Written by Norman Isaac Mwambazi

These are the top-performing stocks for October 2020

We are halfway through October but you can still grab a few shares of these companies that have performed the …

We are halfway through October but you can still grab a few shares of these companies that have performed the most as of September 30, 2020, and are still going strong in October in value, growth, and momentum.

We will have the top five from each category, as indexed by the Russell 1000 Index. This stock market index tracks the highest-ranking 1,000 largest publicly traded companies in the U.S.

The Russell 1000 Index represents approximately 92% of the total market capitalization of all listed stocks in the U.S. stock market with companies like tech giant Microsoft, social network giant Facebook, automaker Tesla, among others.

Best value stocks

Before we jump into the individual stocks, we need to first know what value stocks are. Value stocks are those stocks that are trading below their intrinsic value. In other words, they are undervalued. A stock’s value is mostly calculated according to the company’s price-to-earnings ratio (P/E Ratio).

Investors invest in these stocks because they believe their price may eventually rise and come back in line with the worth of the company. This is called value investing.

Here are the top five best value stocks in October

Brookfield Property REIT Inc.

Brookfield Property REIT, trading as BPYU is a subsidiary of Brookfield Property Partners LP that operates as a Real Estate Investment Trust (REIT) intended to provide investors economic equivalence to its parent.

With a portfolio that includes 2,000 assets in 30 countries, Brookfield owns, develops, builds, leases, and manages, and operates a large portfolio of office, retail, multifamily, industrial, hospitality, student housing, and manufactured housing assets.

By the time of this writing, the company has a market capitalisation of $700 million; its stock price is $13.61 and it aims to generate long-term returns on stocks of 12%-15%.

Brighthouse Financial Inc.

This financial services company provides annuities and insurance (Life, Run-Off, and Corporate among others) to more than two million customers in the U.S. has a market capitalisation of $2.5 billion. Brighthouse Financial has total assets of $235 billion, total liabilities of $214 billion, and assets under management (AUM) of $207 billion.

The company’s stock price is currently $32.06.

NRG Energy Inc.

NRG Energy produces, sells, and distributes energy and energy services to approximately 3.7 million customers across the U.S. The company generates about 23,000 megawatts of electricity from natural gas (43%), coal (34%), and oil, renewables, and nuclear (33%).

In August this year, NRG Energy announced the approval of its proposed acquisition of Direct Energy from Centrica PLC by Centrica’s shareholders, and the deal is expected to close by the end of 2020. The company has a market capitalisation of $7.3 billion and its share price is $33.96.

Ardagh Group SA

Based in Luxembourg, and headquartered in Dublin, Ireland, Ardagh Group manufactures containers and packaging products using 100% recyclable materials. Ardagh Group operates in 12 countries where it has a total of 56 metal and glass production facilities employing more than 16,000 people.

Ardagh Group’s stock price is currently $14.10 per share and it has a market capitalisation of $3.4 billion.

NortonLifeLock Inc.

Finally, we have a tech company in NortonLifeLock. This company offers cybersecurity needed to secure devices, payments, identities, online privacy, and other digital security needs to nearly 50 million consumers.

NortonLifeLock has a market capitalisation of $12.3 billion and its share goes for $21.09

Fastest Growing Stocks

A growth stock is the type of stock that is expected to significantly grow faster than the market as a whole. These stocks have the highest year-over-year (YOY) Earnings Per Share (EPS) growth for the most recent quarter.

A company is believed to have growth stocks when its profits grow as measured by EPS, which in turn leads to a rise in its stock price as investors seek to invest in it to enjoy its future profits. This kind of investing is called growth investing.

Here are the top five fastest-growing stocks

Quidel Corporation

This American company manufactures diagnostic healthcare products like rapid diagnostic testing solutions, cellular-based virology assays, and molecular diagnostic systems.

Founded in 1979, the company is a leader in making products for infectious diseases and reproductive health and produces the handheld molecular device called AmpliVue.

In Q2 2020, which ended June 30, 2020, Quidel reported a net income growth of 5,226.9% on revenue growth of 86.4%.

The company said that revenue growth was driven by strong demand for its two newly launched Sofia SARS Antigen and Lyra SARS-CoV-2 tests, which are used in testing for COVID-19.

Quidel Corporation’s EPS growth percentage is 5,070, market capitalisation is $9 billion, and its share price is currently $258.83.

Zoom Video Communications Inc.

