Stocks to Watch 2022

“Successful speculation implies taking risks when the odds are in your favor.”
– Victor Sperandeo

This year’s list contains 20 growth names to watch in 2022. That is ALL this list is, a personal watch list that can and will change over the course of the year, so please do not take it as a recommendation to buy, hold or sell any security.

I currently own six of the names on this year’s list with several new names that I have never owned and a few names that I have owned in the past that I believe will continue to perform.

Please understand that I have several portfolios that I manage for my family:

  • Growth Portfolio (active)
  • IRA Portfolio (passive)
  • Index Funds (passive)
  • Crypto Portfolio (active & passive)

I must reiterate that my annual blog post, Stocks to Watch, targets equities that I may trade within my active investing account, a growth stock account that’s more active than my conservative accounts (IRA, 401ks, index funds and our direct company owned stock). This growth account represents roughly a quarter of my investable net worth, per the accounts listed above. I will not disclose the number of shares or the size of the accounts as this is personal information. What I will disclose, here and on twitter, is what I own, what I buy and what I sell – and when I do it. I do believe in being transparent with the equities that I hold as well as the equities I don’t when discussing them on the blog or social media. I have been on Twitter since 2009 and I have not sold any services, newsletters or make any of my income from this blog or twitter.

Please look at my blog and my twitter account as my own personal online diary. This diary contains success stories, mistakes, lessons learned and lessons to be learned. I am not a professional investor or money manager and I am far from perfect when making a watch list and investing my own money.

I make mistakes, but based on my 23 years of investing experience, my consistency in identifying market trends and individual market leaders has improved considerably over the years. I don’t have all the answers and everyone must understand that winning and losing are part of the investing game. Every investor loses money and has ideas that don’t pan out, that’s the price for playing the game. Based on my experience, I know the investors that last and make consistent profits are the ones that learn how to manage their money properly (position sizing), control emotions and remain patient, sticking to their rules.

Please do not follow anything I do blindly – every trader and investor must do their own due diligence, have their own plan and know their own timeframes for their own personal portfolios.

I don’t trade for a living nor do I aspire to trade for a living. I invest to increase my overall net worth and to “play the game”. I enjoy trying to beat the market averages by making my own decisions in individual stocks. Some years this works and in others, it doesn’t. But this is also why I diversify my net worth across active and passive investment portfolios.

In 2020, my growth portfolio returns crushed my IRA and index funds but in 2021, my index funds outperformed my IRA and growth portfolio. My crypto portfolio outperformed them both, in both years. It’s anyone’s guess what will outperform in any given year, so this is why I diversify my dollars.

Similar to prior years, I have generated a watch list that identifies trends and stocks that I believe will grow for years to come. I do NOT want to be in-and-out of positions quickly. I prefer to hold my positions over time but 2021 re-taught me the lesson to cut losers a little quicker and take some profits when the technicals get well above historical norms (i.e.: a stock that trades 100%+ above its 200d ma). We want to learn to be patient during drawdowns and negative headlines, knowing the story of the underlying stock has not changed but at the same time, be cognizant of the risks, should action need to be taken. This is a lot easier said than done, especially in today’s world of instant satisfaction and gratification.

I try to avoid posting the latest fad list of growth stocks that may pump up quickly in the matter of weeks or months only to worry that they will they collapse just as quickly on the back side.

I screen, watch and then buy stocks based on a few simple parameters:

  • Great product, service and brand
  • Rising sales QoQ and YoY
  • Rising EPS QoQ and YoY or EPS looking to turn positive (from negative territory)
  • Increasing institutional sponsorship
  • Technically: grabbing near support, at a breakout or within a base (near the 50d or 200d moving average)

That’s really it – I keep it simple. My foundation for growth stocks is based on the CANSLIM philosophy, created by William O’Neil.

