INVESTMENT HACKS
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With the market so unpredictable, its time to call in the experts. We turned to Jefferies investment firm to take a closer look at some of their most recent top stock picks. Using TipRanks, we ensured all the analysts covered below have a stellar stock picking track record. This is based on algorithms that measure 1) the analyst’s success rate i.e. if the call was profitable and 2) the average return per rating. With this in mind, let’s dive in to some of the firm’s favorite stocks now:
BIO
Five-star Brandon Couillard (Track Record & Ratings) has just added BIO (BIO – Research Report) to the firm’s elite Franchise Pick list. This disruptive healthcare stock develops, manufactures, and markets a broad range of products for the life science research and clinical diagnostics markets.
Following a deep dive into the company’s offerings, Couillard writes: “We see substantial hidden value in BIO’s droplet digital PCR (ddPCR) franchise that is under-appreciated by investors.” He expects the segment to grow at a 20-30% CAGR over the medium-term.
Digital PCR is an emerging third-gen iteration of a ubiquitously used method for detecting DNA—and BIO holds a fortress IP position the field. “We think the ddPCR market could easily grow to >$1B+ over the next few yrs (still in infancy today), particularly as it migrates into the clinical liquid biopsy space” writes the analyst, calling this one of the most compelling multi-year product cycle stories in Tools.
A SOTP [sum-of-the-parts] analysis suggests the core business trades at just 7x ’20E EBITDA, a 50% discount to peers. Couillard’s $420 price target indicates 56% upside from current levels. See what other Top Analysts are saying about BIO.
STZ
Drinks giant Constellation Brands (STZ – Research Report) is the #1 total beverage alcohol company in the U.S. Its brands include Corona, Modelo and Meiomi. However, STZ is no longer a pure-alcohol play.
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