It is not rocket science that Zoom is on this list. During the COVID-19 pandemic lockdown periods around the world that forced people to work from home, Zoom became the go-to option for teams, companies, and individuals to conduct their virtual conferences on video via Zoom.

The company offers video, voice, content sharing, and chat for mobile devices, desktops, telephones, and room systems supporting up to 1,000 video participants and 10,000 viewers on a single conference call.

In Q2 of FY 2021 that ended on July 31, 2020, Zoom reported a net income growth of 3,256.6% on revenue growth of 355.0%. Zoom’s EPS growth percentage is 3,050, market capitalisation is $132.4 billion and its share price is currently $563.81.

Salesforce.com Inc.

Salesforce.com, a cloud-based software technology company offers online solutions for customer relationship management to more than 150,000 companies to build and run business applications, helping them to manage sales, marketing, user engagement, and data analytics among others.

In Q2 FY 2021 that ended on July 31, 2020, Salesforce.com reported a net income growth of 2,784.6% on revenue growth of 28.9%. The company’s EPS growth percentage is 2,490, market capitalisation is $225.2, and its share price is currently $259.19. 

Albertsons Companies Inc.

This food and drug retailer offers various consumer staples products in 34 U.S. states and the District of Columbia, operating more than 2,200 supermarkets under 20 separate banners.

The company also operates fuel centres, in-store pharmacies, distribution centres, and 20 food and beverage plants. During this COVID-19 pandemic, the company’s digital sales grew by 276% s it reported net income growth of 1,096.3% on revenue growth of 21.4% in Q1 of its 2020 fiscal year that ended June 20, 2020.

Albertsons’ EPS growth percentage is 2,490, market capitalisation is $225.2 billion and its share price is currently $14.26.

Berry Global Group Inc.

Berry Global Group is a materials company that manufactures containers and plastic products like bottles, drink cups, flexible packaging, jars, lids, straws, tapes, stretch film, shrink films, and tubes mong others like for a broad range of industries including healthcare, agriculture, and cannabis employing more than 48,000.

Berry Global Group’s EPS growth percentage is 1,320, market capitalisation is $6.3 billion, and its share price is currently $50.42.

Stocks with the most momentum

A company’s stock is said to have momentum when its whole price has risen faster than the market as a whole outperforming the market. Investors will buy this stock because they believe it will continue to rise. After all, the factors that boosted its performance will not suddenly disappear. These stocks had the highest total return over the last 12 months.

Here are stocks with the Most Momentum

Tesla Inc.

Tesla

Tesla is the worlds’ largest automaker by market value, with a market capitalisation of about $416 billion, and is one of the world’s leading designer and manufacturer of electric vehicles. On top of this, the company produces solar energy generation and energy storage products.

In Q2 FY 2020, Tesla produced more than 82,000 vehicles, which helped it to post a fourth straight quarterly profit after a long string of financial losses.

Tesla’s 12-month trailing total return percentage is 765.4 and its share price is currently $446.16.  

Livongo Health Inc.

Livongo Health is a biotechnology company that develops applied health signals for the monitoring and treatment of chronic health conditions like diabetes, hypertension, weight management, and a range of behavioural health issues serving more than 410,000 members. 

Last month, the company proposed a merger with Toledo Health Inc. and both companies will hold respective shareholder votes on October 29, 2020. Livongo Health has a 12-month trailing total return percentage of 712%, market capitalisation of $14.1 billion, and the price of its share is currently $141.92.

Zoom Video Communications Inc.

Zoom also features on the list of the top five companies with the stocks with the most momentum in October. Its 12-month trailing total return percentage is 512.2.  

Immunomedics Inc.

This fully integrated biopharmaceutical company develops and manufactures diagnostic imaging and therapeutic products used to detect and treat various forms of cancer like breast cancer and urothelial cancer.

Immunomedics employs more than 400 people in the U.S. and Germany, and partners with Everest Medicines in Greater China and some ASEAN nations. The company’s 12-month trailing total return percentage is 495.3, market capitalisation is $19.7, and its share price is currently $87.56.

Moderna Inc.

Moderna is a clinical-stage biotechnology company has taken centre stage in the development and discovery of the COVID-19 vaccine. The company is currently conducting phase 3 clinical trial of mRNA-1273, a COVID-19 vaccine candidate.

Moderna’s 12-month trailing total return percentage is 343.5, market capitalisation is $27.8, and its share price is currently $73.94.