I must repeat what I say every year and will continue to repeat every year until it no longer makes sense:

The annual “Stocks to Watch” list often includes newer and up-coming growth stocks that I own or candidates I am looking to own. Stocks such as AAPL, AMZN, GOOGL, MSFT, NFLX, FB, V, MA, etc. should be owned in almost every portfolio already, whether in your active trading account or a more passive retirement account, such as an IRA. This is where I own these stocks. I believe these stocks will all likely double or triple over time, once again. Own an index fund as well and add dollars to it annually, during up and down years – just do it and check back in 30 years.

Honestly, 95% of all folks should just own index funds and call it a day and forget about trading or investing in individual equities.

The bottom of this blog posts lists the equities that I currently own in our growth portfolio, our IRA and our crypto account.

“Know what you own, and know why you own it” – Peter Lynch

Beyond today’s list, I still believe in many of the industry trends and names that I highlighted in 2020 and 2021:

Trends that will continue for years to come, with notable names that I still like and/or own:

  • E-commerce: SHOP, SE, PINS, ETSY
  • Payments: SQ, PYPL
  • Security: CRWD, OKTA, ZS
  • Edge & Cloud: NET, APPS, TWLO
  • Database: MDB, DDOG, PLTR
  • Health: TDOC
  • Streaming: SPOT
  • Digital Adv: ROKU, TTD
  • Tech Utilities: ZM, DOCU, CRM, U, FVRR
  • Services: UBER, ABNB

Enjoy my 20 Stocks to Watch for 2022, in alphabetical order:
ABNB, AFRM, APPS, ASAN, COIN, CURI, DDOG, DOCN, GENI, GLBE, INMD, MQ, NET, OPRX, RBLX, SI, SOFI, U, UPST, ZI

I currently own six stocks on this year’s Stocks to Watch 2022 watch list:
APPS, COIN, DDOG, GENI, GLBE, MQ

  • ABNB – $166.49: Airbnb, Inc. operates a platform for stays and experiences to guests worldwide. The company’s marketplace model connects hosts and guests online or through mobile devices to book spaces and experiences.

    Sales have been inconsistent the past two years due to the pandemic and lockdowns. Earnings were negative for seven straight quarters but then rose to $1.22 in the Sept 2021 quarter, a 239% jump from the same quarter the prior year. Sales jumped 299% and 67% the past two quarters with a low of $334MM in Jun-20 vs $2,237MM in Sept-21 as we start to come out of the pandemic.

    Institutional sponsorship is up 61% from 662 funds to 1,070 funds the past four quarters.

    P/S is less than 20 with a market cap of $105B.

    Technically, the stock is trading above the 200d ma but below the 50d ma. It is currently in a seven week base, about 22% down from the recent high set in early November. An ideal add would be now, near the 200d ma. I am interested in the stock as I use the service and like the brand.

    I do not own shares as of this post.

  • AFRM – $100.56: Affirm Holdings, Inc. operates a platform for digital and mobile-first commerce in the United States and Canada. The company’s platform includes point-of-sale payment solution for consumers, merchant commerce solutions, and a consumer-focused app. Its payments network and partnership with an originating bank, enables consumers to pay for a purchase over time with terms ranging from one to forty-eight months.

    Sales have jumped an average of 80% QoQ from $138MM to $269MM over the past eight quarters but earnings remain negative, coming in at -$1.13 in Sept-21.

    Institutional sponsorship was up 33% from 253 funds to 337 funds last quarter.

    P/S is 29 with a market cap of $28B.

    Technically, the stock is 42% off of highs but is building an eight week cup shaped base that has caught support above the 200d ma. An entry here would be early but adds near the 200d ma usually have decent r/r. I will be watching to see if it can hold this support area and continue to build the right side of the base.

    I do not own shares as of this post.

  • APPS – $60.99: Digital Turbine, Inc. provides media and mobile communication products and solutions for mobile operators, application advertisers, publishers, device original equipment manufacturers (OEMs), and other third parties. Its application media software platform that enables mobile operators and OEMs to control, manage, and monetize devices. The company also provides programmatic advertising and targeted media delivery services.

