Investbank considers, that next year there won't be many companies with accelerating sales growth. Goldman Sachs has selected several of these and recommends investors to pay attention to them..
“Due to the effect of a high base and a possible slowdown in economic growth, especially in the second half of 2022, will be hard to find names, capable of showing an increasing increase in sales", - said the bank.
According to Goldman Sachs, in 2021 approximately 80% companies accelerated revenue growth. Next year, the share of such companies will be reduced to 25%: “We are looking for those, whose sales will increase faster in each half of the year ".
Who to look at
The largest company on the Goldman Sachs list is a manufacturer of aviation, space and military technology Boeing. According to the bank, the company has "significant short-term growth opportunities" as international and business travel recovers.
Other analysts also bet on Boeing. According to J. P. Morgan, phasing out old planes and reducing emissions will help attract investors, and also recertification of the 737 Max in China.
The country was the first to ban the flights of this aircraft after two accidents in 2018 and 2019 and demanded to improve the control system.. China is a large and important market for Boeing. The company recently tested the 737 Max in China and is awaiting regulatory approval shortly.. "We are thinking, China will need this aircraft, which will be a good incentive for the stock", - stated at Wells Fargo.
Next company on the list is Wingstop restaurant chain, focusing on chicken wings. Due to supply disruptions and a shortage of workers, the price of chicken has skyrocketed, but Goldman thinks, that Wingstop can successfully pass its costs onto consumers.
Apollo Investment Management Company, data center networking maker Arista and construction equipment rental company Herc are also on the Goldman list.
Expected revenue growth