Everyone hopes they’ll be the one to pick the next get-rich stock. It’s looking more likely to be able to choose one during this market downturn and subsequent rebound. However, although the worst might be over, another correction could be on the way.
And while there’s a fairly long list of sold blue-chip stocks that will be long-term winners, it’s harder to identify those that can climb even in this volatile market. But it’s not impossible. Here are three to consider buy for this year and beyond.
If you want to find stocks that can climb no matter what the market throws at them, the easiest solution is to find stocks already doing it. A prime example is with Open Text (TSX:OTEX)(NASDAQ:OTEX). The stock has actually been delivering gains lately while other tech stocks continue to drop.
The main reason behind this strength is its solid balance sheet. The company proved there is an increasing demand for its cloud management services during its latest earnings report and full-year review. Adjusted EBITDA was up 13.8% for the quarter, with operating cash flow up 36.3% year over year. Meanwhile, subscriptions were up almost 40%, with total revenue climbing 8.8% year over year.
And what’s great is, even when the pandemic behind us, consumer growth will mean even more use of its cloud services. Shares are already up 29% in the last year, but 395% in the last decade for a compound annual growth rate (CAGR) of 17.33%.
The market correction recently meant that renewable energy stocks gave investors a steal of a deal. A correction is certainly about to happen, so it’s a great time to pick up these stocks for long-term holds. Brookfield Renewable Partners (TSX:BEP.UN)(NYSE:BEP) would be one of the best in the business.
The last few years have been rough for any energy sector, but for Brookfield, that hasn’t been the case. The company continues to rise to the energy challenge, with a diverse portfolio of renewable assets around the world. During its latest earnings report this was reflected in record-setting results. The company maintained a strong balance sheet, with over US$3.3 billion in available liquidity. The company then increased the dividend by 5%!
This company is the perfect recovery play this year. The company continues to buy up assets around the world, looking for further acquisitions to boost investor confidence. So, now you can get this stock on the cheap with a 3.12% dividend yield to lock in. And shares are still up 651% in the last decade for a CAGR of 22% and up 73% in the last year, even after the pullback.
Even with a pandemic almost in the rear view, healthcare stocks are still an excellent option. Each will have had a lot of investment during the pandemic, and hopefully government agencies will realize the necessity of these companies in the future. That includes telehealth companies like WELL Health Technologies (TSX:WELL).
The company’s telehealth assets have proven to be a saving grace in the pandemic, and it’s unlikely to go to the wayside after its over. It’s been used by millions of people across Canada, and is now entering the United States on a massive scale. Its acquisitions mean further growth is clearing in this company’s future.
WELL Health stock achieved record-setting revenue in its latest earnings report. The company saw a 400% year-over-year increase in growth of software and services revenue, and positive adjusted EBITDA for the first time. Yet with its largest acquisition to date ahead of the company, shareholders can look forward to more share growth. Shares in the company are already up 480% this year, even after the pullback, and up 2,583% in the last three years alone!
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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 Amy Legate-Wolfe owns shares of Brookfield Renewable Partners and WELL Health Technologies. The Motley Fool recommends Open Text and OPEN TEXT CORP.