    Sales have averaged a QoQ gain of 145% the past eight quarters from $36MM to $310MM for a total gain of 761%. The past four quarters have averaged 210% QoQ, logging +146%, +142%, +260% and +338%.

    As for earnings, they have averaged a QoQ gain of 191% the past eight quarters, going from $0.05 to $0.44. Sales are clearly exploding while earnings continue to grow.

    Institutional sponsorship is up 127% from 226 funds to 513 over the last eight quarters.

    P/S is 8 with a market cap of $5.8B.

    Technically, the stock has been trading mostly sideways over the past year with a couple of peaks and valleys. It’s currently 40% off of highs and trading below the 50d and 200d moving averages. I’d like to see it recover these moving averages, on above average volume so it can setup for a new move back to highs. I can see this stock doubling over time if sales and earnings continue to grow at rapid clips.

    I currently own shares of APPS as of this post.

  • ASAN – $74.55: Asana, Inc. operates a work management platform for individuals, team leads, and executives in the United States and internationally. It provides a work management platform as software as service that enables individuals and teams to get work done faster while enhancing employee engagement by allowing everyone to see how their work connects to the mission of an organization.

    Sales have averaged a QoQ gain of 65% the past eight quarters from $43MM to $100MM for a total gain of 131%. Earnings are still negative which is always a concern so I will continue to keep an eye on this.

    Institutional sponsorship is up 594% from 55 funds to 382 over the last five quarters.

    P/S is 41 with a market cap of $13.9B.

    The founder and president, Dustin Moskovitz who is also a former Facebook founder, bought a substantial number of shares in the open market in 2021 as the stock ran from the $20s to a high of $145. I see those purchases as bullish, long term, but the price has since cooled off, down nearly 50% over the past two months.

    Technically, it has caught support near the 200d ma but I believe it needs time to form a longer base. I would not be surprised to see this stock fall further, before putting in a bottom (as the Price to Sales (P/S) is still above 40).

    I do not own shares as of this post.

  • COIN – $252.37: Coinbase Global, Inc. provides financial infrastructure and technology for the crypto-economy. It offers the primary financial account in the crypto-economy for retail users; a marketplace with a pool of liquidity for transacting in crypto assets for institutions; and technology and services that enable ecosystem partners to build crypto-based applications and securely accept crypto assets as payment.

    Sales have averaged a QoQ gain of 664% the past four quarters while going from $98.3MM to $1,311.9MM the past eight quarters for a total gain of 1,235%.

    As for earnings, they have averaged a QoQ gain of 912%, from $0.16 to $1.62, since turning positive in Mar-20. Earnings were a whopping $6.42 in the Jun-21 quarter which was a near 4,000% gain from the same quarter the prior year.

    Institutional sponsorship currently stands at 418 funds for the young IPO. It will be interesting to see if additional funds add shares in the coming quarters, setting up an accumulation trend.

    P/S is 9 with a market cap of $54B.

    Technically, the stock is trading below its 50d moving average but it is still too young for the 200d moving average to show up on charts. I don’t see a constructive base but there appears to be support around $220, dating back to May, June, July and October. I like the brand and have been investing in the crypto industry since 2019 (using Coinbase as one of my accounts).

    I currently own shares of COIN as of this post.

  • CURI – $5.93: CuriosityStream Inc. operates as a factual streaming service and media company. The company provides premium video programming services in various categories of factual entertainment, including science, history, society, nature, lifestyle, and technology through direct subscription video on-demand (SVoD) platforms accessible by internet connected devices, or indirectly via distribution partners who deliver CuriosityStream content via the distributor’s platform or system; and through bundled content licenses for SVoD and linear offerings, partner bulk sales, brand partnerships, and content sales. As of March 31, 2021, it had approximately 16 million total paying subscribers.

    All of the stocks on this list carry risk but this selection may carry the most risk. I placed it on watch due to a possible turnaround in share price. I’m not one that normally goes bottom fishing but this name and service grabs my attention.

