Roughly one month into 2025, the inventory market is off to a first rate however removed from spectacular begin. As of this writing, the S&P 500, the Nasdaq Composite, and the Dow Jones Industrial Common are up 3.2%, 2%, and 5.6%, respectively.
Nevertheless, as all the time, there’s extra to the image if you scratch under the floor. Some particular person shares are off to a red-hot begin to 2025. Let’s have a more in-depth take a look at two that traders ought to think about.
First, there’s Robinhood Markets (NASDAQ: HOOD).
As of this writing, shares of Robinhood are up greater than 42% 12 months so far and greater than 387% during the last 12 months.
The corporate operates a brokerage platform the place traders can commerce shares, exchange-traded funds (ETFs), cryptocurrencies, commodities, and extra.
In its most up-to-date quarter, Robinhood delivered glorious earnings outcomes, highlighted by:
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Income of $637 million, up 37% 12 months over 12 months.
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Internet earnings of $150 million versus a web lack of $85 million one 12 months earlier.
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Buyer rely of 24.3 million, up 1 million from a 12 months in the past.
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Common income per person of $105, up 31% 12 months over 12 months.
Clearly, the corporate is executing on its enterprise mannequin, bringing in new traders, and driving its income and earnings larger. Nevertheless, administration can also be increasing into new areas that would appeal to new clients and improve income from present ones.
For starters, the corporate is reportedly increasing into futures buying and selling for crypto, oil, gold, and main fairness indexes. As well as, Robinhood has entered into the sector of prediction markets. This will enable customers to wager on the end result of reside occasions — together with sports activities occasions, high-profile elections, and the discharge of financial information.
In line with consensus estimates compiled by Yahoo Finance, analysts count on Robinhood to generate greater than $2.8 billion in income in 2025, up 17% from final 12 months. I feel these estimates are conservative, and the corporate may surpass them because it scales up its new initiatives.
At any price, development traders ought to regulate this red-hot inventory. It might be probably the greatest names to personal in 2025.
Subsequent, there’s Meta Platforms (NASDAQ: META).
As of this writing, shares of Meta have superior by almost 20% 12 months so far. Going again 12 months, its inventory is up greater than 50% — not unhealthy for an organization with a market cap of almost $1.8 trillion.
Meta’s inventory is surging as a result of the corporate is firing on all cylinders. Income, web earnings, and free money circulation all stand at document highs.
It is all all the way down to Meta’s actually international scale. The corporate boasts greater than 3.4 billion day by day common customers (DAUs) throughout its suite of apps, together with Fb and Instagram. Meaning roughly three of each eight individuals on Earth use considered one of its apps day by day.