Pondering the potential for investment in these two underperforming entities?
Two stocks, Zoom and PayPal, have made a notable comeback after a challenging year in 2024, raising questions about the optimal investment strategy. While these stocks have shown promising signs of recovery, the uncertainty of the market persists.
Zoom, the tech giant renowned for its user-friendly video conferencing tool, soared during the pandemic, reaching over 500 US dollars. However, the stock has since dropped significantly, trading at around 85 euros currently. Despite a three-year stagnation, Zoom has experienced a 30% increase over the past year and is forecasted to see further growth.
Analysts predict an upside of over 12% for Zoom, reaching over 90 US dollars within the next 12 months, though most still advise holding the stock. The company boasts no debt, seven billion US dollars in cash reserves, and stands at the forefront of technology with its AI agent, 'AI-Companion.'
Although Zoom faces competition and the peak levels seen during the pandemic are no longer achievable, the company may still offer room for improvement. Investors interested in the stock without taking on excessive risk can consider the Reversal Index of BÖRSE ONLINE, which focuses on potential turnaround candidates.
Similarly, PayPal has seen a slight upward trend since the summer of 2024, recording a 25% increase in the past year. However, its quarterly figures fell short of expectations, causing the stock to correct. The long-term positive trend is still a possibility, but prospective investors are advised to exercise caution and monitor the stock's development in the coming months.
Investors looking for higher yields may consider alternative investment opportunities, such as those with dividend yields of up to 11.1% or those experiencing significant growth, like the stock that recently surged by +60% on Monday.
It's essential to consider various factors when evaluating the investment potential of stocks like Zoom and PayPal, such as past recovery, market position, and future projections. The ongoing adjustments in the tech sector and the impact of market conditions should also be factored in.
While both stocks present mixed investment opportunities, their potential for growth and the optimism expressed by some analysts suggest they could be worth considering. Investors should carefully consider their risk tolerance and investment strategy before making any decisions.
Financing in the technology sector presents an opportunity with stocks like Zoom, as analysts predict an upside of over 12% for the company and it has shown a 30% increase over the past year. Meanwhile, investors who are more risk-averse might consider the stock market investing in PayPal, although its quarterly figures have fallen short of expectations, with a potential long-term positive trend.