    The stock is 75% off of highs and currently sports a relative strength rating of 4. With that said, it’s in an industry that has shown strength over the past six months and has a growing subscriber base.

    Sales have averaged a QoQ gain of 68% the past six quarters with an overall move from $6.7MM to $18.7MM that past eight quarters for a total gain of 179%. Earnings are negative so that is a concern as I prefer to see the company turn a profit.

    Institutional sponsorship is up 480% from 25 funds to 145 over the last four quarters.

    P/S is 5 with a market cap of $312MM.

    Technically, the chart is a disaster on the weekly. As for the daily view, I’m watching to see if a bottom has been put in above $5.50. A move back above $7 would be encouraging but the stock will face overhead resistance on the way back up, with moving averages and prior support zones.

    I do not own shares as of this post.

  • DDOG – $178.11: Datadog, Inc. provides monitoring and analytics platform for developers, information technology operations teams, and business users in the cloud globally. The company’s SaaS platform integrates and automates infrastructure monitoring, application performance monitoring, and log management to provide real-time observability of customers technology stack.

    DDOG made last year’s list at $98.44 as I was already an owner of shares, with multiple buys dating back to Sept 2020. I still own the stock to this day and like the prospects going forward but it is a bit extended right now and the P/S valuation is high, at 63.

    Sales have averaged a QoQ gain of 69% the past eight quarters from $113MM to $270MM for a total gain of 138%. Earnings are positive, moving from $0.03 to $0.13 for a gain of 333% over the past eight quarters. Sales and earnings are rising which is a big plus in my book.

    Institutional sponsorship is up 568% from 164 funds to 1,097 over the last eight quarters.

    P/S is 63 with a market cap of $55B.

    Technically, the stock is trading 40% above its 200d moving average so I wouldn’t be adding here. For me, an ideal area to add shares with a better r/r is closer to the 200d ma. I did sell some shares in November but holding the remaining shares. I’d like to grab those shares back after any pullback to the 200d ma area.

    I currently own shares of DDOG as of this post.

  • DOCN – $80.33: DigitalOcean Holdings, Inc. operates a cloud computing platform in North America, Europe, Asia, and internationally. Its platform provides on-demand infrastructure and platform tools for developers, start-ups, and small-to-medium size businesses. The company offers infrastructure solutions across compute, storage, and networking, as well as enables developers to extend the native capabilities of its cloud with fully managed application, container, and database offerings. Its users include software engineers, researchers, data scientists, system administrators, students, and hobbyists.

    Sales have averaged a QoQ gain of 30% the past eight quarters from $69MM to $111MM for a total gain of 61%. Earnings turned positive in the Sept-21 quarter, at $0.12, after being negative six of the seven prior quarters. EPS yearly estimates going forward show a positive 2021 at $0.34 and a 2022 at $0.59, for a 74% gain.

    Institutional sponsorship is up 164% from 92 funds to 243 over the last three quarters.

    P/S is 22 with a market cap of $8.7B.

    Technically, the stock is down 39% from highs, trading below the 50d ma but is still too young to have a 200d ma on the charts. The current base spans seven weeks and appears to have a bottom near $70. I’ll be watching to see if it can continue to build its first post IPO base, to setup for the next run.

    I do not own shares as of this post.

  • GENI – $7.60: Genius Sports Limited develops and sells technology-led products and services to the sports, sports betting, and sports media industries. It offers technology infrastructure for the collection, integration, and distribution of live data of sports leagues; streaming solutions, comprising of technology, automatic production, and distribution for sports to commercialize video footage of their games; and end-to-end integrity services to sports leagues, such as full-time active monitoring technology, which uses mathematical algorithms to identify and flag suspicious betting activity in global betting markets, as well as full suite of online and offline educational and consultancy services. The company also provides live sports data collection; pre-game and in-game odds feeds; risk management services, including customer profiling, monitoring of incoming bets, automated acceptance and rejection of bets, and limit setting; live streaming services; creation, delivery, and measurement services for personalized online marketing campaigns.

