9 Hot Stocks to Buy for a Biden Bull Market

What a difference a year makes. The stock market has been full of surprises lately, but a series of record-setting highs over the past few months continue to reap rewards for patient, long-term investors.

As the possibility of an additional round of stimulus being pumped into the economy looms ahead, investor optimism has surged. The potential for meaningful regulatory and legislative changes under the new Biden administration could also be a key catalyst to usher in a new bull run.

Let’s take a look at nine stocks that have surged to all-time highs in the pandemic economy and that can continue their streak of growth in a Biden bull market.

5 Winning Stocks Under $49
We hear it over and over from investors, “I wish I had bought Amazon or Netflix when they were first recommended by the Motley Fool. I’d be sitting on a gold mine!” And it’s true. And while Amazon and Netflix have had a good run, we think these 5 other stocks are screaming buys. And you can buy them now for less than $49 a share! Simply click here to learn how to get your copy of “5 Growth Stocks Under $49” for FREE for a limited time only.

Snap (NYSE: SNAP) is most known for its popular social media app, Snapchat. The company has seen its shares soar by roughly 300% over the past 12 months alone, and it reported exceptional revenue growth in the full-year 2020.

In the fourth quarter, management said that Snap boosted its daily active users by 22% from the year-ago period, while its revenue surged double digits at 62%. Snap’s 2020 revenue was up 46% compared with 2019, and its free cash flow increased 34% from the prior year. And Snap is targeting between 56% and 60% year-over-year revenue growth in the first quarter of 2021 alone.

Social media usage has boomed during the pandemic. Not only are social media platforms a vital fixture of the increasingly digital age we live in, but companies like Snap are ideally positioned to capitalize on this industry’s growth and effect meaningful market movements.

ALSO READ: 3 Hot Growth Stocks to Buy in February

It’s not even remotely surprising that Amazon (NASDAQ: AMZN) has fared so well despite the pandemic, particularly as the e-commerce sector has marked record growth during this crisis. Amazon’s uncanny ability to diversify beyond its e-commerce platform into everything from tech to healthcare to cloud infrastructure is another key reason the company continues to hold its place as one of the market’s top stocks.

Shares of Amazon are up nearly 65% from where the stock was trading just one year ago. And in the fourth quarter of 2020, Amazon grew its net sales by a noteworthy 44%. Looking at the company’s full-year 2020 performance, it reported net sales growth of 38% and net income growth of 84%.

Another top stock that is continuing to make a name for itself in the world of e-commerce is popular online marketplace Etsy (NASDAQ: ETSY). One year ago, you could buy a single share of the company for just $50. Today, one share costs about $230.

Etsy had a track record of achieving above-average revenue surges before the pandemic, but its consistent, exceptional financial performance throughout the past year has caused investors to flock to this remarkable growth stock at record speed. In the first nine months of 2020, the company grew its gross merchandise sales by more than 100% year over year, while increasing its revenue and net income by 102% and 211%, respectively. As the market continues moving ever higher, there’s no reason Etsy can’t continue to deliver explosive gains and impressive balance sheet growth.

Roku (NASDAQ: ROKU) is an important fixture in the digital media space with its popular streaming players and very own streaming platform. With so many people staying at home and increasing their viewing consumption during the pandemic, Roku’s balance sheet (and stock price) has increased in kind.

The stock has gained 250% over the past year, but this isn’t just a pandemic fad. The demand for digital media is growing at an exponential rate. While the pandemic has accelerated this growth, Roku’s all-encompassing business model has a particular draw for entertainment consumers that can pave the way for an even brighter future for the company. Roku customers can pick from almost any major streaming service on its platform and bundle the services of their choosing, all while using one of its proprietary player devices for the ultimate viewing extravaganza.

In the third quarter alone, Roku saw its total net revenue surge 73% from the year-ago stretch, while its gross profits jumped 81% year over year.

ALSO READ: 3 Top Stocks You Can Buy and Hold for the Next Decade

Cloud-based software company salesforce.com (NYSE: CRM) has gained 30% over the past year, all the while continuing to generate strong balance sheet growth throughout the pandemic. Salesforce’s customer relationship management platform is a one-stop-shop solution for many of today’s major companies from adidas to T-Mobile, but its software and services are also invaluable tools for many smaller businesses.

In the third quarter of Salesforce’s fiscal 2021 (ended Oct. 31), management reported 20% revenue growth on a year-over-year basis. The company also increased its third-quarter cash from operations 14% from the year-ago window, while growing its overall cash position to $9.5 billion.

