Investing

Strategists See Stock Market Going Higher in 2014: Picks for Stocks to Buy

Stocks had a major run in 2013, with the Dow Jones Industrial Index gaining 26.5% and the S&P 500 index gaining some 29.6%. This was the best gain for a single year in almost two decades. Now the question is what can happen in 2014, as some of the late gains of last year may have robbed the gains from this year. 24/7 Wall St. has compiled a top outlook from each of the major Wall Street firms to calculate an external upside consensus from the market leaders.

24/7 Wall St. has its own calculation that will be released shortly. In addition to the top firms’ S&P 500 targets for 2014, we have also included a montage of their top stock picks for the year ahead as well.

The list of targets is set in an ascending price order, implying that the most conservative price targets are seen first. Following are the S&P 500 target prices for 2014 from each firm.

Deutsche Bank is at 1,850 for 2014 and 2,000 for 2015. We have tracked the firm’s top picks in oil services and equipment and also in transportation for 2014. Also covered are the top five tech stocks (with two to sell) for 2014. Here are the firm’s top quantitative stock picks for you math geeks. Also, here are the firm’s top homebuilder stocks for 2014.

Stifel Nicolaus is at 1,850 for 2014. No sector outlook picks from this firm were reported.

Wells Fargo is at 1,850 for 2014. No sector picks for 2014.

Barclays has set a target of 1,900 for 2014, based on $119 in earnings per share. No broad sector picks were covered.

Citigroup has set a 1,900 target, with earnings roughly of $117.50 per share. No major sector picks were covered by us.

BlackRock has set 1,920 as the target with $120 in EPS. This is a management firm, so picks are different.

Goldman Sachs is at 1,900 for 2014, with earnings of $116 per share. The firm made many key changes to its Conviction Buy List for 2014.

Bank of America Merrill Lynch has set a target of 2,000, based on earnings of $118 per share. Here are the top 10 European picks. We have also tracked the top Internet picks for 2014, but the firm is becoming much more cautious when it comes to the high-dividend (distribution) MLP sector. Here are the firm’s top industrial stock picks for 2014. Merrill Lynch also gave 10 reasons that bank stocks can keep outperforming in 2014.

Morgan Stanley has set a target of 2,014 in 2014, based on earnings per share of $116. No broad sector picks were tracked.

J.P. Morgan has set a target of 2,075, with earnings of $120 per share. J.P. Morgan also offered its top biotech stock picks for 2014. The firm also gave nine value picks to outperform growth stocks. In addition, here is the firm’s gold and silver trade idea for 2014.

Ned Davis Research was the standout bear here, but only temporarily. The firm called for a 20% market correction. The good news is that the team expects a snap-back rally from there from a great buying opportunity. The take of 24/7 Wall St. echoed this a bit, with late 2013 eating up gains that should have been made in 2014. Also, Bob Doll of Nuveen Funds gave his 10 predictions, which we overlapped with ETF strategies based on his picks (Doll was 7.5 out of 10 in 2013).

Other key 2014 stock sector outlooks for 2014:

U.S. pensions are entering 2014 in the best shape in years.

Solar stocks are shining brightly for a 2014.

Top cyber security stocks for 2014.

Biotech stocks trading under $10 with huge upside for 2014.

24/7 Wall St. even issued its own New Year’s Resolutions for savers and investors, tailored with strategies specific to market conditions as 2013 ended.

Lastly, here are 10 stocks trading under $10 with big upside in 2014.

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