7 Sexy Stocks That Will Continue to Outperform in 2024

Stocks to buy

While 2023 was the year of the Magnificent Seven, the seven outperforming stocks in this article are likely to be winners that will surge past the broader indices, such as the S&P 500 and the Nasdaq. The reason is that these companies trade at low valuations and have robust outlooks for this year and beyond. Investors should position their portfolios accordingly, with outperforming stocks, such as:

Twist Bioscience (TWST)

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One of the top outperforming stocks to consider is Twist Bioscience (NASDAQ:TWST), which operates in the biotech industry and focuses on synthesizing DNA.

I’m bullish on TWST due to its guidance for 2024. It expects significant growth in 2024, aiming for total revenue between $288 million and $293 million, reflecting an 18% to 20% increase. This top-line swelling is expected to be seen in its key operating segments. Namely, SynBio’s revenue is projected to grow by 16% to 19%. NGS revenue by 21% to 23%. Biopharma revenue is expected to see about 3% growth.

Tecnoglass (TGLS)

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Tecnoglass (NYSE:TGLS), a leader in manufacturing and installing architectural glass and aluminum products, is another one of the top outperforming stocks to consider.  For one, the company just posted impressive third-quarter numbers. For TGLS’s third quarter of 2023, it reported a revenue growth of 4.4% to $210.7 million, with a record $87.8 million coming from the single-family residential end market.

Momentum is clearly on the company’s side. It’s up over 400% since its IPO. This gain includes a 39.09% surge over the past year. Wall Street rates TGLS as a “Strong buy.” Plus, EPS is expected to surge 23.20% this year to $4.04 from $3.28.

Palantir (PLTR)

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Another one of the top outperforming stocks to buy and hold is Palantir (NYSE:PLTR).

For one, the company has signaled its transition into profitability, marking 2023 as its “first profitable year.” For 2024, Palantir expects revenue to range between $2.652 billion and $2.668 billion, slightly above analyst predictions of $2.64 billion

This bullish backdrop also comes amid an adjusted profit forecast for 2024 between $834 million and $850 million, surpassing analyst expectations. In addition, te company’s EPS is expected to increase by 20.14% next year. Revenue could climb by 19.79% to $2.71 billion.

Lemonade (LMND)

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Lemonade (NYSE:LMND), a tech-driven insurance company, has the potential to smash the market’s expectations. Wall Street analysts anticipate a bolstering to its top line, which is far more crucial for an early-stage company like LMND stock. 

Analysts estimate Q4 2023 quarterly revenue of $111 million. Annual revenue for 2023 is expected to grow significantly by 66% to $426.5 million, as compared to the previous year.

ChargePoint (CHPT)

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ChargePoint (NYSE:CHPT) operates one of the largest electric vehicle (EV) charging networks in the world. Despite its shares being sold off, it’s working hard to turn its fortunes around. Part of this effort includes a workforce reduction of approximately 12%, which is expected to save around $33 million annually in operating expenses.

The business has also secured funds to buy itself time to work towards profitability. It raised $232 million. This funding comprises $175 million from an “at-the-market” equity offering and $57 million raised during the third fiscal quarter of 2024 Its revenues also showed a 39% year-over-year revenue growth to $150 million. 

Nano Dimension (NNDM)

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Nano Dimension (NASDAQ:NNDM) just reported solid financial results. There were unaudited consolidated revenues of approximately $14.3 million for Q4 2023, marking an 18% increase from Q4 2022. There was also an annual revenue of $56.2 million for 2023.

These efforts are also framed around broader plans to get its business to cash flow positive status as soon as possible. This has been termed the “Reshaping Nano Initiative,” with goals that include achieving positive operating income by early 2025 and significantly reducing cash burn compared to 2023.

This reshaping for NNDM has seen it lay off 25% of its global workforce. It also has forks in the fire to strengthen its growth potential. That includes a second patent for a unique Large Language Model (LLM) aimed at advanced manufacturing systems.

Sunrun (RUN)

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Sunrun (NASDAQ:RUN) is a leading home solar panel and battery storage company. Its revenues grew 44.19% last year to $2.32 billion. In addition, its price-to-sales ratio of 1.43 is well below the median of its peers. For these reasons, RUN could fulfill analyst expectations and reach its average price target of $26.05, which could provide substantial gains to investors.

On the date of publication, Matthew Farley did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Matthew started writing coverage of the financial markets during the crypto boom of 2017 and was also a team member of several fintech startups. He then started writing about Australian and U.S. equities for various publications. His work has appeared in MarketBeat, FXStreet, Cryptoslate, Seeking Alpha, and the New Scientist magazine, among others.

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