5 Winning Stocks Under $49
We hear it over and over from investors, “I wish I had bought Amazon or Netflix when they were first recommended by the Motley Fool. I’d be sitting on a gold mine!” And it’s true. And while Amazon and Netflix have had a good run, we think these 5 other stocks are screaming buys. And you can buy them now for less than $49 a share! Simply click here to learn how to get your copy of “5 Growth Stocks Under $49” for FREE for a limited time only.

Chipmaker NVIDIA (NASDAQ: NVDA) has soared from approximately $250 per share one year ago to a new premium of $540 at the time of this writing. Many top tech stocks have dominated the market throughout the pandemic, just as they did before the crisis began, and NVIDIA is no exception. This is great news for investors searching for a recession-resistant stock and a company that can continue to generate reliable growth despite market volatility.

The company’s computer chips are also integral in the ongoing 5G revolution, a rollout that will take years to achieve completion and deliver additional growth to NVIDIA’s balance sheet.

NVIDIA reported 57% revenue growth in the third quarter of its fiscal 2021 (ended Oct. 25), with revenue in its data center and gaming segments surging 162% and 37% year over year, respectively.

Shopify (NYSE: SHOP) is another leading e-commerce stock that has drawn heightened investor interest during the pandemic and is an increasingly compelling buy for the long-term investor.

Shopify reported exceptional revenue growth in each of the first three quarters of 2020, despite bear market headwinds. Its first-quarter revenue represented 47% growth compared with the year-ago period, while its second- and third-quarter revenues surged 97% and 96%, respectively.

Shares of the company have grown about 172% during the past year, as online shopping surges have brought fresh boosts of revenue to the platform. As the market surges to new highs, Shopify can keep riding the tailwinds of these notable market movements.

ALSO READ: My 3 Highest-Conviction Growth Stocks for 2021

Shares of cloud computing stock Veeva Systems (NYSE: VEEV) have jumped roughly 97% over the past 12 months. The large-cap company counts some of the biggest names in the pharmaceutical and life sciences sectors among its roster of clients. And this fact, along with its leadership in the cloud computing space, has made it one of the few virtually recession-proof stocks to emerge from the pandemic.

As such, Veeva Systems is well positioned to follow the market’s lead in achieving new levels of record-beating growth. In the first three quarters of the company’s fiscal 2021 (ended April 30, July 31, and Oct. 31), it reported respective revenue growth of 38%, 33%, and 34%. Veeva Systems’ net income also grew 18% during each of these quarters.

Mobile payments stock Square (NYSE: SQ) has long been viewed as a risky investment by more conservative investors. Although the company reported double-digit revenue growth in each of the first three quarters of 2020, its bottom line took a substantial hit in the earlier days of the pandemic. Even so, investors have rushed in droves to buy up shares of Square over the trailing 12 months, sending the stock’s price upward by approximately 200%.

Square’s point-of-sale (POS) system and peer-to-peer payment service Cash App are ensuring the company remains at the forefront of the cashless revolution. Case in point, Cash App generated gross profit growth of 212% in the third quarter alone. Long-term investors who are willing to overcome some near-term volatility could see serious portfolio returns as Square capitalizes on the growth of a cashless society and expands its market presence.

5 Winning Stocks Under $49
We hear it over and over from investors, “I wish I had bought Amazon or Netflix when they were first recommended by the Motley Fool. I’d be sitting on a gold mine!” And it’s true. And while Amazon and Netflix have had a good run, we think these 5 other stocks are screaming buys. And you can buy them now for less than $49 a share! Simply click here to learn how to get your copy of “5 Growth Stocks Under $49” for FREE for a limited time only.

Whatever the new bull market holds for investors under the new presidential administration, investing in stocks and growing your portfolio doesn’t have to be complicated.

Always set your sights on the long term. Try to invest in a variety of companies from different sectors so your portfolio isn’t focused too much on any one industry or growth factor.

And be sure to include at least a few recession-proof stocks in your basket of buys. Remember that the stock market is cyclical. By planning for the future and choosing quality stocks for your portfolio, you can weather whatever surprises the market has in store.

John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Rachel Warren has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Amazon, Etsy, NVIDIA, Roku, Salesforce.com, Shopify, Square, and Veeva Systems. The Motley Fool recommends T-Mobile US and recommends the following options: long January 2022 $1920 calls on Amazon and short January 2022 $1940 calls on Amazon. The Motley Fool has a disclosure policy.