It’s tough being in the Christmas spirit this year after a dismal 2022 for the stock market. However, there is cause for optimism, as signs of recovery are present this holiday season. The Dow Jones Industrial Average is down just 8% after being deep in the red for most of 2022. Therefore, it’s an ideal time for investors to think about investing in stocks to buy as Christmas gifts.
After stocks and cryptos took such a shellacking this year, savvy investors have a great chance to benefit from some big gains in the future. The crypto winter has been long and harsh, but the bull cases for the industry stalwarts remain firmly intact. Having said that, here are seven top stocks and cryptos you should invest in as Christmas gifts this year.
Walt Disney (DIS)
Walt Disney (NYSE:DIS) has long been one of the most popular names in the entertainment sphere, but has gained even more attention lately due to the success of its streaming service, Disney+. It’s now become one of the most popular streaming services worldwide, with over 164 million subscribers. Moreover, some experts believe that Disney+ could potentially overtake Netflix as the top streaming service in the near future.
What sets Disney apart from its peers is the diversity of its income sources. Its park and cruise line segments effectively shield it from any losses from its streaming service. After a painstaking lockdown period, we saw tourist numbers quickly flood back to the company’s global parks. Recently, it boasts a 90% occupancy rate during the third quarter. This additional cushioning from any potential bumps in the road provides Disney with much-needed peace of mind as it strives for more success in years to come.
Apple (NASDAQ:AAPL) has been one of the most popular Warren Buffet stocks since the Oracle of Omaha began building a massive stake in the company in 2016. As the world’s largest tech company, the firm remains one of the most valuable brands globally. Accordingly, investors have held on to Apple as a long-term investment. It boasts a spectacular track record of growing its top and bottom lines with its robust product base and services ecosystem.
Investing in AAPL stock is also an attractive option for investors looking for dividend growth. With an annualized dividend of 92 cents currently and $122 billion in operating cash flows, a consistent dividend hike is expected to sustain over the next few years. These profits can fuel technology advancements, including 5G adoption and investment into Apple’s growing wearable, home and accessory segments.
Devon Energy (DVN)
Oklahoma City-based Devon Energy (NYSE:DVN) is one of the few stocks that has traded in the green this year. It is one of the biggest names in the oil industry and one of the biggest producers of natural gas and natural gas liquids. This is particularly appealing given Europe’s continued high demand for these particular energy products. Additionally, with its experienced management team and proven track record for efficient operations, now might be an opportune time to invest in this well-run business.
Devon Energy is an incredible gift to dividend investors, offering an eye-catching forward annual yield of 9.1%. The company’s fixed-plus-variable dividend model has made it possible for investors to feel secure and create a steady income stream. Moreover, Devon Energy has remained resilient even as the price of oil has dropped significantly, demonstrating its long-term value to investors looking for reliable returns.
Bitcoin (BTC-USD) is like a blue-chip investment in the crypto world. Though we have seen plenty of choppiness in its value this year, there’s plenty of reason to be optimistic about its long-term outlook. Inflation is slowly tapering off, and a weak dollar could create an even more favorable environment for investing in risky asset classes. Even though we might see another economic downturn in 2023, it could be a great opportunity to purchase BTC at a discount before prices surge due to expansionary policies from policymakers.
Though the crypto market has seen a correction of over 60%, the long-term future of BTC remains positive due to growing institutional investments in the asset class. Furthermore, Bitcoin halving is expected to happen in March 2024, and its effects could be quite promising. Analysts are of the opinion that it could potentially trigger a surge towards $100,000.
Ethereum (ETH-USD) is arguably one of the most popular crypto platforms in terms of real-world utility. Its use cases are far wider than any of its peers, which have cemented its place in the decentralized finance and the non-fungible token markets.
Ethereum looks primed for success down the line, especially considering its recent merge with another blockchain called the Beacon Chain. The merge effects haven’t yet been priced in due to the bearish sentiment. However, the merge has significantly improved Ethereum’s security and speed. What’s more, Ethereum plans to introduce sharding in the future, which will benefit users by reducing transaction fees and increasing speed even further.
Ethereum is continuously progressing in its plans, with its highly anticipated Shanghai upgrade expected sometime next year. According to Vitalik Buterin, founder of Ethereum, Ethereum development is 55% complete after the merge, with plenty of upside ahead. Nonetheless, its users will already benefit from a faster and more secure platform.
Viatris (NASDAQ:VTRS) has had an uphill battle since its reverse merger transaction in late 2020, and things appear to be turning around lately. Despite its high debt and low growth, investors have started paying attention to this pharmaceutical company as of late. This could be due to their expansive generic portfolio and capability of tapping into new market opportunities. With the right strategy in place, Viatris is set to grow at a healthy place for the foreseeable future.
Investors have reason to be optimistic about VTRS stock as the imminent acquisitions of Oyster Point Pharma (NASDAQ:OYST) and Famy Life Sciences promise strong synergies in terms of revenue and cost optimization opportunities. These pending transactions are clearly a sign of better times ahead for shareholders, with the potential for considerable upside in the future. In addition, investors can take advantage of the firm’s incredible dividend yield of 4.5%.
Albemarle Corporation (ALB)
With governments across the globe taking an active role in promoting electric vehicle adoption, it’s no wonder that demand for lithium has skyrocketed. This surge in demand has industry experts warning of an impending lithium shortage. Against this backdrop, lithium is emerging as a key clean energy investment, and Albemarle Corporation (NYSE:ALB) presents itself as a leading player in the space.
The firm is leading the lithium sales boom, reporting an impressive 152% growth during the third quarter alone. This strong performance allows them to anticipate even more impressive returns this financial year, with a 447% adjusted EBITDA bump in 2022. The underlying driver for such success is the burgeoning demand for lithium and Albemarle’s ability to increase conversion capacity to 200ktpa by the end of this year. With the robustness in lithium prices, ALB should be able to keep up its positive momentum and enjoy the benefits of this increased valuation over the next 12 months.
On the date of publication, Muslim Farooque held a long position in Ethereum. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.