    GENI challenges CURI as one of the more speculative selections on this year’s list. It’s a beaten down SPAC, 70% from highs, with a relative strength rating of 3. Another bottom fishing candidate which isn’t my typical play.

    Sales show a slight increase the past three quarters from $53MM to $69MM. Earnings are negative so this remains a concern as the stock moves forward.

    Institutional sponsorship is up 80% from 67 funds to 121 over the last four quarters, although this figured dropped from 125 to 121 from Jun-21 to Sept-21.

    P/S is 7 with a market cap of $1.4B.

    I bought shares of GENI just before the market close in 2021, based on an integrated potential I see for their services. Perhaps I am biased as a sports fan and casual user of the online gambling sites. Technically, there’s not much to speak about, other than a possible short-term bottom on the daily chart, above $6.50. The view is ugly on the weekly chart.

    I currently own shares of GENI as of this post.

  • GLBE – $63.39: Global-E Online Ltd. provides a platform to enable and accelerate direct-to-consumer cross-border e-commerce. Its platform enables international shoppers to buy online and retailers to sell from, and to, worldwide.

    Sales have averaged a QoQ gain of 66% the past four quarters. December is always a big revenue month so it skews the overall quarterly trend. Earnings are negative so the company must work on this if the share price is to continue higher.

    Institutional sponsorship is up 70% from 96 funds to 164 over the last two quarters.

    P/S is 19 with a market cap of $9.1B.

    Technically, the stock recently recovered its 50d ma but is still too young to show a 200d ma on the charts. It’s trading in a four-month base after making an all-time high back in August, with support near $50. I’d like to see the right side of the base build back towards highs, with a possible handle before making new highs. The relative strength rating is a solid 97, which is one of the reasons I grabbed shares (it has been holding up well, during the growth shake down).

    I currently own shares of GLBE as of this post.

  • INMD – $70.58: InMode Ltd. designs, develops, manufactures, and markets minimally-invasive aesthetic medical products based on its proprietary radiofrequency assisted lipolysis and deep subdermal fractional radiofrequency technologies. The company offers minimally-invasive aesthetic medical products for various procedures, such as liposuction with simultaneous skin tightening, body and face contouring, and ablative skin rejuvenation treatments.

    Sales have averaged a QoQ gain of 61% the past eight quarters from $47MM to $94MM for a total gain of 100%. The quarterly sales gains accelerated the past four quarters to 91% with a 184% increase in the Jun-21 quarter. Earnings have grown by 139% over the past eight quarters although the annual growth estimate slows in FY 2022, to just 7%.

    Institutional sponsorship is up 800% from 30 funds to 270 over the last eight quarters. That’s a large percentage increase but the overall number of funds is still relatively low. A move from 270 to 500+ funds would help the stock with its next run.

    P/S is 18 with a market cap of $5.7B.

    Technically, the stock has taken a breather the past eight weeks with some support above the 200d ma region. It has a lot to digest after a large run the past two years. I will be curious to see if it holds and further shapes this base or breaks below the 200d ma.

    I do not own shares as of this post.

  • MQ – $17.17: Marqeta, Inc. operates a cloud-based open application programming interface platform that delivers card issuing and transaction processing services to developers, technical product managers, and visionary entrepreneurs. It offers its solutions in the various verticals, including commerce disruptors, digital banks, tech giants, and large financial institutions.

    Sales have averaged a QoQ gain of 90% the past seven quarters from $42MM to $131MM for a total gain of 207%. Earnings are negative but hovering near the breakeven point – it would be nice to see a positive reading, although annual estimates show negative readings looking forward.

    Institutional sponsorship is down 19.5% from 210 funds to 169 over the last two quarters.

    P/S is 20 with a market cap of $9.2B.

    Technically, the stock is trading below the 50d ma and is still too young to show a 200d ma. I grabbed shares recently, to get some skin in the game, to see if this one can establish some support between $15-$16 per share. MQ is in the fintech industry that I have liked for many years – and have owned many names in.

