Bored of the same old stocks? Goldman Sachs has some 'fresh ideas'

Published Mon, Feb 15 20211:08 AM EST

Lucy Handley @in/lucy-handley-b2b0a61a/@lucyhandley

Wall Street bank Goldman Sachs has listed some "fresh ideas" when it comes to stock picks — from under-the-radar companies posting record results, to those with a "huge opportunity to create value." In a recent note, the bank highlighted a number of picks across several sectors and provided a list of "single stock spotlights" in industries including retail, utilities, tech and financials. Here are some of Goldman's favorite stocks as highlighted in a note by John Sawtell: French construction firm Saint Gobain made Goldman's "fresh ideas" list. Analyst Patrick Creuset upgraded the company to buy, forecasting higher organic earnings growth for light materials over heavy materials. He raised the company's estimated earnings per share by an average of 15% for 2021-2024. Automaker Stellantis is another Goldman "fresh" pick. Analyst George Galliers liked it for its pipeline of product launches and the management's turnaround experience. Stellantis was formed in a $52 billion merger of Fiat Chrysler with French company Groupe PSA last month. Galliers initiated it at a buy. In its "single stock spotlights" list, analyst Andrew Lee reiterated the bank's buy rating on Spanish telco Cellnex , due to its acquisition strategy – the company recently bought French transmission tower company Hivory, which Lee described as a "strategic positive." Also on the list is Swedish telco Ericsson , chosen by analyst Alex Duval for its fourth-quarter "strong beat" on earnings, due to activity in China and North America. Duval added that 5G is a "key growth driver" for the company and reiterated his buy rating on the stock. ASOS is also a buy for Goldman analyst Richard Edwards, after it bought Topshop and other fashion brands for £265 million ($366 million) earlier this month. Edwards said he also sees potential in U.S. growth due to a partnership with Nordstrom. Danish energy company Orsted is buy rated by Goldman's Alberto Gandolfi, who said this year would be "defining" for the company. Meanwhile, analyst Ajay Patel said wind company Siemens Gamesa 's pipeline provided a "huge opportunity to create value" in the coming years. Finally, broker FlatexDEGIRO made the "stock spotlights" list. Analyst Roberta DeLuca kept the stock at a buy after a "record" start to 2021, when it added 130,000 customers. She expects "strong results and higher growth prospects" from Europe's largest online retail broker looking ahead.

The Goldman Sachs logo on a smartphone screen.

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In a recent note, the bank highlighted a number of picks across several sectors and provided a list of "single stock spotlights" in industries including retail, utilities, tech and financials.

Here are some of Goldman's favorite stocks as highlighted in a note by John Sawtell: