7 Hot Stocks to Buy on Any Dips in May

Stocks to buy
  • There are many ways to invest in the stock market. But if you’re looking for a low-risk, high-reward investment, then investing in these hot stocks is the way to go.
  • Alibaba Group (NYSE:BABA) Alibaba stock is safe, and it’s a great investment choice. It’s easy to predict the company will grow, making the risk manageable.
  • Prologis (NYSE:PLD) — Prologis is the world’s leading industrial real estate company. Their way of doing business has helped them become one of the top companies.
  • Costco Wholesale (NASDAQ:COST) Costco will be a good investment with inflation increasing. Consuming less expensive products, people still visit the local Costco store for essentials.
  • Monday.com (NASDAQ:MNDY) Monday.com helps companies manage their digital workforce with a cloud-based platform.
  • Dick’s Sporting Goods (NYSE:DKS) Dick’s Sporting Goods did well during the pandemic. They provided a sense of wilderness in a world that was becoming increasingly claustrophobic. Even after the pandemic, Dick’s Sporting Goods should do well as people venture outside again to refresh their minds and reacquaint themselves with nature.
  • Marriott International (NASDAQ:MAR) There will be more travelers this year because people are beginning to travel again. Companies like Marriott will get a lot of business as people stay at their hotels.
  • Southwest Airlines (NYSE:LUV) Southwest Airlines is known for its low fares, friendly customer service, and dedication to safety. As inflation increases, the company will thrive as a budget carrier.
Source: Spyro the Dragon / Shutterstock.com

Investing in stocks is not an easy task. There are a lot of factors to consider before deciding to buy stocks.

However, if you want to invest in the right hot stocks, this article is for you.

BABA Alibaba $79.29
PLD Prologis $122.40
COST Costco Wholesale $481.20
MNDY Monday.com $99.17
DKS Dick’s Sporting Goods $88.25
MAR Marriott International $160.82
LUV Southwest Airlines $41.52

Hot Stocks to Buy: Alibaba Group (BABA)

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Alibaba Group (NYSE:BABA) is a multinational e-commerce company headquartered in China founded by Jack Ma. The company is one of the world’s largest retailers, and it has recently expanded into other industries such as entertainment, finance, etc.

According to Alexa Internet rankings, the company has the best-known online shopping website Alibaba.com, one of the most visited websites globally. They also have a lot of other sites that offer services like Alipay for payment processing or Youku for video streaming.

Buying BABA stock is usually not a difficult decision. Alibaba has been dubbed the Amazon (NASDAQ:AMZN) of China, but it’s better than the US company in more ways than one. Alibaba is not only China’s largest e-commerce business but also provides AliPay, Ant Financials, and Zimmo.

However, the last couple of years has been problematic for BABA because of the regulatory crackdown. China’s government heavily fined Alibaba and clamped down to protect the domestic company. For over a decade, Alibaba has dominated China’s e-commerce industry, and it seems like the country is losing patience.

However, recent reports suggest that Bejing is changing its tune on the bright side. The government realizes that Alibaba is extremely valuable to the country’s economy.

Recently, Beijing and American regulators have been talking about the logistics of allowing on-site inspections by US securities regulators on Chinese companies listed on America’s exchanges.

Stock prices are depressed, and there has never been a better time than now to invest in this company.

Prologis (PLD)

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Prologis (NYSE:PLD) is a global company specializing in owning and managing distribution centers, warehouses, and logistics buildings. They provide facilities for businesses to store their goods and distribute them efficiently. Prologis can make your day-to-day operations a lot easier and hassle-free.

You can structure companies in several different ways. REITs, or real estate investment trusts, focus on real estate assets and distribute the bulk of their earnings to shareholders. Therefore, income investors value REITs highly.

REITs are typically assets that offer income and a risk-mitigating factor. They’re popular with investors who want to grow their funds without piling on too much risk. Prologis is investing in several properties that are set to offer an exponential increase in the supply of logistics-related building space that currently eCommerce will demand. This will be a boon for the company and its bottom line.

Prologis is doing very well, as shown by its first-quarter results released last month. Those results touched on various developments the company made that showed off its strength. Across its key metrics, the company managed to outperform all analyst estimates.

Raising $834M in funds from operations, the real estate investment trust reported $1.09 per share earnings for the period. Revenues came in at $1.22 billion in the period. Apart from these stellar numbers, the company boosted its full-year funds from operations guidance to $5.10 to $5.16 per share.

