Amazon (AMZN)
Amazon is the largest stock in billionaire George Soros’ portfolio at 2.4M shares owned. Amazon currently has a PEG ratio of 1.3 which is pretty good considering it’s historical average of around 2.48.
Amazon has beat their last 3 earnings calls and have a long history of being able to post strong earnings results. They have a diverse list of revenue sources and the average analyst rating for Amazon is a Buy right now with a +10% one year forecast. We currently have them rated a Strong Buy with a +14% one year upside.
Microsoft (MSFT)
Down around 20% in the past 6 months, Microsoft is a Strong Buy right now because of its diverse revenue sources and growth potential. Their 1.3 PEG isn’t as attractive as other AI stocks right now but it’s their overall diversification and AI use case that gives it a better risk profile than a lot of pure-play AI stocks out there. What makes their AI use case so appealing is that they will be able to launch AI services across the majority of their already existing product lines.
MSFT stock has a great valuation at a 24 PE given its 5 year historical average is around 33. They also have an impressive dividend history even if it’s only at a 1% average yield. Microsoft has also beat all 4 of their last earnings calls and analysts have rated Microsoft a Strong Buy with an average one year forecast of +36%. We have put them as low risk, medium reward and have rated it a Strong Buy with a +17% one year forecast.
Mastercard (MA)
Down 12% in the past 6 months, analysts are still incredibly bullish on Mastercard stock with a Strong Buy rating on average and a +40% one year forecast. MA has an incredible dividend history that dates back to 2006, and currently sports a 0.72% yield. Mastercard has a 6.3% market share which puts it behind competitors like American Express and Visa, a number that has actually come down slightly over the past quarter.
That said, they have beat their last 4 earnings calls and continue to post impressive revenue and EPS growth numbers. And thanks to impressive EPS forecasts and a historically low PE of 29, like analysts we currently rate Mastercard a Strong Buy and have them at an +18% one year growth forecast.
Topics: Mastercard stock review and price projection, MSFT stock price forecast, AMZN stock review
