.72x, which tends to be 50% lower than 1.46x, which is the average in the industry. Since the current trend is online shopping, the company is likely to grow its stock.
Western Digital Corporation
In 2020, Western Digital Corporation has tremendous growth in stock. The company specializes in developing, manufacturing, and selling things such as hard drives and different storage places. By the end of last year, the stock price was at $53, making the overall stock value be over $15 billion.
Due to the current situation, office work is done at home. The company is likely to make more sales. However, people are saving their information on a cloud-based system. The system needs a hard drive for storage. These hard drives get spoiled after some time. Thus, they need more preparation or replacements.
As they try to be more creative, the company focuses on data centers and big companies. This remarkable move is likely to give the company a significant return. As they expect a great return, it would be wise to invest with them as early as possible.
Amazon is one of the top growing online-based companies in the United States due to its reliable services. The company has been able to win a significant number of customers. The company does delivery to their customers, so they did not have many challenges in 2020. Instead, it was an option for many customers. Even as many companies move online, Amazon will remain at the top.
In 2019, Amazon started a one-day delivery option for its prime members. This system gives them to have a healthy cash flow. With the quality of services and all they have invested in technology, there will be a rise in the stock market in 2021.
With the challenges experienced in 2020, we will keep an eye on the stock market. The industry mentioned above is showing growth with their stock.