Hot Stocks to Buy: Costco Wholesale (COST)

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Costco Wholesale (NASDAQ:COST) is a chain of membership-only warehouse stores in the United States and Canada. Its headquarters are located in Issaquah, Washington.

Costco has been a part of American culture for decades. It has also become one of the most recognizable brands globally, with over 111 million people worldwide. Costco is known for its low prices and high-quality merchandise, making it one of the most popular retailers in North America.

Jim Sinegal and Jeffrey Brotman founded the company in 1983 as a single store that sold bulk goods at wholesale prices. Costco expanded rapidly from its single location to become a nationwide chain.

Inflation is at an all-time high in the US, so Costco should be included when you plan to make a long-term investment portfolio filled with hot stocks. While most consumers are shifting away from expensive products, they will still visit the local Costco for their essentials.

Monday.com (MNDY)

Source: Shutterstock

Monday.com (NASDAQ:MNDY) is a SaaS platform that helps companies manage their digital workforce. It provides a cloud-based platform for managing work, projects, and tasks for digital workers in the office or remotely.

It provides several features such as scheduling, reminders, and time tracking. The software can be used by employers or employees who need to manage their work or personal life with ease. Due to the pandemic, more companies are moving to a remote work model or a hybrid model.

According to Accenture, knowing your employees are healthy and productive will bring in more revenue for your company. They say that having a healthy and productive workforce will lead to more success for your business regardless of where you are located. Having a hybrid workforce is one of the ways companies are embracing productivity. It’s a strategy working for 63% of high-revenue growth companies.

Monday’s features allow for seamless integrations with many kinds of different apps. This is important for HR teams, marketing departments, and others who might need data from LinkedIn or Hubspot. It has also been nicely described as being very special in many ways. It’s very common for businesses to integrate data from different platforms and workflows.

The stock market as a whole hasn’t been doing as well lately. Therefore, shares are available at a steep discount to their 52-week high.

Hot Stocks to Buy: Dick’s Sporting Goods (DKS)

Source: George Sheldon via Shutterstock

Dick’s Sporting Goods (NYSE:DKS) offers a wide range of products, including hunting, fishing, golfing, camping, and outdoor activities.

With the world of competitive sports shut down by a pandemic, they saw a market opening up to them and decided to go for it. The business was great during the last two years, making it clear that folks must have had a taste for the outdoors and hunting season.

The recent financial results also show that things are moving in the right direction. After two years of record-setting performance, Dick’s Sporting Goods will continue growing in the coming year.

The company’s earnings per share reached $13.87 for the full year of 2021, up 142% from what they were in 2020. This shows that its performance is well beyond what one would’ve expected and rivals other big companies.

Apart from this stellar performance, Dick’s Sporting Goods has rewarded investors handsomely. The company announced $750 million in share repurchases alone and hiked its quarterly dividend by 11% on top of that.

Marriott International (MAR)

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Marriott International (NASDAQ:MAR) is one of the world’s largest hotel chains. It has a long history of being a pioneer in the hospitality industry.

Marriott International was founded by J. Willard Marriott and his wife Alice in 1927. They built their first hotel in Washington D.C., which served as a place for government officials after World War I.

Marriott International has also been one of the most innovative companies in using technology in their hotels and properties. They constantly improve their customer experience by implementing new technologies and tools like digital check-ins, digital key cards, and mobile apps.

Finally, MAR stock is one of the rare hot stocks in the black after a disastrous run for the markets this year. Shares are up by a minuscule 2.13%. But at least it’s something in this market. TSA checkpoint travel numbers show that numbers are getting back to pre-pandemic numbers. With more people traveling, lodging companies are in for a field day. Therefore, MAR stock continues to be a strong bet.

Hot Stocks to Buy: Southwest Airlines (LUV)

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Southwest Airlines (NYSE:LUV) is one of the most well-known airlines in the world. It has been around for almost 50 years and has helped shape the industry.

In the first quarter, Southwest Airlines reported a $278 million loss. However, the markets responded kindly to the earnings report. The number of employees at United Airlines has increased dramatically this year. Bringing on and training new pilots is extremely important to maintain company health.

The legacy carrier agreed with other airlines that said things are moving in the right direction. This company has grown so much for the many reasons it is because they are now hiring more employees. They have 3,300 additional employees working as of present. As we enter the busy summer season, now is the right time to invest.

On the publication date, Faizan Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Faizan Farooque is a contributing author for InvestorPlace.com and numerous other financial sites. Faizan has several years of experience in analyzing the stock market and was a former data journalist at S&P Global Market Intelligence. His passion is to help the average investor make more informed decisions regarding their portfolio.

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