Stock Market Overview Heading Into 2022
October 31, 2021
Not only has the stock market has been a very chaotic and scary place the past few months, but most analysts have also been projecting it to worsen in the near future. That being said, most analysts have been wrong the past couple of years given the uncertainty the pandemic brought. Although there are a few solid indicators that the stock market will perform poorly over the next year, there is still an opportunity to be made. Here are a few hot tickers to watch going into 2022 and beyond.
If you haven’t added Palantir ($PLTR) to your watch list, you must be living under a rock. This data analytics as a service company is taking over big tech by partnering with every large-cap company you can imagine. $PLTR’s biggest client happens to be the most powerful government in the world, the United States. They work with our military and other special operations within our government. CEO Alexander Karp along with fellow colleagues started this company after 9/11 to help track and counter terrorists before they could strike. Two decades later and they are now in control of the most powerful company that no one knows about. Palantir went public on September 30,2020 and has risen by 150% since.
My next suggestion is a sneaky play that most financial gurus are choosing to overlook. This sector should be heavily boosted by the Biden administration and rising energy costs. I’m talking about uranium. Uranium is what fuels nuclear energy, and nuclear energy is the future of sustainable energy for our planet. With oil prices on the rise with no stop in sight, climate change beginning to impact the world, and climate change advocates trying to change the status quo it’s inevitable that we will turn to nuclear energy to power our world.
Nuclear energy already produces roughly 20% of all energy used in America and that is expected to rapidly increase within the next few decades. A few uranium mining companies you should check out are Denison Mines ($DNN), NexGen Energy ($NXE), and Cameco ($CCJ). These small-cap companies have great potential. At the time of writing this, Denison Mines is up 437% year-to-date, NexGen Energy is up 253% year-to-date, and Cameco is up 169% year-to-date. Also check out NorthShore Global Uranium Mining ($URNM) to better understand how uranium has been performing. $URNM is an ETF that tracks a market-cap-weighted index of global companies in the uranium industry.
Another industry you should be paying attention to is somewhat of a no-brainer. The electric vehicle industry has been hot in the market ever since Tesla became the largest automotive company in the world. Many other start-ups and automotive giants have been trying to compete with Tesla, but until this year, they couldn’t even come close to their level. Looking into 2022, that might just change. We more than likely won’t see a new Tesla emerge, but we will start to see other electric vehicle companies on the road around the world. Companies like Lucid Motors ($LCID), NIO ($NIO), Xpeng ($XPEV), and Rivian (privately owned). These underdogs have been starting to create some headlines as they begin to deliver their first vehicles and ramp up production. It’ll be exciting to see the future of this industry.
The last play I would like to mention is a very risky one. Virgin Galactic Holdings ($SPCE) is an aerospace and space travel company that engages in the manufacture of advanced air and space vehicles. I am serious; Richard Branson’s space company has some serious potential in the next decade. If you think space travel is going to just disappear out of nowhere, you’re wrong. There are many outcomes for this spec play and many of them end in failure. Many of those outcomes end in a new industry founded by only 3 space travel companies; SpaceX, Blue Origin, and Virgin Galactic. Virgin Galactic is the only publicly-traded company out of those 3.