There are already almost 100 stocks with values of over $300 million that more than doubled in 2021. And while it might be a challenge for most to hold on to those gains, let’s take a look at some stocks that could be just getting started. In fact, these three stocks could soon double yet again in 2021.

1. Upstart

Loaning money to people with below average credit scores has normally been a disaster, but it’s also a market that Upstart is overturning by using AI to make better bets in this lending niche. The company saw its revenue increase by 42% last year, and it’s about to get even better.

Its managers are calling for revenue to increase 115% this year. Their purchase of Prodigy Software should be finalized in June and the company will expand its reach into the auto loan market, which is ready for an AI-fueled competitor. More data means the tech company will get even smarter.

The stock is not cheap after almost tripling recently. Analysts doubled their predictions after March’s report, but we still believe Upstart will trade for over 200x this year’s predicted earnings. These multiples are not normal in the financial markets. But with the stock already 30% below its March top, it’s a good opportunity to buy a company that is about to slam on the accelerator.

2. Funko

Your collection of Funko bobbleheads and vinyl figures is not a passing fad. Shares of the stock have doubled this year on its surprising financial turnaround and its choice to capitalize on a hot craze.

 

Funko was producing double-digit annual revenue growth for four years before covid shrank the demand for its licensed collectibles. Revenue lowered by 18% for all of 2020, but analysts were not expecting sales growth to be positive during the holidays. The $226.5 million it reported in addition to the fourth quarter was only a 6% y/y increase, but Wall Street pros were awaiting a 8% decline. Weak international sales were accompanied by a whopping 18% increase in the U.S. market. Funko’s quarterly profit of $0.24 per share also went past the $0.14 that analysts were predicting.

Funko then announced a deal to buy a controlling stake in TokenHead, a leading platform for showing and tracking non-fungible tokens. Their TokenWave app has over 100,000 daily customers stopping by to see their list of 10 million blockchain-backed tokens. For all these reasons, the company is now in a perfect spot to be a major player in digital collectibles.

3. AMC Entertainment

AMC is a company most investors connect with a fading industry. Even before covid, folks were staying away from movie theaters. AMC revenue was stagnant in 2019, and that was as the company gained market share as domestic sales declined 5% that year.

The pandemic has hit AMC hard, and the long-term outlook is dodgy. Consumers and studios have embraced digital content, and neither group has the patience for traditional releases where content is only shown on the big screen for a couple of months before leaving.

However, we have seen theater crowds spike in foreign markets. With 99% of AMC theaters now open, studios are ready to release hot movies that they have postponed until now. With events already eliminating the competition, AMC will have a big summer this year as people start to rediscover social settings.

 

AMC, Upstart and Funko have more than doubled in 2021. But the data and trends are there for this to possibly happen again before 2022 hits.

 

Author: Steven Sinclaire

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