TheStreet and its investing experts from Real Money and Action Alerts PLUS are picking the best stocks to buy in 2021. If you're looking at stocks to buy or are just getting started growing your long-term wealth, check out the best stocks to buy by sector below.
Buy Trulieve Cannabis, Not Sundial Growers
The low-priced Sundial Growers (SNDL) - Get Sundial Growers Inc. Report has recently become a favorite of investors on social media, but Trulieve (TCNNF) - Get Trulieve Cannabis Corp. Report is a cannabis stock with much higher odds of long-term success. Real Money's James DePorre reviews an alternative cannabis investment to the WallStreetBets favorites.
Buy Skillz, Not GameStop
The move by GameStop (GME) - Get GameStop Corp. Class A Report over the past few weeks has been nothing short of breathtaking. One of the top gaming stock picks from Real Money's Tim Collins is Skillz (SKLZ) - Get Skillz Inc. Class A Report and a few others.
Buy Corsair Gaming, Not Koss Corporation
The insanity behind the recent move in headphone and accessories maker Koss Corporation (KOSS) - Get Koss Corporation Report has been a gift to the many insiders at the company, but it's been a huge risk for the average person. Instead of overpaying for a headphone maker that's going nowhere, consider these more promising alternatives including Corsair Gaming (CRSR) - Get Corsair Gaming, Inc. Report.
Best Energy Stocks to Buy in 2021
In case you're focusing on the future then Exxon Mobil (XOM) - Get Exxon Mobil Corporation Report is one of the energy stocks to buy for 2021, as the 2022 consensus earnings estimate and yielding an astronomical 8.0%. Other traditional energy plays include Chevron Royal Dutch Shell, among others.
Best Retail Stocks to Buy for 2021
Only a few retailers who focused on food and essential goods such as Walmart (WMT) - Get Walmart Inc. Report and Costco (COST) - Get Costco Wholesale Corporation Report were among those benefiting the most from the Coronavirus pandemic as it took a toll on the sector. But Caleres (CAL) - Get Caleres, Inc. Report and Quarte Retail (QRTEA) - Get Qurate Retail, Inc. Class A Report are among the stocks that are expected to see enormous year-over-year profit improvement.
All are expected to see enormous year-over-year profit improvement of these stocks trade for bargain-basement multiples compared with their own normalized price-to-earnings.
Best Dividend Stocks to Buy for 2021
When looking at dividend-paying companies, there are thematic tailwinds that should continue to grow throughout 2021. These tailwinds include 5G technology, plant-based proteins, and surging digital shopping.
Further dividend increases are likely to be seen from companies capitalizing on those three components, including Broadcom (AVGO) - Get Broadcom Inc. Report, Qualcomm (QCOM) - Get Qualcomm Inc Report, International Flavors & Fragrances (IFF) - Get International Flavors & Fragrances Inc. Report, and Walmart, among others.
Best Travel Stocks to Buy for 2021
From airlines to hotels, the travel sector was among the industry harmed the most from the Coronavirus pandemic, but it is expected to bounce back as the vaccine continues to roll out and people resume their postponed travel plans.
Among the stocks that are expected to boom in 2021 are Expedia (EXPE) - Get Expedia Group, Inc. Report, Choice Hotels (CHH) - Get Choice Hotels International, Inc. Report, Intercontinental Hotels Group (IHG) - Get InterContinental Hotels Group Plc Report, among others.
Best Gaming Stocks to Buy for 2021
The gaming industry has been impacted by the coronavirus pandemic in terms of performance, competitive landscape, and future outlook, but it is expected to exceed $180 billion by 2021.
Activision Blizzard (ATVI) - Get Activision Blizzard, Inc. Report is among the key stocks to buy for 2021. The entertainment software publisher launched the fastest-selling PC game to date "World of Warcraft."
It also surpassed both revenue and earnings per share expectations with $0.71 per share on $1.77 billion in revenue. The fourth quarter is expected to slightly surpass expectations, but with the strength of "WoW" and console upgrade cycle, Q4 numbers, and the first half of next year could continue the strong growth trend.
Best Industrial Stocks to Buy for 2021
The industrial sector has been diversified to include companies with a booming future based on factors such as an excellent balance sheet like that of Honeywell (HON) - Get Honeywell International Inc. Report and a free cash flow in the case of General Electric (GE) - Get General Electric Company Report, among others.
Best Cannabis Stocks to Buy for 2021
Investors look at profitability and balance sheet stability when it comes to the cannabis industry. Based on sprouting opportunities and latest quarter earnings, Innovative Industrial Properties (IIPR) - Get Innovative Industrial Properties Inc Report and Florida-based Trulieve Cannabis Corp. (TCNNF) - Get Trulieve Cannabis Corp. Report are among the top picks to buy for 2021.
Best Small-Cap Stocks to Buy for 2021
Best Gambling Stocks to Buy for 2021
Those who are unfamiliar with the gambling sector may want to start with the basics and consider Rounhill Sports Betting (Roundhill Sports Betting ) which will provide a broad exposure to the entire sector at a 0.75% expense ratio.
Some of the best-performing trading names that will continue to grow in 2021 include Penn National Gaming (PENN) - Get Penn National Gaming, Inc. Report and DraftKings (DKNG) - Get DraftKings Inc Class A Report.
Best Asian Stocks to Buy for 2021
Asia's response to the coronavirus pandemic, which included voluntary mask-wearing and social distancing taking hold a lot faster than mandated, puts the region on the path to recovery in 2021.
Best Biotech Stocks to Buy for 2021
Those investors considering small-cap biotech, biopharma, and healthcare sectors need to understand that diversification is key to staying sane and profitable over the long term.
Some of the names that investors should consider include Heron Therapeutics (HRTX) - Get Heron Therapeutics Inc Report and Theravance Biopharma (TBPH) - Get Theravance Biopharma Inc Report among others.
Best Tech Stocks to Buy for 2021
Digital transformation continues to be the largest and most investable trend in a generation, and the concept should continue in 2021, too. Some of the recommended stocks for next year include Maxar Technologies (MAXR) - Get Maxar Technologies, Inc. Report and Lumentum (LITE) - Get Lumentum Holdings, Inc. Report, among others.
Best Healthcare Stocks to Buy for 2021
The SARS-CoV-2 virus had unleashed many attempts made by many firms at successfully finding a safe and effective vaccine, not to mention therapeutics for the already stricken. But a better bet might be larger firms involved in a broad array of treatments for a wide variety of ailments.
Best REITs to Buy for 2021
TheStreet shared five REITs that performed relatively well throughout 2020, maintaining strong occupancy thanks to their recession-resistant business models. These REITs also maintained (or even increased) their dividends this year, while so many other REITs had to cut or suspend their dividends.