Here’s my last installment of the 14 top-percreating stocks of 2016 (the first three stocks were in my column on January 5 and also the following 5 were in yesterday’s column). This edition will cover the last six stocks that pulled off the impressive feat of finishing the year through gains over 200%.
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Let’s acquire right to them!Top-Performing Stock #9: Navistar International (NAV) +255%
Navistar is a machine of tool and heavy trucks, consisting of the International brand also of bsupplies. (Just for the sake of trivia, the firm supplied to be one of the world’s premier devices of agricultural machinery, International Harvester.)
Navistar International is kind of an outlier among the height stocks of 2016. Its performance wasn’t driven by a bounce in commodity prices or the recoextremely of a details industry. What it has in widespread with most of the other optimal stocks is that its timing was perfect; after falling from 40 in 2014, NAV managed to hit bottom (at 6) in January 2016. So it recorded its totality rebound rally in the time of the calendar year.
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Navistar experienced with numerous rounds of accounting scandals and also a dip in orders for its military vehicles a couple of years earlier, and also will always be dependent on huge contract wins to remain healthy. But the company arised from that stormy patch through reduced expenses and a concentration on its core company, having actually offered off several sidelines. There’s no way to tell whether Navistar’s recoincredibly has actually a 2nd act.
There’s no mystery about why Hi-Crush had actually a good year. Three of the 4 specialty chemical carriers that topped our 200% gain threshost for the year are fracking sand carriers, including Hi-Crush. The agency was formed in 2012 specifically to get reserves of the premium monocrystalline sand that is offered as a proppant to boost oil & gas manufacturing in hydraulic fracturing wells.
After three years of triple-digit percentage expansion in sales, the downrevolve in exploration and manufacturing led to by lower oil prices caused the company’s sales to dip in 2015. HCLP fell from 72 in November 2014 to below 4 in late February 2016, then rode the recoexceptionally in oil prices to stable development.
So it’s the acquainted story: A stock that has dropped off the edge of the world lastly hits bottom and rides a significant commodity rebound to terrific gains. HCLP is a master limited partnership (MLP) that supplied to pay a dividend that succumbed even more than 10% a year. They suspended the dividend in 2015 as soon as revenue went sour, and also there might be some investors looking forward to a resumption.
Tright here are 2 coal providers on this year’s list of top performers (check out Westmoreland also Coal, which is #14 below), yet that’s deceptive. SunCoke Energy is actually a coke firm, which suggests it renders a coal-based product dubbed coke that’s provided in blast heating system manufacturing of steel. And that implies that SunCoke’s success is even more closely regarded the revival of steel producers choose AK Steel and also UNITED STATE Steel (which are big SunCoke customers and also were the 4th and also 5th best percreating suppliers of 2016) than to Westmoreland.
SunCoke, in addition to its UNITED STATE coke business, additionally gets a small revenue from a manufacturing facility and sales in Brazil and from coal transport and also shipping, but over 90% of revenue still comes from coke sales in the U.S.
The chart reflects that SXC made most of its gains for the year from 3 surges on broadened volume, one in late January, one in February and also one in October. The agency reported losses in Q1 and Q2, however acquired ago on track in Q3. Analysts are expecting revenue to leap by 733% in 2017.
Nvidia is a real phenomenon, in component because it isn’t a rebound story. NVDA has been in an uptrend since 2013, although its price of development steepened in late 2015 and skyrocketed in 2016.
Nvidia stock was featured 3 times during 2016 in Cabot Top Ten Trader (in February, April and also May) and also proceeds to be buoyed by the popularity of its chip deindications for game consoles (which were in a huge upgrade cycle during 2016), by incorporation of its chips in cars, datacenters and man-made intelligence applications and by its inclusion in virtual reality headsets and units.
Since Nvidia doesn’t have the overhead of factories, its after-taxes profit margins were over 20% all year. You deserve to view the four volume spikes evenly spaced alengthy the chart as the company on a regular basis gone beyond analysts’ expectations in quarterly reports in the time of the year.
UNITED STATE Silica is favor an extra mature version of Hi-Crush (#10 above); it gained about two-thirds of its revenue from the sale of sand as proppants in fracking oil & gas wells. But U.S. Silica additionally has customers in the glass, fillers, chemical and also ceramics markets, which offer it a small insulation from the volatility of the fracking company.
While SLCA began the year with a tiny correction (as did just about eextremely stock in this report), its breakthrough during the year was smoother, with fewer sizable pullbacks. The company’s higher stock price made it attractive to institutional investors, who signed on in boosting numbers in the time of the year.
SLCA was featured 3 times during the year in Cabot Top Ten Trader (once in August and twice in October). The firm controls around 400 million lots of silica, so the future might be bbest.
Westmoreland also Coal is a Colorado-based coal miner that controls 1.2 billion (with a B) lots of proven and probable reserves of coal in Montana, Wyoming, Texas and also North Dakota. The company greatly provides coal-fired electrical power generating plants, although it also owns a pair of its own in North Carolina.
The company has actually been losing money for years, with losses soaring from 42 cents per share in 2013 to $10.86 per share in 2014 and $11.36 in 2015. That’s a trfinish that will put push on a company’s stock price, and certain enough, WLB fell from 45 in August 2014 to 3.44 in January 2016.
WLB really made three moves in 2016, the initially in January and also February lifted the stock to 8 in March, wbelow it rested for 2 months, then to just under 10 in June, where it spent virtually 5 months digesting its gains. Another rally in November after a positive November 1 earnings report kicked WLB to near 20 in early December and also it coasted to the end of the year with a gradual correction of a allude or so. Westmoreland is a vast agency (industry cap is over $325 billion) and news that it has actually beaten expectations can still tempt a ton of investors.
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So that’s it for the top-perdeveloping stocks of 2016, a year of massive bounces in bconsumed dvery own sectors and also a pair of continuing success stories. If you desire to store up through the top-percreating stocks of 2017, Cabot Top Ten Trader is the best advisory to capture investment-grade stocks early in their developments.