Aside from following meme headlines online, speculators cannot predict when they will rise. These meme titles to buy have all been on the ropes, but it looks like they could have a revival in the future.
Remember that when the market weakens, some stocks may be dumped out of fear rather than because they have poor fundamentals or are overvalued.
One of the things that separated a true “stock meme” from a title that behaves as such is the consumption of money. Companies that continue to raise cash by diluting their investors should be avoided.
|QQQ||Invesco QQQ Trust||$ 283.56|
|TLT||iShares 20+ Year Treasury Bond ETF||$ 108.03|
Advanced Microdevices (AMD)
Advanced microdevices (NASDAQ:AMD) is one of the first meme titles investors believed in. Prior to its incredible turnaround, led by CEO Lisa Su, AMD stock was trading in the two-dollar range.
The company has strained its balance with debt. It has failed to transform its chip business with better-than-competitive products.
Patient investors who waited for the “AMD rocket ship” to take off earned up to 30 times their return. The stock has traded as low as $ 164.46 in the past year.
It is in a downtrend along with the semiconductor industry. On August 29, the company announced the launch of the Ryzen 7000 series desktop processors. The Zen 4 architecture offers customers up to 16 cores and 32 threads. The company’s supplier manufactures the chip on the 5nm process node.
Experienced investors don’t expect AMD 7000 computer chips to run out. If proven wrong, AMD will be one of the long-term meme stocks to buy.
After the announcement, the company regained the title of having the fastest core in games. Customers who delayed their purchase will order the latest AMD product. This would help the growth of AMD shares.
Neither analysts nor markets expect Fedex (NYSE:FDX) would announce poor first quarter results in advance.
The FDX stock lost more than 20% on September 16, 2022, when it also withdrew its guidance.
FedEx’s surprising revelation should encourage meme creators to promote the title’s low price at these levels. In its preliminary report, FedEx said 2023 tax revenues amounted to $ 23.2 billion.
This closely matches last year’s $ 22.0 billion. Unfortunately, operating income will drop from $ 1.4 billion last year to $ 1.19 billion. Its earnings per share of $ 3.33 are lower than last year’s EPS $ 4.09.
FedEx expects a drop of approximately $ 500 million in revenue. FedEx Express is experiencing a phase of macroeconomic weakness in Asia. China’s zero Covid policy and a drought have disrupted production. In Europe, high energy prices are hurting demand. This in turn has weakened FedEx’s package delivery volumes, making it one of the meme stocks to buy in case of weakness.
GameStop (NYSE:GME) has loyal shareholders who will not sell at any cost. The company’s horrendous quarterly report didn’t frighten the bulls.
This suggests that the GME stock will outperform the index as the stock market risks collapsing.
In the second quarter, the used game and console retailer posted net sales of $ 1.136 billion. This is down from $ 1.183 billion last year. Although selling, general, and administrative costs fell to $ 387.5 million, down 14.3% sequentially, it lost 35 cents per share (non-GAAP).
Memes are very likely to circulate her digital assets through her new one FTX cooperation. On September 7, 2022, it announced it would introduce more GameStop customers to the FTX community and its digital asset markets.
FTX and GameStop have offered some details on the new partnership. Once the mystery is revealed, markets re-evaluate GameStop’s prospects in the cryptocurrency trading space. Again and as always GME is one of the original meme titles to buy.
Nvidia (NASDAQ:NVDA) is a good candidate to become the next meme sensation. On September 16, 2022, the media reported that EVGA, a channel partner, would be exiting the graphics card market.
EVGA shared its pains in selling Nvidia cards. The channel partner said Nvidia hasn’t offered basic pre-launch information on its new products.
Fortunately, the markets did not share EVGA’s view that Nvidia did not value its channel partners. On September 19, 2022, NVDA shares were up 1.39%. However, partners needed to know pricing and product information on launch day.
EVGA may have exited the market because it operated at higher costs than other suppliers. He didn’t want the break-even profit for the losses from here.
Nvidia’s upcoming RTX 4000 series is a critical turning point for the gaming company. Nvidia could become a meme stock if this powerful graphics card price targets the retail customer.
Nvidia needs this launch to convince customers not to buy the latest generation GPU. After the collapse of cryptocurrency mining, the supply of used cards flooded the market. Lower prices for used cards put pressure on Nvidia’s profits.
Nvidia may demand a premium price from its gaming fans. This is still bullish for the stock as it increases profit margins. The company could bet that customers choose the upcoming high-performance RTX 4000 over the cheaper RTX 3000 cards.
Invesco QQQ Trust (QQQ)
Invesco QQQ Trust (NASDAQ:QQQ) tracks the Nasdaq index. Tech-savvy investors would naturally bet on rising QQQ shares.
The largest companies in the world like it Apple (NASDAQ:AAPL) And Microsoft (NASDAQ:MSFT) account for over 20% of this ETF.
The tech sector in general could collapse due to the collapse of the market. However, Apple recently updated its range of iPhones and Apple Watches. Meme investors can bet Apple fans can’t live happily without updating. Inflation will damage the disposable income of the average consumer. However, if Apple customers have above-average income, they can afford to upgrade.
Microsoft has moved from software sales to annual subscriptions. No corporate worker or student can enjoy productivity without Office 365. As subscription revenue growth won’t slow, investors can hold MSFT stock through the QQQ ETF holding company.
Eventually, the market decline will end. The tech sector will recover first. Businesses are agile. They will grow faster as enterprise customers increase their spending on software and hardware.
iShares 20+ years Treasury Bond ETF (TLT)
The iShares 20+ Year Treasury Bond ETF (NASDAQ:TLT) is the last activity class that will become a meme. However, the 30-year bond is one of the most important assets to keep an eye on.
The more the yield on this bond rises, the more likely it is that stocks will collapse.
TLT stocks are a fitting meme because the 30-year bond price must stop falling. Eventually, investors will bet that yields will peak. They will accumulate government-guaranteed debt.
The US government’s hawkish interest rate policy increases the attractiveness of US debt and currency. US assets are the most attractive compared to those offered by any other country.
It is very likely that the relatively optimistic view of US debt will not change. The US dollar could remain strong in times of uncertainty.
Fearful investors will park their money in this currency. Additionally, the Federal Reserve will steadily raise interest rates over the next few months. When rates eventually peak, this will help TLT out of its downtrend.
Tesla (NASDAQ:TSLA) faces minimal competition from emerging EV companies.
The company has built Gigafactory all over the world. He secured supply agreements to lock in the best prices. Companies like Glossy Group (NASDAQ:LCID) And Fisker (NYSE:FSR) are very late to enter the market.
Tesla’s early entry into electric vehicles has strengthened its brand. The company has a wide enough variety of models to appeal to all segments of the market. Model 3 caters to the low and medium ranges. Model Y is an EV SUV that appeals to the middle class. Model X and Model S are high-end models available to those who can afford them.
CEO Elon Musk’s offer for Twitter (NYSE:TWTR) ensures that it will remain relevant in the news. The more coverage it gets, the more attractive Tesla’s memes are.
Europe’s economic woes could slow Tesla’s growth. The mayor of Grünheide has delayed a vote to expand the Gigafactory in Germany.
At the date of publication Chris Lau had no (directly or indirectly) positions in the securities referred to in this article. The views expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.