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, each stock boasts 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:
Bank of America (BAC) – Bank of America is one of the world’s largest financial institutions, with global operations. BAC stock carries an above-average dividend yield of 2.23% and a Smart Score of nine. The banking giant is expected to report its Q2FY25 results before the market opens on July 16. The Street expects BAC to report adjusted earnings per share of $0.86 on revenue of $26.75 billion. Over the past three months, 18 Wall Street analysts covering BAC stock have rated it a Buy, while three analysts rated the stock a Hold. Combined, their 12-month average Bank of America price target indicates an upside of nearly 9.7%. BAC stock is up 7.6% year-to-date.
Intuit (INTU) – Intuit provides business software solutions with a focus on financial software. Some of its renowned products include QuickBooks, TurboTax, and Mint. The stock carries a dividend yield of 0.56% and a Smart Score of ‘Perfect 10.’ In the last three months, 22 Wall Street analysts covering INTU stock have rated it a Buy, while only one analyst has rated it a Hold. Together, their 12-month average Intuit price target indicates an upside of 9.8%. Year-to-date, INTU stock has surged 20.6%.
Walt Disney (DIS) – Walt Disney is an American mass media and entertainment giant. DIS stock offers a dividend yield of 0.83% and holds a Smart Score of ‘Perfect 10.’ Over the past three months, 16 Wall Street analysts covering DIS stock rated it a Buy, while three analysts assigned a Hold rating. Together, their 12-month average Walt Disney price target indicates an upside of nearly 9.5%. Year-to-date, DIS stock has gained 8.1%.
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.