It’s hard to find stocks that are going to make a sizable difference on your portfolio. It’s even harder to find ones that are going to help your portfolio grow in the long term.
But if you take into consideration where things are moving, I think that BlackBerry Ltd. (TSX: BB)(NASDAQ: BBRY), Cameco Corporation (TSX: CCO)(NYSE: CCJ), and Valeant Pharmaceuticals Intl Inc. (TSX: VRX)(NYSE: VRX) are three stocks that, if given enough time to flourish, will return ample profits to investors.
And here’s why: They’re all kind of beaten up right now despite the fact that they are primed to have really solid, profitable futures. So let’s get started.
I love BlackBerry. The first article I ever wrote for Fool Canada recommended buying BlackBerry. And the reason I feel that way is because BlackBerry is undergoing a change. At one point, it was the dominant mobile phone provider. Everyone had a BlackBerry. But it failed to keep up with the trends and Apple took over. Now Android and iOS are the dominant players, with everyone else languishing behind them.
But BlackBerry has assets that are hard to quantify that could return billions to the company. If you look at the QNX operating system, you see a system that has the security fundamentals required to protect data in the growing Internet of Things sector. I don’t know about you, but if I am going to have an operating system in my car, I want one that is secure. I think Ford Motor Co. (NYSE: F) might agree as well.
With that demand for security, I see BlackBerry rising high. The glory days may have been a few years ago, but I can see a resurgence on the horizon.
There have been better times for Cameco. Uranium prices remain pretty low and it has been hurting. The stock is hitting prices near its five-year low. All in all, this company is really languishing.
But there’s hope. Japan is planning on opening up its reactors again. The Fukushima disaster really hurt the country, but uranium prices also took a hit. Now it is starting to open up again, which will increase demand.
But the big one is China. This is a giant industrial country that needs to generate power without sending tons of carbon dioxide into the atmosphere. And while nuclear power is still somewhat dangerous, this is a good path for China. If it hopes to generate 150 GWe by 2030, it’s going to need a lot of uranium. Cameco has that in high supply.
Valeant Pharmaceuticals Intl Inc.
Unlike the previous two stocks, which have been getting hammered in the markets and are at really opportunistic buying points right now, Valeant Pharmaceuticals is in a different position. It’s relatively strong from a price perspective. It’s down from its 52-week high, but the company is not getting obliterated in the markets.
The reason I think this is a buy is because I believe it’s going to push $200 a share. If the acquisition of Allergan, Inc. (NYSE:AGN) goes through, Valeant will have added $6.3 billion in revenue to its income sheets.
But on top of that, Valeant will gain access to China, which, as with Cameco, is very important for further growth. If Valeant can start selling its ophthalmology products in China en masse, then it will definitely see tremendous gains in revenue. That, I believe, makes this a very good buy.
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This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.
Fool contributor Jacob Donnelly has no position in any stocks mentioned. David Gardner owns shares of Apple and Ford. Tom Gardner owns shares of Valeant Pharmaceuticals. The Motley Fool owns shares of Apple, Ford, and Valeant Pharmaceuticals.