Many investors were happy with the returns their equity portfolios gave them in 2020. In particular, a large number of stocks doubled shareholder money last year.
From 2021 onwards, the search was launched to find stocks that would generate the same type of searing performance in the coming year. But it turns out that it took some companies less than two weeks to stand out.
ReneSola (NYSE: SOL), 3d systems (NYSE: DDD), and Globalstar (NYSEMKT: GSAT) have emerged as the first stock market leaders in 2021. All three have doubled or more by the start of the new year, and smart investors are taking a closer look at whether there is even more upside momentum for the their stock prices. Below we’ll tell you everything you need to know about this trio of winners.
ReneSola spends the day in the sun
2020 has been a good year for solar stocks and ReneSola has been one of the best. The stock rose over 700% last year, and as you can see above, it gets another surge in 2021.
ReneSola is a developer and operator of large-scale solar projects. The company has a global presence, operating with local teams in countries around the world. ReneSola has focused its attention on the areas where the profit margins of the projects are the highest and has gained a strong market share in some key regions of Eastern Europe, as well as in US states such as New York. and Minnesota.
ReneSola has had a lot of interest in solar projects, and 2021 has already brought a big one. A potential joint venture with a European asset management company will allow ReneSola to finance upcoming projects across Europe.
Additionally, investors voted to approve ReneSola’s strategic plans. The company successfully sold 2.5 million shares in a $ 16 per share offering, raising $ 40 million in capital. Shareholders were thrilled to see the company raise so much cash, blocking gains and pointing to a brighter future. If ReneSola uses this money wisely, it could help the stock continue to climb in the months to come.
3D Systems makes a big sale
3D Systems hasn’t had a year as strong in 2020 as ReneSola, with share price gains of just 20%. However, the 3D printing company has recovered well to start the new year, which has sparked new enthusiasm for its potential.
A large part of the challenges 3D Systems has faced in recent times is getting enough capital to invest in your business. Until recently, it had to rely on occasional stock offers to raise cash, which dilutes existing shareholders.
However, earlier this month, 3D Systems successfully sold its non-essential software division. This sale raised $ 64 million and as a result the company will have sufficient capital and will be able to avoid further sales of shares for the foreseeable future.
Additionally, 3D Systems sales for the fourth quarter were well above what most expected, with revenue of $ 170 million to $ 176 million, a one-year gain. to the long-awaited other 7%. After being under pressure for years, 3D Systems’ stock could continue to rise if the company generates further growth in 2021.
Globalstar seeks escape from penny stock state
Finally, Globalstar shares have tripled so far in 2021. The share has even briefly exceeded the $ 1 per share level for the first time in about three years. That’s a big turnaround from the 35% drop it suffered in 2020.
Globalstar operates a network of low Earth orbit satellites to provide communications services. Users can take advantage of the network for voice calls and data transmission. Yet despite the growth potential of this business, Globalstar’s revenue has barely budged in recent years and consistent profitability has been elusive.
Investors are hoping that will change based on a recent announcement from Nokia (NYSE: NOK). Nokia intends to use the Globalstar spectrum at the Port of Seattle as part of the operation of the shipping terminals. Shareholders hope the deal will lead to similar facilities elsewhere.
Unfortunately, Globalstar has not been the big winner in satellite communication. Rival actions Iridium communications (NASDAQ: IRDM) are up much sharper in recent years, and that seems like a better bet than Globalstar in the long run.
1 yes, 1 maybe, 1 probably not
Just because double action in the first few weeks of the year doesn’t make it an automatic buy. Of these three stocks, ReneSola seems to have the best long-term opportunities in a strong sector. 3D Systems is a viable candidate for turnaround if it can improve its business execution, while Globalstar needs a lot of work to be successful.
Investors can rest assured that there will always be stocks that double in any given year. By looking at those who already have it, you can unlock the secrets of success that will help you anticipate other stocks to match or exceed their earnings.