Investing

BofA Securities Out With Top 10 Stock Ideas for Q1 2021

ServiceNow

This stock had an incredible 2020 and remains a top pick. ServiceNow Inc. (NYSE: NOW) develops and sells a hosted, subscription-based suite of services designed to automate various IT department functions, such as help desk, operations management and change/release management.

The company also sells a number of applications that automate various self-service related applications outside of the IT department, such as HR onboarding, facilities requests and governance, risk and compliance.

BofA Securities has set a massive $650 price objective, which towers above the $560.77 consensus price target. Service Now stock recently traded at $530.20.

Tapestry

This retail idea offers some serious total return upside potential as a contrarian play. Tapestry Inc. (NYSE: TPR) is a leading specialty retailer positioned in an appealing segment of the market (affordable luxury). Tapestry’s brands include Coach, Kate Spade and Stuart Weitzman, and the company is best known for accessories (especially handbags).

The company’s products are primarily sold through retail stores, outlet stores and online. The brands have a strong presence in select department stores and specialty retailer locations.

The $40 BofA Securities price target is well above the consensus target of $30.30. Tapestry stock traded at $32.50 on Monday.

T-Mobile

This company finally completed a long and arduous pursuit of former rival communication company Sprint. T-Mobile US Inc. (NASDAQ: TMUS) provides wireless services for branded postpaid, prepaid and wholesale customers in the United States, Puerto Rico and the United States Virgin Islands.

The company offers voice, messaging and data services. It also provides wireless devices, including smartphones, wearables, tablets and other mobile communication devices, as well as accessories and wireline services. It offers its services under the T-Mobile, Metro by T-Mobile and Sprint brands.

The combination with Sprint could bring about a seismic shift in the mobile world. T-Mobile and Sprint’s combined assets could jump-start their 5G ambitions, pushing the industry further into the next-generation technology. They’ve also said they’ll lock in consumer prices for at least three years. As part of all the wrangling, Dish Network will become the fourth national carrier, giving consumers a new alternative.

BofA Securities has a $155 price objective. The consensus target is $151.04, and T-Mobile stock changed hands at $131.65 recently.


These are eight great stock ideas for the first quarter of 2021, along with two potential short sale ideas. The long picks make good sense for growth investors looking to perhaps take some profit and move to new positions.

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