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The Top 10 Stocks to Buy in 2021

Want market beating stocks in your portfolio? Here are some fantastic companies to consider buying.

When finding the best stocks to buy, you must consider your investing goals, risk tolerance and current portfolio. If you’re not sure how well you measure across these metrics, check out our how to invest guide to get a clearer picture.

The Top 10 Stocks to Buy in 2021

Regardless of what your investing goals and risk tolerances are, we’ve created a diverse list of stocks that I have a high conviction will perform well for the rest of 2021, and beyond.

Below is a list of top stocks to buy for the rest of 2021:

  1. Target (NYSE: TGT)
  2. Morgan Stanley (NYSE: MS)
  3. Autodesk (NASDAQ: ADSK)
  4. Upstart (NASDAQ: UPST)
  5. Salesforce (NYSE: CRM)
  6. Microsoft (NASDAQ: MSFT)
  7. CVS Health (NYSE: CVS)
  8. Jushi Holdings (OTC: JUSHF)
  9. Twist Bioscience (NASDAQ: TWST)
  10. Shopify (NYSE: SHOP)

Why do I like each stock in 2 paragraphs or less?

#1: Target

Target is continuing to build market share in the retail market space while capturing share from Walmart and Amazon. They are also building out more of their own brands for a wider range of products in their store.

Up over 42% YTD, while I sense a pullback is in order, option positioning is supportive, and they offer a dividend of 1.44% on top of the potential capital appreciation as more and more people shop online and in Target stores.

#2: Morgan Stanley

With potential rising rates, financial institutions are likely to benefit from a steepening yield curve and loan growth likely to remain strong heading into the end of the year.

Up 51% YTD, parked just below the all time highs and offering a solid 2.72% dividend, I expect Morgan Stanley to do well heading into Q4 this year.

#3: Autodesk

Autodesk makes software for engineering, construction, media, education and other sectors, all of which should remain strong for the rest of the year (with an infrastructure bill and continual shift in the educational sphere).

Their margins are strong, and while up only 12% YTD, I suspect long term dip buyers will take advantage of the recent weakness post earnings and be in a good position for capital appreciation late this year and most of next year.

#4: Upstart

Upstart uses AI with a lending platform to help banks and credit unions provide consumer loans with greater precision. In combination with a strengthening lending environment, I think Upstart is uniquely positioned to benefit from the banking and lending landscape which is changing in this online world.

After IPO-ing late last year around $25, the stock is up almost 10x. While I think there is a pullback due, I think this stock has not been fully discovered by most funds and portfolio managers, thus should see strong capital appreciation in the next 12 months.

#5: Salesforce

The OG and leader in CRM, Salesforce just came off an incredibly strong earnings report beating estimates by over 60% and adjusting further guidance higher.

While offering enterprise cloud computing solutions, their products continue to perform and they are the dominant market player in this space. Up over 17% YTD, I would not be surprised to see CRM hit the $300 mark this year and feel the stock is well supported around $250.

#6: Microsoft

Having one of its best years, Microsoft continues to be a legacy tech stock that maintains a dominant market share while expanding their cloud business (and thus margins).

Winning the JEDI contract gave it a boost, the stock is up 35% YTD, posts a respectable .74% dividend, and has been on a tear over the last 12 weeks gaining over 20%.

#7: CVS Health

While Amazon has feinted about entering the pharmacy and health space, CVS has gained from the overall healthcare trends this year, offering vaccination sites across the US and now having locations inside of Target stores.

Up over 22% YTD, CVS offers investors a 2.39% dividend and we feel is well supported on dips.

#8: Jushi Holdings

Ok, this is sort of a punt as the cannabis space hasn’t really performed well this year, even in the face of a likely future with greater decriminalization, I think this is one of the under-rated stocks in this space.

With projections for triple digit sales growth over the next several years, Jushi is on track to see a 1000% increase in sales from last year to 2024. And with a US cannabis industry projected to grow 21% per year till 2025, we feel this stock is poised for massive growth.

#9: Twist Bioscience

Biology and technology are increasing at a rapid pace as we stand close to the cusp of a new generation of biological technologies to fight diseases, improve health and create new products.

Twist is one of the stronger companies in this space working with clonal genes, DNA synthesis and oligo pools, Twist is one of Cathie Wood’s holdings in this space with over $400 million in shares. Up over 400% since inception 2 years ago, I feel Twist is poised to make a good run for the rest of this year and the years to come.

#10: Shopify

Continually taking market share from Amazon (while not competing against you, or weaponizing your data), Shopify is showing itself to be the rebel alliance vs the evil empire (ahem: Amazon).

Up over 37% YTD, I feel its only a matter of time before SHOP hits the 2K mark as they’ve clearly benefitted from this shift to greater and greater amounts of online retail.

Final Takeaways

Ok, so there you have a list of top stocks to buy for 2021 and beyond. While this list is by no means exhaustive, it’s a solid start to consider these holdings for your portfolio.

For those of you starting off in your investing journey, don’t forget to check out our how to invest in stocks guide which gives you all the basics from how to start, building your own investing strategy and how to get started with a brokerage.

As always, do your own research and only invest in stocks that fit your investing goals and risk tolerance levels.

If you’d like to know which stocks I’m buying each and every month, make sure to check out our Sky High Stocks where you can get 3-5 stock picks each month, each one for the price of a cup of coffee.

Good hunting out there and keep building your stock portfolio to help you achieve your financial future.

Full Disclosure: At the time of writing, Chris Capre owned shares in Target, MSFT, CRM and ADSK.

You can read our full disclosure policy here.

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