    I currently own shares of MQ as of this post.

  • NET – $131.50: CloudFlare, Inc. operates a cloud platform that delivers a range of network services to businesses worldwide. The company provides an integrated cloud-based security solution to secure a range of combination of platforms, including public cloud, private cloud, on-premise, software-as-a-service applications, and Internet of Things (IoT) devices. Its security products comprise cloud firewall, bot management, distributed denial of service, IoT, SSL/TLS, secure origin connection, and rate limiting products.

    Sales have averaged a QoQ gain of 51% the past eight quarters from $83MM to $172MM for a total gain of 105%. Earnings went positive in the Sept-21 quarter for the first time at $0.01. FY 2021 shows an estimate of -$0.05 EPS while FY 2022 shows an estimate of $0.01.

    Institutional sponsorship is up 721% from 135 funds to 1,109 over the last eight quarters.

    P/S is 71 with a market cap of $42B.

    NET was a big winner for me in 2021, as I added it to my edge collection along with FSLY. I sold FSLY for a loss and went all-in on NET and rode it up to $200 per share. I sold all my shares as the stock was making the climax run.

    It now sits 40% below highs set in November. The current six week correction is much needed as the P/S was over 100. Even with a large haircut, the P/S is still above 70 (TTM), which is expensive. I like the r/r near the 200d ma and may look to establish a new position. I am watching closely to see if the market would like to further correct the high valuation, below the 200d ma. If so, I would bail quickly and wait for the next bottom. I see NET as a solid long-term winner.

    I do not own shares as of this post.

  • OPRX – $62.11: OptimizeRx Corporation operates as a digital health company that provides communications solutions for life science companies, physicians, and patients. Its products and applications include financial messaging, a virtual patient support center that allows doctors and staff to access sample vouchers, co-pay coupons, and other patient support through their EMR and/or e-prescribe systems; and brand awareness and therapeutic support messaging services, such as brand awareness messages, reminder ads, therapeutic support messages, and unbranded messages.

    Sales have averaged a QoQ gain of 59% the past eight quarters from $7MM to $16MM for a total gain of 118%. Earnings went positive in the Jun-20 quarter at $0.02 and the remained positive for the past seven quarters, logging $0.09 in the Sept-21 quarter, for a 350% gain. EPS estimates going forward are +215% and +93% the next two fiscal years.

    Institutional sponsorship is up 144% from 105 funds to 257 over the last eight quarters.

    P/S is 19 with a market cap of $1.1B.

    Technically, the stock had an amazing run the past two years, going from $6.50 to $99.18. It has since corrected 37% from highs and is building an eight week base just below the 200d ma. The current price brings it back to the original high from the 2020 run. I like this industry and the services it provides so waiting to see how this base plays out for a possible setup for the next run.

    I do not own shares as of this post.

  • RBLX – $103.16: Roblox Corporation develops and operates an online entertainment platform. It offers Roblox Client, an application that allows users to explore 3D digital worlds; and Roblox Studio, a toolset that allows developers and creators to build, publish, and operate 3D experiences and other content. The company also provides Roblox Cloud, a solution that provides services and infrastructure to power the human co-experience platform.

    Sales have averaged a QoQ gain of 92% the past eight quarters with an overall move from $147MM to $509MM for a total gain of 245%. Sales have averaged 120% the past four quarters: 110%, 140%, 127% & 102% respectively.

    Earnings have been positive six of the past eight quarters but the latest Sept quarter was 80% less than the Sep-20 quarter.

    Institutional sponsorship is up 100% from 197 funds to 395 over the last three quarters.

    P/S is 35 with a market cap of $59B.

    Technically, the young stock has traded mostly flat following the initial IPO day between $60 and $100. The price spiked in November to $141 but quickly gave back 30% of that gain and then settled near $100. It looks like a six week base is forming with support above the 200d ma. I’d like to see this base form the right side, prior to making a sustainable run.

