B-finances Broker Says Stocks Have Been On The Rise For The Past Few Months. Which Stocks Should You Buy?
London, England, 2nd Nov 2021, ZEXPRWIRE, Shares of Microsoft Corporation (NASDAQ:MSFT) have been climbing since April 2016. The software giant reported surprisingly positive earnings per share (EPS) earlier this month, driven by growth in its cloud computing division Azure. B-finances broker says that shares are up nearly 25% over the past year, but some analysts say that MSFT still has more to gain.
Jefferies analyst John DiFucci raised his price target on MSFT to $61 from $55 recently based on higher revenue estimates due to “a better commercial cloud trajectory.” According to TipRanks, which measures analysts’ and bloggers’ success rate against their peers, five-star analyst John DiFucci has a yearly average return of 14.3% and a 56.5% success rate.
The past few months have been good for Microsoft Corporation (NASDAQ:MSFT) shareholders, but this momentum is expected to continue in the long run. That’s why we believe that MSFT has all the right ingredients to become a solid pick for investors interested in blue chips going into the new year.
Matt Frankel, CFP (Digital Realty Trust): The REIT Digital Real Estate has had an interesting few month with shares seeing heavy fall despite there being little company-specific news to talk about. However, this could be an opportunity for investors as the long-term winner which delivered 5x more than what is seen in US markets since its 2004 IPO launch!
It is obvious that many will not know what a data center actually does but essentially, they house all of your internet activity – think iCloud or Gmail while you browse without worrying where these go on their journey through cyberspace; it’s almost magical really seeing it work.
It’s not just about data centers, the need for secure and reliable places to house servers is growing rapidly. For example, in 2025 there will likely be six times as many artificial intelligence (AI) chips sold per year than today! And autonomous vehicles are also forecasted grow at similar rates too with 5G rollout worldwide providing ample opportunity around globe-wide expansion of traffic levels that require high bandwidth Internet access connectivity through these networks
A new report by IHS Markit forecasts an whopping expected sixfold growth rate among global AI chip shipments up from less than one trillion dollars currently spent annually on machine learning hardware alone by 2021 – but what does this mean? It means over 1 billion more devices equipped with some sort or sensor capable technology requiring power management capabilities s
What’s more is that Digital Realty Trust, Inc. (NASDAQ:DLR) will be a big beneficiary from the data center boom as they have been around for over 20 years with 12 globally recognized data centers including Silicon Valley and Washington DC to name a few. If you are looking for an exposed bet on the future of technology, DLR could be your stock pick!
Digital Realty offers investors a tranquil and reliable investment as it pays 3.2% dividend yield, which has been increasing at 10%. Unlike many other stocks in this market that have high yields but low or negative growth rates such as Amazon’s 2%, Digital will keep on growing while still offering an attractive rate of return for those who invest now versus later down the line.
Exactly why Digital Realty Trust Inc (NYSE:DLR) is a safe bet as you can see from the chart below, DLR’s dividend has been on a steady rise for many years and currently stands above all its other peers in consistency over the past decade at 8%+ ! Not bad considering an S&P 500 average of around 2.5%. Today we value DLR at $93 for a stock that pays $2.86 per share each year and yields 8% return even if shares fall 25%.
Disclaimer: Our content is intended to be used for informational purposes only. It is very important to do your own research before making any investment based on your own personal circumstances. You should take independent financial advice from a professional in connection with, or independently research and verify, any information that you find on this article and wish to rely upon, whether for the purpose of making an investment decision or otherwise.
Source: B-finances