Investing around $5,000 in these Three Stocks Sitting Close to Their Yearly Low Points.
Investing $5,000 in undervalued stocks has the potential to yield significant profits, especially when you put in the time to carefully research your choices. Three promising growth stocks trading near their lows are Advanced Micro Devices (AMD), Amgen, and Prologis.
1. Advanced Micro Devices (AMD)
Despite facing stiff competition from Nvidia, Advanced Micro Devices (AMD) remains a compelling investment option. The tech company's lower-priced offerings provide valuable alternatives to Nvidia's high-end chips, making it an attractive option for businesses. AMD isn't producing the growth rates of rival AI stocks, but with its upcoming Instinct MI325X chip, there's potential for significant gains. In its recent quarter, AMD's net revenue grew by 18%, reaching $6.8 billion. Although this growth rate might not put it in the same league as other AI stocks, it underscores AMD's potential as a growth stock for the long haul.
2. Amgen
Pharmaceutical giant Amgen isn't attracting the attention it deserves despite its many growth opportunities. With its recent acquisition of Horizon Therapeutics, Amgen is investing in promising developments like its GLP-1 drug, MariTide. MariTide helps patients lose around 20% of their body weight, putting it on par with successful treatments from Eli Lilly and Novo Nordisk. Although MariTide didn't deliver the 25% weight loss that analysts had expected in recent trials, it still holds potential for long-term growth in the anti-obesity drug market. Investors may be overreacting to the recent news, which creates an attractive buying opportunity for those looking for a strong value play.
3. Prologis
Logistics real estate investment trust (REIT) Prologis is another undervalued stock option worth considering. As demand for e-commerce continues to grow, Prologis' diverse mix of customers and portfolio—ranging from consumer products to electronics to home goods—ensures long-term stability. Prologis has seen its profits more than double since 2020, and given its room for further growth, it could emerge as a potent growth stock for investors.
When investing $5,000, it's essential to conduct thorough research, evaluate your risk tolerance, and carefully consider your investment goals. Although these stocks represent promising opportunities, it's always essential to approach any investment with caution.
Investing in Advanced Micro Devices (AMD) could provide substantial returns, considering its potential growth with the upcoming Instinct MI325X chip. This investment requires keen interest in finance and a willingness to monitor the technology sector's trends.
Amgen, despite being a pharmaceutical giant, might be underappreciated by investors. Its acquisition of Horizon Therapeutics and promising drugs like MariTide present unmissable opportunities for those who are interested in investing in the healthcare sector.
