Close Menu
Global News HQ
    What's Hot

    Secret Listings, Weird Vibes, and Some Really Good Finds

    July 11, 2025

    The Cheapest Nicest Hotels in Ibiza

    July 11, 2025

    This Roomba combo robot vacuum and mop is nearly half off for the last day of Prime Day

    July 11, 2025
    Recent Posts
    • Secret Listings, Weird Vibes, and Some Really Good Finds
    • The Cheapest Nicest Hotels in Ibiza
    • This Roomba combo robot vacuum and mop is nearly half off for the last day of Prime Day
    • Prediction: This Investment Could Be the Biggest Winner From President Trump’s “Big, Beautiful Bill” | The Motley Fool
    • Maryland broker, wife sentenced in $20 million fraud scheme
    Facebook X (Twitter) Instagram YouTube TikTok
    Trending
    • Secret Listings, Weird Vibes, and Some Really Good Finds
    • The Cheapest Nicest Hotels in Ibiza
    • This Roomba combo robot vacuum and mop is nearly half off for the last day of Prime Day
    • Prediction: This Investment Could Be the Biggest Winner From President Trump’s “Big, Beautiful Bill” | The Motley Fool
    • Maryland broker, wife sentenced in $20 million fraud scheme
    • 14 Trees That Will Turn Your Yard into a Bird Magnet
    • Germanier Fall 2025 Couture Collection
    • Research Predicts $160,000 Bitcoin By EOY—If Treasury Firms Hold
    Global News HQ
    • Technology & Gadgets
    • Travel & Tourism (Luxury)
    • Health & Wellness (Specialized)
    • Home Improvement & Remodeling
    • Luxury Goods & Services
    • Home
    • Finance & Investment
    • Insurance
    • Legal
    • Real Estate
    • More
      • Cryptocurrency & Blockchain
      • E-commerce & Retail
      • Business & Entrepreneurship
      • Automotive (Car Deals & Maintenance)
    Global News HQ
    Home - Finance & Investment - Stock Market Sell-Off: 2 Stocks That Could Double in 2 Years | The Motley Fool
    Finance & Investment

    Stock Market Sell-Off: 2 Stocks That Could Double in 2 Years | The Motley Fool

    Facebook Twitter Pinterest LinkedIn Tumblr WhatsApp VKontakte Email
    Stock Market Sell-Off: 2 Stocks That Could Double in 2 Years | The Motley Fool
    Share
    Facebook Twitter LinkedIn Pinterest Email

    There’s no shortage of uncertainty in the stock market these days.

    Investors have been left scratching their heads after President Trump announced global tariffs on April 2, then put the “reciprocal” tariffs with most of the world on pause for 90 days, stepped up a trade war with China, and has since flip-flopped on duties on tariffs on electronics while saying he may pull back tariffs on autos.

    As a result, the S&P 500 (^GSPC 0.13%) is now in a correction, defined as a decline of at least 10% from a recent peak. While investors may be nervous about the trade war and the increasing risk of a recession, long-term investors know that sell-offs represent buying opportunities as quality businesses just got cheaper.

    On that note, let’s take a look at two beaten-down stocks that could double over the next two years.

    Image source: Getty Images.

    1. Target

    Investors can’t run away from Target (TGT 2.93%) fast enough, it seems. Shares of the venerable retailer are now down 65% from their peak during the pandemic, and it’s understandable why.

    Target has struggled to grow since the end of the pandemic as consumer discretionary spending has been weak, its pandemic momentum faded, and it’s been plagued by internal problems like theft. The company just capped off a year with flat comparable sales and earnings per share. Target also expects no growth in earnings per share this year, forecasting a range of $8.80 to $8.90 with flat comparable sales and revenue growth.

    However, those headwinds now seem fully priced in as Target’s price-to-earnings ratio has fallen to just 10.5. At that valuation, the stock could double with no change in earnings, and it would still trade at a discount to the S&P 500.

    Target’s valuation isn’t going to jump on its own, but the company has a plan to reinvigorate the brand. That includes leaning further into its owned brands like Cat & Jack, its kids’ apparel line, and All in Motion, its athleisure brand, which have delivered solid growth. It aims to regain its “Tarzhet” brand magic, or its cheap chic reputation that it seems to have gotten away from in recent years. The company also plans new store openings and remodels and expects to add at least $15 billion in sales over the next five years.

