Top Stocks 2018 – Below is a list of the Top Stocks in 2018. These 2018 Stock Picks are some of the stocks I own and will trade personally. When I look at potential stocks to buy in 2018, I try to identify hot stocks and big gainers that will outperform the market. So what are the best stocks for 2018? The best stocks in 2018 are a few of my favorite hidden gems and etf’s. In 2018, I feel that TSLA, TNA, SPXL, XON, SHAK and IBM will rise. See my comments on these top 2018 stocks below.
Stocks to Buy 2018 – Tesla (TSLA) – Tesla (TSLA) is my #1 stock pick for 2018. Tesla (TSLA) has rallied from $180 to $390 in the past 10 months but is now pulling back into the $330’s. The bull case for TSLA stock over the long term is very easy and I feel that shares will rally up between $425-$475 at some point in 2018. Any tiny production setback in a quarter can easily push this price target back into 2019 but there will be another bull run to $550-$750 at some point in 2019/2020.
Tesla (TSLA) is ramping up a mass production of electric cars that are fully autonomous. Self-Driving vehicles is the next major “big thing” since the Internet and mobile devices. I view Elon Musk as the genius of our era, even greater than Steve Jobs. Elon Musk owns 22% of Tesla (TSLA) and only sells a tiny bit every few years simply for tax purposes. When you have a genius of a CEO who holds a major stake in the company, you know they are really motivated to succeed.
Tesla (TSLA) is well positioned to dominate the EV space. Tesla (TSLA) cars are so high tech that you are basically driving a laptop computer down street with zero emissions. With the release of the Model 3 this year, Model S and Model X interest has actually spiked. There was a fear by Tesla and Wall St. analysts’ that sales of Model S and X would suffer as a result of of Model 3. This turned out to be very much the opposite which is a huge bullish surprise.
With the backlog currently over 500,000 cars, Elon Musk is on record telling shareholders that we should have ZERO doubt that the company will be producing at least 10,000 Model 3 cars per week at some point in late 2018. With the company expanding into other segements such as Big Rig trucks and a 2018 announcement of the Model Y (lower cost version of the Model X), we are about to witness one of the highest growing companies in history.
Fully autonomous vehicles are just years away and self driving cars will be the normal in 10-20 years. Tesla will likely charge $6,000-$10,000 for the autonomous software upgrade per car when the U.S Government approves the technology. For those who cannot afford a Tesla, you will be able to lease a Tesla and then send it out into the field as a taxi and earn income while you are not using it. The new semi truck will be fully autonomous and take the place of a real driver. Tesla will improve the battery range and technology in the years and decades ahead which is why they will continue to lead the shift in this business.
The main points are Tesla (TSLA) has the best battery technology in the world and they are the largest buyer of Lithium in the world. The Gigafactory in Nevada will be pumping out as many batteries as possible and they will need to build at least five more in the next 5-7 years. You will hear a lot of chatter from other car companies on how they will easily compete with Tesla. I don’t think it will be that easy because people won’t settle for ugly cars (GM and Ford) with poor batteries. To mass produce electric cars with outstanding batteries to meet consumer demand is the special sauce other companies just won’t have.
In conclusion, a few years ago competitors laughed at Tesla. Now it appears they are scared. China is easing rules that will potentially allow Tesla to opens its doors in that country without a partner. If this happens, China will be Tesla’s biggest market in the world. Fully autonomous vehicles will soon be legal and it will hit fast and hard and TSLA stock will rock. Tesla Motor and Tesla Energy will be a dominate businesses and this $55 billion company can easily grow to $700 billion in 10-15 years. For now, we will take one year at a time and I believe TSLA stock will rally 30-40% from $330 at some point in 2018.
Small Caps Bull 3x Russell 2000 (TNA) – I continue to be bullish on shares of TNA and this ETF remains my best stock 2018 as an ETF. Why is TNA my top stock pick for 2018? The stock continues to outperform and beat the major averages year after year. Investing in TNA is easy and all you really have to do is buy when we see a major 20% or more correction because shares always return to a new high.
If you don’t know what TNA is about, it consists of futures contracts of the Russell 2000 but triple leverage. When the Russell 2000 rises 1%, TNA rises 3% and vice versa when things go down. Shares are super volatile and is a great way to play catch up if you are not beating the S&P 500 at one point in the year.
They say there is no sure thing in the stock market but I strongly disagree. History shows us that one thing comes true 100% of the time. The stock market ALWAYS returns to a new high after every pullback, correction, or crash, ALWAYS! Investing in stock market ETF’s tied to the major indexes is the greatest investment you can make in 2018. Buy TNA on a correction into the $40’s as we will see this ETF hit $70’s in 2018. My wife bought TNA right before the election split at a split adjusted price of $32 per share. TNA is now up 102% since November.
Best Stocks 2018 – Shake Shack (SHAK) continues to bounce around $30 and produce nice 10-30% rallies. Continue to buy at or below $30 in 2018.
Intexon (XON) is another top stock for 2018. This company uses Synthetic Biology to regulate gene programs which make products better. They are active in the Energy, Health, Food, and Agriculture sectors. One big product coming to market in 2018 is a non-browning Apple. The company is also working on some exciting products in the Energy and Biotech industries.
Bill Miller of Legg Mason, who named Amazon (AMZN) a stock to buy at $40 nine years ago, said XON is the stock of the decade at $35. XON has been forgotten but just rallied from $17 to $20 so I feel shares could rebound into the $30’s in 2018. XON is a strong buy stock right now!
IBM (IBM) – IBM is another one of my top stocks for 2018. Warren Buffett sold some of his stake in the $180’s and now shares are testing the $140’s again. I view IBM a strong buy below $150 for the long term and believe this stock can reach the $170’s in 2018. IBM is a strong buy stock!
As always, if a stock market crash occurs in 2018, my top stock picks are TNA, SPXL, and UDOW. The stock market always returns to new highs after a correction or crash so these three etf’s will follow back up as well. If these three stock picks ever crash during a market decline, sell your bad stocks and switch into these three.
If you are looking for a few hot penny stocks in 2018, check out PULM, HTGM, FCSC which are my penny stocks to watch 2018.