Stocks to watch in 2016

As the trading year wraps up, "Fast Money" traders chose the stocks they feel are primed for success in 2016.

Some would buy into companies that suffered this year. Wal-Mart — the Dow's biggest loser in 2015 — looks primed for a recovery, said trader Tim Seymour.

Wal-Mart shares have fallen about 30 percent this year. But the company showed signs of improving its comparable metrics and margins in the third quarter and sits at an appealing price, Seymour contended.

Shoppers at a Walmart store in Los Angeles.
Jonathan Alcorn | Reuters
Shoppers at a Walmart store in Los Angeles.

Qualcomm wasn't involved in a wave of semiconductor mergers and has fallen 34 percent this year amid problems in China. The company has a solid dividend yield and could "start to get some things right" next year, trader Dan Nathan contended.

Other traders would stick with companies that have outperformed broader markets this year.

Health care provider Anthem, which has climbed about 11 percent this year, should benefit from payroll growth in the U.S., said trader Karen Finerman. She added that the company has not cited any sluggishness due to the Affordable Care Act, a concern recently voiced by UnitedHealth.

Trader Guy Adami likes Lockheed Martin, which has risen about 12 percent this year. He touted its dividend and contended it is "best in breed" in a sector "that works."


Tim Seymour

Tim Seymour is long AAPL, BAC, BX, CLF, DIS, F, FCX, GE, GM, GOOGL, INTC, JCP, JPM, KO, LGF, RL, T, TWTR, VRX. Tim's firm is long BABA, BIDU, MCD, NKE, SBUX, YHOO.

Dan Nathan

Long PFE buy-write, Long TWTR March Risk Reversal, long IWM Dec Put Spread, Long UUP call spread, Long XLU Feb Call, Long PYPL Jan Risk Reversal, Long M Jan16 52.50 / 62.50 call spread, Long INTC Dec Put Spread, Long XLF Dec put spread, Long NTAP risk reversal, Long GM Jan Put Butterfly

Karen Finerman

Karen is long BAC, C, FL, GOOG, GOOGL, JPM, KORS, KORS call spreads, M, SEDG, URI, she is short SPY, Her firm is long ANTM, AAPL, BAC, C, FL, FL calls, GOOG, GOOGL, JPM, KORS, LYV, MA, URI, URI long puts, WFM, her firm is short IWM, SPY, MDY. Karen Finerman is on the board of GrafTech International.

Guy Adami

Guy Adami is long CELG, EXAS, GDX, INTC, Guy Adami's wife, Linda Snow, works at Merck.