    The company’s earnings are currently well below their peak a few years ago, meaning that if Target can get back to its previous health, the stock could soar. It may need some help from the macroeconomic environment to double, but if the company shows signs of improvement, the stock has a lot of upside potential.

    2. Micron

    Another stock trading at a discount that has a lot of room to run right now is Micron (MU -0.77%), the leading maker of computer memory chips.

    Micron’s business is highly cyclical as prices for memory chips can change rapidly, as we saw in 2022 when smartphone sales tumbled and there was a glut in the industry.

    However, Micron is now in a much stronger position than it was back then, as it’s clearly benefiting from the AI boom. In its most recent quarter, its data center revenue more than doubled, pacing its overall revenue growth at 38%. Micron’s biggest customer is now Nvidia, and this company has become a key partner of the AI chip leader.

    Micron could be impacted by the economic headwinds stemming from the trade war, but the growth in AI should continue as the big tech companies driving that spending recognize that it’s essential not to fall behind in AI.

    Micron now trades at a price-to-earnings ratio of just 10 based on its expected earnings. Like Target, the malaise priced into Micron’s stock seems excessive, and it shouldn’t take much for the stock to move higher from here, though the macro climate is likely to weigh on the stock.

    If the company can just hit current analyst expectations over the coming quarters, which call for $11.08 in adjusted EPS next fiscal year, its stock chart should go sharply upward. Given Micron’s low valuation and rapid business growth, a double is certainly reachable over the next two years.

    Jeremy Bowman has positions in Micron Technology, Nvidia, and Target. The Motley Fool has positions in and recommends Nvidia and Target. The Motley Fool has a disclosure policy.

    Source link

    Share. Facebook Twitter Pinterest LinkedIn Tumblr WhatsApp Email
    Previous ArticleAndrew Cuomo sends real estate ripples through mayoral race
    Next Article Inspired by the Masters? Bring Your Work Hustle to the Golf Course with Mind Caddie, Now $99.99. | Entrepreneur

    Related Posts

    Prediction: This Investment Could Be the Biggest Winner From President Trump’s “Big, Beautiful Bill” | The Motley Fool

    July 11, 2025

    UK economy unexpectedly contracted 0.1% in May

    July 11, 2025

    Tesla: Not Terrible Anymore, Just Bad (NASDAQ:TSLA)

    July 11, 2025

    Stock Market Today: Solid Signals Lift Stocks Despite Tariff Noise

    July 11, 2025
    Leave A Reply Cancel Reply

    ads
    Don't Miss
    Real Estate
    6 Mins Read

    Secret Listings, Weird Vibes, and Some Really Good Finds

    It’s been a month since the law ending forced broker fees took effect, and the…

    The Cheapest Nicest Hotels in Ibiza

    July 11, 2025

    This Roomba combo robot vacuum and mop is nearly half off for the last day of Prime Day

    July 11, 2025

    Prediction: This Investment Could Be the Biggest Winner From President Trump’s “Big, Beautiful Bill” | The Motley Fool

    July 11, 2025
    Top
    Real Estate
    6 Mins Read

    Secret Listings, Weird Vibes, and Some Really Good Finds

    It’s been a month since the law ending forced broker fees took effect, and the…

    The Cheapest Nicest Hotels in Ibiza

    July 11, 2025

    This Roomba combo robot vacuum and mop is nearly half off for the last day of Prime Day

    July 11, 2025
    Our Picks
    Real Estate
    6 Mins Read

    Secret Listings, Weird Vibes, and Some Really Good Finds

    It’s been a month since the law ending forced broker fees took effect, and the…

    Travel & Tourism (Luxury)
    1 Min Read

    The Cheapest Nicest Hotels in Ibiza

    From exclusive beach clubs to overpriced parties, a holiday on the White Isle often comes…

    Pages
    • About Us
    • Contact Us
    • Disclaimer
    • Homepage
    • Privacy Policy
    Facebook X (Twitter) Instagram YouTube TikTok
    • Home
    © 2025 Global News HQ .

    Type above and press Enter to search. Press Esc to cancel.

    Go to mobile version