Investing in large-cap stocks has been a popular strategy for investors looking for growth and stability. While large-cap companies may not experience as rapid growth as smaller ones, there is a strategy to consider mid-cap stocks that are on track to become large-cap.
Currently, there are over 50 stocks that are close to reaching the $10 billion milestone, which is only an 11% price growth away from joining the large-cap club. However, it is important to choose wisely which upcoming large stocks to invest in, as simply surpassing the $10 billion mark temporarily provides little benefit.
Some mid-cap stocks are expected to see significant growth in the coming year, making them worth considering. Here are three stocks that are nearing the $10 billion mark and are expected to remain among the large-cap stocks:
Wynn Resorts (WYNN)
Duolingo (DUOL) saw solid growth over the past year, with subscription bookings increasing by 47% and EPS growing over tenfold. Despite this, the stock price remained relatively stable due to volatility. Analysts have a positive long-term outlook for Duolingo, with a price target of $251.10 per share, representing an almost 19% increase. With a current market capitalization of $9.14 billion, achieving this growth could position the company as a strong contender in the large-cap stocks category.
In conclusion, investing in mid-cap stocks that are on track to become large-cap can be a strategic move for investors seeking growth and stability. It is important to carefully evaluate upcoming large stocks to ensure sustained growth and value in the long term.