Mega Cap companies are those with a market capitalization of $200 billion or more. Most of these companies boast well-established business models, strong brand power, and global operations. Due to their sheer size, mega cap companies offer relatively higher protection from broader market fluctuations and are considered safe bets during uncertain macroeconomic times.
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A mega cap company usually offers regular dividend payments and has the potential to generate notable capital gains. Investors can help secure their portfolio returns by investing at least a portion of their funds into mega cap stocks.
Leveraging TipRanks’ Stock Screener, we have identified three “Mega Cap” stocks with Strong Buy consensus ratings from analysts. Furthermore, these stocks boast an Outperform Smart Score (i.e. 8, 9, or 10) on TipRanks, indicating they are highly likely to outperform market expectations. The Smart Score evaluates eight factors to gauge a stock’s potential to outperform the broader market.
Here are this week’s stocks:
Visa (V) – Visa is among the largest global network payment service providers for debit and credit card transactions. The stock offers a dividend yield of 0.68% and holds a Smart Score of ‘Perfect 10’. Over the past three months, 24 Wall Street analysts covering V stock rated it a Buy, while four analysts assigned a Hold rating. Together, their 12-month average Visa price target indicates an upside of 11.8%. Year-to-date, V stock has gained 10.7%.
Nvidia (NVDA) – Nvidia is an American semiconductor giant, renowned for its advanced artificial intelligence (AI) chips and GPUs (graphic processing units). The stock has a Smart Score of Eight. In the last three months, 35 Wall Street analysts covering NVDA stock have rated it a Buy, four have assigned a Hold rating, and one analyst has rated it a Sell. Combined, their 12-month average Nvidia price target indicates an upside of 11.1%. NVDA stock is up 17.5% year-to-date.
Shell (SHEL) – Shell is a British multinational oil and gas giant. The company has recently been in the news due to reports of its potential takeover of rival BP (BP). Shell boasts an attractive dividend yield of 4.03% and a Smart Score of Nine. Over the past three months, seven Wall Street analysts covering SHEL stock have rated it a Buy, while two analysts have rated the stock a Hold. Together, their 12-month average Shell price target indicates an upside of 11.5%. SHEL stock is up 14.9% so far this year.
What Is TipRanks’ Smart Portfolio?
The TipRanks Smart Portfolio offers insights into the stocks you own and enables a comprehensive portfolio analysis. It also allows you to compare your portfolio with those of other investors, including top performers. Interestingly, the tool has been upgraded to provide AI-generated explanations for each holding’s stock movements and to track all assets on your watchlist.
Like all TipRanks tools, Smart Portfolio is easy to use and helps you make data-driven investment decisions.