Opportunities abound in the current market. With the rally stretching into its second year, the share prices of many stocks are flying high. Multiple catalysts are driving equities upwards. These include strong corporate earnings, anticipation of lower interest rates, a huge rally in cryptocurrencies, and some big initial public offerings that have occurred since last fall or are coming around the corner this year. It all adds up to a market that is at record highs and individual stocks that are steadily climbing. For investors, now is the time to capitalize on the euphoria and take positions in stocks to buy in March that can lead to future fortunes. With St. Patrick’s Day arriving on March 17, here is the luck of the investor: three stocks to buy in March for a pot o’ gold portfolio.
Robinhood Markets (HOOD)
It’s been a while since good things were happening at stock trading app Robinhood Markets (NASDAQ:HOOD). However, the company and stock are on an upswing right now as trading volumes surge with retail investors piling back into the stock market and chasing the rally in cryptocurrencies. Robinhood reported that equity trading volumes totaled $80.90 billion in February, up 36% from January and up 41% from a year ago.
Many investors and traders, particularly those focused on crypto, pulled out of the market during a prolonged downturn in 2022 that sent the price of Bitcoin (BTC-USD) below $16,000. But now, with Bitcoin trading at an all-time high of $73,000, retail investors are back. Robinhood said that crypto trading volumes on its platform totaled $6.50 billion in February, up 10% from January and 86% higher than a year earlier.
HOOD stock is up 44% so far in 2024 and has gained 95% in the last 12 months.
MicroStrategy (MSTR)
When MicroStrategy (NASDAQ:MSTR) CEO Michael Saylor said he was all-in on Bitcoin, he meant it. The company continues to acquire BTC hand over fist, announcing that it’s raising another $500 million to buy even more of the largest cryptocurrency. Now referring to itself as a “Bitcoin Development Company,” MicroStrategy has raised $500 million through a convertible debt offering to purchase even more crypto.
Earlier in March, MicroStrategy, which is still technically a business intelligence firm, raised $700 million and used the proceeds to buy an additional 12,000 Bitcoin. The company’s now holds 205,000 Bitcoin that’s valued at just under $15 billion. Saylor appears to be accumulating as much BTC possible ahead of a halving event that’s scheduled for April 20, when the amount of Bitcoin issued will be reduced by 50%.
The Bitcoin strategy doesn’t appear to be hurting MSTR stock any. MSTR is a solid option among stocks to buy in March, as it’s price is currently up 145% YTD.
Arm Holdings (ARM)
The six month lock-up period following the initial public offering (IPO) of Arm Holdings (NASDAQ:ARM) just expired, and so far… nothing. Traders had been bracing for a potential selloff in the stock of as the lock-up period ended, but so far there has been no selloff at all in ARM stock. The share price is up 90% YTD and it has risen 115% since the IPO took place in September 2023.
Expectations for a selloff in recent days were heightened by the fact that the company’s largest shareholder is Japan’s SoftBank Group, which owns 90% of the microchip and semiconductor designer. Some analysts were anticipating that SoftBank would sell a big chunk of the 900 million Arm shares it owns and use the proceeds to fund other investments or return capital to shareholders. But so far it’s been crickets.
The current situation suggests that SoftBank might be planning to hold ARM stock for the long haul. SoftBank’s last public comment on Arm Holdings came during the company’s earnings call in February, when management called Arm their “most important” asset.
On the date of publication, Joel Baglole did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.