    The valuation is expensive and I still have my concerns about kids phasing out as they hit their teenage years but RBLX is a metaverse play and the metaverse is a big part of the gaming future.

    I do not own shares as of this post.

  • SI – $148.20: Silvergate Capital Corporation operates as a bank holding company for Silvergate Bank that provides banking products and services to business and individual clients in the United States and internationally. The company accepts deposit products, including interest and noninterest bearing demand accounts, money market and savings accounts, and certificates of deposit accounts. Its loan products comprise one-to-four family real estate loans, multi-family real estate loans, commercial real estate loans, construction loans, commercial and industrial loans, mortgage warehouse loans, and reverse mortgage loans, as well as consumer loans and other loans secured by personal property. The company also provides cash management services for digital currency-related businesses.

    Sales have averaged a QoQ gain of 30% the past eight quarters with an overall move from $23MM to $52MM for a total gain of 124%. Sales growth has averaged 62% the past four quarters: 16%, 26%, 82% & 123% respectively.

    Earnings have averaged a QoQ gain of 150% the past four quarters with an eight quarter increase of 363%, moving from $0.19 to $0.88.

    Institutional sponsorship is up 586% from 52 funds to 357 over the last eight quarters.

    P/S is 25 with a market cap of $3.9B.

    Technically, the stock rode the 200d ma for a large portion of 2021 as it has been mostly flat, going back to the peak in Feb 2021, above $187. The stock jumped to an all-time high of $230 in October but has since come back 38% over the past six weeks. The earnings and sales growth over the past three quarters is what has caught my attention, along with its digital currency business.

    I do not own shares as of this post.

  • SOFI – $15.81: Social Finance, Inc., a finance company, operates an online platform that provides financial services. It offers student loan refinancing, private student loans, personal loans, auto loan refinance, home loans, mortgage loans, and investments, as well as insurance products for renters, homeowners, automobiles, and others. The company also offers SoFi Weekly Dividend ETF, an equity ETF to provide a weekly dividend payment to shareholders.

    Sales have averaged a QoQ gain of 55% the past three quarters with an overall move from $128MM to $293MM for a total gain of 128%. Earnings have been negative for the past five quarters with a -$0.05 EPS in Sep-21. EPS estimates show a negative reading of -$0.30 for FY 2022.

    Institutional sponsorship is up 149% from 49 funds to 122 over the last four quarters.

    P/S is 16 with a market cap of $12.8B.

    Technically, the stock has been erratic following the SPAC, rising to the $24 range in June and then again in November. Along with the peaks, have been the pullbacks to the $13 range on three separate occasions, March, August and December. It’s been a struggle for this stock to gain any traction which is why I bought and sold calls successfully in 2021. However, I believe it can be successful so I will be looking to grab actual shares in 2022, if the opportunity looks good.

    I do not own shares as of this post.

  • U – $142.99: Unity Software Inc. operates a real-time 3D development platform. Its platform provides software solutions to create, run, and monetize interactive, real-time 2D and 3D content for mobile phones, tablets, PCs, consoles, and augmented and virtual reality devices.

    Sales have averaged a QoQ gain of 42% the past eight quarters with an overall move from $158MM to $286MM for a total gain of 81%. Earnings have been negative the past couple of years but there’s a chance to see positive EPS in FY 2023.

    Institutional sponsorship is up 193% from 225 funds to 660 over the last five quarters.

    P/S is 40 with a market cap of $40.1B.

    I bought shares of U last April at $100.99 and then I sold half of them in November at $177 and then the rest in December.

    Technically, the stock had a long 10-month saucer/cup shaped base but it never formed a handle. Instead, it had a one-week climax run, which quickly reversed and now has the price 30% below the highs set in November. It appears to be building a six-week base above the 200d ma. I am eager to grab this name again but I’d like to make sure a true base and bottom are in before re-engaging at this valuation.

    I do not own shares as of this post.

