3 Top Stocks to Watch in Q3
Quite inexplicably, we woke up on Saturday to find ourselves already in the second half of 2023. Yep, that’s right, it’s July and Q3 is upon us. Today, we’re giving you an insight into some of the stocks we’ll be watching this quarter. After that, we’ll give you a rundown of the market events this week. Let’s go for it!
(Potentially) hot stocks in Q3
To be clear, we’re not here to give you stock market tips and there are certainly no guarantees. Let’s be honest, if we really knew what was going to happen, we’d be sunning ourselves on a private island somewhere and we’re not. BOOOOO!
Here are a few stocks we’ll be keeping tabs on between now and October.
1. Tesla (TSLA)
Current stock price: $261.77
% growth since the start of 2023: +142.16%
Source: Google
Tesla is the world’s leading electric vehicle manufacturer. You may have heard of it and its very camera-shy CEO. Cough, splutter.
The company is expected to continue to grow leaps and bounds in Q3, following a staggering 2023 so far. Tesla is benefiting from the growing popularity of electric vehicles and is also seeing strong demand for its solar panels and other energy products.
We’re expecting (hoping for) the growth to continue as Tesla’s production capacity is due to increase in the coming months, which may help to boost sales.
2. Kering (KER)
Current stock price: €505.60
% growth since the start of 2023: +4.55%
Source: Google
You might not have heard of this French multinational, but you definitely know the brands in Kering’s portfolio — for example, Gucci, Saint Laurent, and Balenciaga. Ring any bells?
The luxury goods market is on the up globally, but especially in China this Q3-Q4. Expensive products — allow us to introduce you to these 2 billion people over here… The growth potential is frightening.
3. Alphabet (GOOGL)
Current stock price: $119.70
% growth since the start of 2023: +34.31%
Source: Google
Google has become a major player in the cloud computing and advertising industries. It’s come a long way from its humble beginnings as a lowly search engine.
Google Cloud is the third-largest infrastructure service provider worldwide, trailing just Amazon Web Services (AWS) and Microsoft Azure. Google’s revenue from this sector grew 48% year over year in the third quarter of 2022, beating both Amazon and Microsoft.
The company is expected to continue to grow in Q3 2023 — whether it does so at that rate remains to be seen, but the signs do look promising!
What does history tell us?
One of the best things about trading is that there’s almost always some form of historical precedent, or at least some past experience to look back on and compare. Seasonal investing is no different.
The industries that tend to do well at this time of the year include:
● Tech. Technology stocks are often seen as a safe haven during periods of economic uncertainty, and Q3 is typically a strong quarter for the sector.
● Consumer discretionary. Um, “What’s that?”, you say. Consumer discretionary stocks are the ones that sell products or services that are not usually considered as being essential, such as travel, entertainment, and retail. In Q3, some consumers can have more disposable income and more willingness to engage with such activities and service providers.
● Healthcare. Not sure this ever changes, to be honest. Health and pharma are staples, all year round and tend to do well, even when the economy isn’t feeling so good.
With that in mind, here are a bunch of other stocks that may be worth a look in the near future:
● Amazon (AMZN)
● Meta Platforms (META)
● Netflix (NFLX)
● PayPal (PYPL)
● Alibaba (BABA)
● Apple (AAPL)
● Johnson & Johnson (JNJ)
● Berkshire Hathaway (BRK.A)
● Bank of America (BAC)
What are you watching?
Do you trade any of these stocks? Are you looking at any others? What’s your pick for Q3? Tweet us at @_contentworks to join the debate.
Top fundamental events this week
Let’s see what’s coming up this week.
Monday, 3 July
● CAD — Canada Day (markets closed)
● USD — Pre-US Independence Day, markets close early (13:00); ISM Manufacturing PMI (JUN)
● EUR — German Manufacturing PMI (JUN)
● GBP — Manufacturing PMI (JUN)
Tuesday, 4 July
● USD — US Independence Day (markets closed)
● AUD — RBA Interest Rate Decision (JUL)
Wednesday, 5 July
● GBP — Composite PMI (JUN); Services PMI (JUN)
● USD — FOMC Meeting Minutes
Thursday, 6 July
● GBP — Construction PMI (JUN)
● USD — Initial Jobless Claims; Services PMI (Jun); ISM Non-Manufacturing PMI (JUN); JOLTs Job Openings (MAY); Crude Oil Inventories
Friday, 7 July
● GBP — Halifax House Price Index (YoY) (JUN)
● USD — Average Hourly Earnings (MoM) (JUN); Nonfarm Payrolls (JUN); Unemployment Rate (JUN)
Here at Contentworks we closely follow market movements and prep content that we think your traders would love to read. Let’s get you started right here.
Speak soon!
The Contentworks team
