Baird Is Bullish on 3 Very Hot Stocks Poised for 2016 Potential Upside

Investing

Published: December 30, 2015 9:55 am

Last Updated: January 13, 2020 3:35 pm

While many investors are more than happy to see 2015 come to a close, the question remains the same as it does every year at this time. What stocks are going to be good alternatives for next year? In some cases it may very well be some of the same companies that performed well in 2015. Many analysts continue to tout some of the FANG companies (Facebook, Amazon, Netflix, Google), while others lean toward other winners.

In a recent research report, Baird maintained Outperform ratings on three top companies that have reported outstanding numbers and had positive catalysts. All three could be solid additions to aggressive growth portfolios for 2016.

Celgene

This is one of Baird’s top biotech picks for its solid upside potential for 2016. Celgene Corp. (NASDAQ: CELG) has an outstanding partnered pipeline that most think is low risk and has the potential to yield several blockbuster drugs. Certain Wall Street analysts also think the company can grow earnings 15% on a compounded annual growth rate basis going forward.

The company provided strong guidance earlier this year on its Otezla launch and encouraging feedback from doctors on the potential of new triplet regimens in myeloma. Analysts across Wall Street raised their estimates for the drug as, after a little more than a year on the market, the psoriasis and psoriatic arthritis treatment has achieved considerable prescriptions among physicians.