  • UPST – $151.30: Upstart Holdings, Inc. operates a cloud- based artificial intelligence (AI) lending platform. The company’s platform aggregates consumer demand for loans and connects it to its network of the company’s AI- enabled bank partners. Its platform connects consumers, banks, and institutional investors through a shared AI lending platform.

    Sales have averaged a QoQ gain of 219% the past eight quarters with an overall move from $62MM to $228MM for a total gain of 265%. Sales were up 1,040% in the Jun-21 quarter and 250% in the Sep-21 quarter.

    Earnings are up over 650% the past eight quarters from $0.08 in Dec-19 to $0.60 in Sep-21 quarter. It had EPS growth last quarter of 253%.

    The company makes money, regardless of the price pump in 2021 and subsequent fall, currently down 62% from highs (which topped $400 per share). Further, some question the quality of their loan products with regards to their high lending rates. It’s something to watch but as long as folks keep using the company and it remains profitable, investors should like it.

    Institutional sponsorship is up 511% from 53 funds to 324 over the last four quarters.

    P/S is 19 with a market cap of $12.4B.

    Technically, the stock is building a 10 week base as it digests the large gains made from March to October. It’s trading below both the 50d and 200d ma’s so it will likely need some time to base and then break above some resistance and eager sellers.

    I do not own shares as of this post.

  • ZI – $64.20: ZoomInfo Technologies Inc., through its subsidiaries, provides go-to-market intelligence and engagement platform for sales and marketing teams in the United States and internationally. The company’s cloud-based platform provides information on organizations and professionals to help users identify target customers and decision makers, obtain continually updated predictive lead and company scoring, monitor buying signals and other attributes of target companies, craft messages, engage through automated sales tools, and track progress through the deal cycle.

    Sales have averaged a QoQ gain of 69% the past eight quarters with an overall move from $91MM to $197MM for a total gain of 117%.

    Earnings are up over 160% the past eight quarters from $0.05 in Dec-19 to $0.13 in Sep-21 quarter. Estimates show FY 2021 and FY 2022 growing +49% and +31% respectively.

    My company uses Zoominfo with some success so I have paid more attention to the name heading into 2022. I’ve spoken with other folks in the industry and their companies seem to be using it as well. All good signs for growth because I wasn’t initially sold on the product demand.

    Institutional sponsorship is up 169% from 191 funds to 515 over the last seven quarters.

    P/S is 38 with a market cap of $25.5B.

    Technically, the stock is trading above the 200d ma but below the 50d ma, in an up-trending pattern. The stock peaked above $64 IPO day, back in June 2020 and then fell to $30.83 but has since recovered nicely. It’s only 18% off of all-time highs and is in a decent r/r zone. It has potential for a nice run as long as sales and earnings continue to grow at +25% QoQ.

    I do not own shares as of this post.

As always, I screen for stocks every week throughout the year so candidates can change over time so I won’t restrict myself to the 20 names on this list. New names enter the market, new bases form and new opportunities always appear so as traders and investors, we must be prepared to act on the latest information. Some of the names on this watch list will work out and some may not work out in 2022.

Growth stocks that I own as of 1/1/2022:
APPS, COIN, DDOG, GENI, GLBE, MQ, PLTR, ROKU, SE, SQ, TDOC, ZM

IRA Stocks that I own as of 1/1/2022:
AAPL, AMZN, ARKG, COST, CVS, DIS, FB, GOOGL, HD, JNJ, JPM, MSFT, NFLX, PG, SBUX, T, TDOC, TGT, V, VZ, WMT

Crypto that I own as of 1/1/2022:
Bitcoin, Ethereum, Solana and Cardano

The plan for the growth portfolio in 2022 is to hold and/or rotate the holdings into my strongest conviction stocks = best opportunities.

Enjoy and best of success in 2022!

Comments

  1. A solid list with great analysis. Thanks a lot Chris.

  2. Great listing! Thanks for sharing!

  3. Hi Chris,

    Thanks for your sharing of portfolio. I have three portfolios like yours except Crypto portfolio . May I ask you which Index funds you own and recommend to own .

    Best,

    Andrew

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