December Stock Forecasts

It’s the holiday season and there are some big moves in the stock markets set for December. Top performers include e-commerce supporters Salesforce and Crowdstrike and the alt social media platform Pinterest. Read on for more information.

Analysts predict strong earnings in the retail and software industries so keep an eye out! Software has performed great this year, although valuation concerns and the vaccine news has slowed their bullish move. We all know the retail sector has struggled throughout the pandemic, however, with the arrival of the holiday season and the end of the pandemic in sight they are set to move ahead. E-commerce corporations Salesforce.com and CrowdStrike Holdings, Inc. have performed better than expected. With strong year-on-year growth, these retail companies should push high over the coming month. 

Salesforce are known for their cloud computing solutions and have gained a massive 52.2% this year compared to the benchmark S&P 500 indexes 13.88% rise. Two new variations of Salesforce have been released this year optimising businesses productivity and security –  both of which are a massive attraction for companies who have switched to online sales. Furthermore, Salesforce is set to buy Slack Technologies Inc. for $27.7 billion, this acquisition will threaten Microsoft Corp. as the biggest software corporation. However, the deal is not set in stone and is only set to close in July 2021. An overall year-on-year growth is expected at 16.3% for 2020 and upto 21.7% in 2021. With all this ahead of them, now is a good time to hop on the bandwagon and invest in Salesforce.

Crowdstrike provides cybersecurity services, another sector which has hugely benefited from the pandemic and switch to working-from-home. The company has gained an eye-watering 202.5% so far this year with a year-on-year growth at 84%. Crowstrike may be one of the safest investments this December with its incredible growth rates and market satisfaction. 

Pinterest is on the best buy list for December as the holiday season sparks the company’s strongest period. Integrated e-commerce ads have proven incredibly successful as sellers opt for the safety of advertising online. And with this being the busiest shopping season yet and the Facebook boycott still in the back of our minds, the platform’s success offering users a unique web experience to focus on themselves rather than others is sure to skyrocket. Pinterest is predicting 60% growth over the fourth quarter despite people’s over reliance on their mobiles during the pandemic, areas that will see a strong bounce back such as weddings and travel will continue to push traffic through the platform over the winter period.

Oil is set to rally stocks over December under a perfect storm of COVID vaccine, a weakening US dollar and reduced US crude supplies. Stocks that will benefit include: Total S.A.(TOT), Enbridge (ENB), Halliburton (HAL) and Hess (HES).

With the news of the vaccine being approved in the UK this morning proving the end of the pandemic is in sight, there will be a change in the markets. Keep upto date with the latest stock market news by following BullBear.