Stocks to buy

We always want to identify hot breakout stocks before they surge higher! Granted, the stock market has always been unpredictable, but it’s about to enter a sweet spot, post midterm elections. Therefore it’s perhaps an ideal time to invest in some breakout stocks that could surge in the coming weeks.

Investors who invest money in stocks or bonds during this year’s bear market are likely feeling the pain. Additionally, the bond market has been anemic. Moreover, Mark Hackett, chief of investment research at Nationwide, believes that all signs point to a recession. However, he also believes that the recession may have already been priced-in. That said, let’s look at seven breakout stocks that are immune to volatility and are poised for strong returns ahead.

TWLO Twilio $74.93
BRK-B Berkshire Hathaway $295.84
QCOM Qualcomm $117.35
DIS Walt Disney Co. $105.88
AAPL Apple $153.60
TAN Invesco Solar ETF $70.92
MRO Marathon Oil $30.33

Twilio (TWLO)

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One of the top potential breakout stocks is Twilio (NYSE:TWLO) is a cloud-based communications software company, which has attracted some of the largest firms globally. Moreover, it continues to grow by double-digit margins despite the current economic challenges. It expects to grow near its historical averages for the foreseeable future and aims to be profitable by next year. TWLO stock has taken quite a hammering over the past 12 months. The correction in its stock has created an attractive entry point before the likely breakout in price. Additionally, TWLO ended its previous quarter with a whopping $4.4 billion in cash compared to just $1 billion in debt.

Berkshire Hathaway (BRK-B)

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Berkshire Hathaway (NYSE:BRK-B) is a household name due to its billionaire leader and maverick investor Warren Buffett. The Oracle of Omaha has overseen the creation of over $600 billion in shareholder value since its tenure as CEO from 1965. More importantly, he’s delivered an incredible 20.1% annualized return for his stockholders. His investment portfolio is packed with safe stocks and has performed incredibly well regardless of the economic cycle. It’s packed with dividend stocks, which have historically outperformed growth stocks.

Additionally, the firm is a huge fan of cyclical business, which performs with the natural expansion of the domestic and world economies. Moreover, its portfolio is set to benefit from the rising interest rates. U.S. Treasury Bills have risen roughly 4% this year, and with Berkshire holding roughly $75 billion of them, its stock is ripe for a breakout.

Qualcomm (QCOM)

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Qualcomm (NASDAQ:QCOM) has posted above-average growth rates, despite  supply-chain bottlenecks. It is likely to outperform analyst estimates in the upcoming quarters and beyond with a rapidly evolving design portfolio. The firm is also well positioned to leverage its technology roadmap and diversify its reliance on handsets. A significant level of pessimism has already been baked into QCOM’s stock price. Moreover, its advancements in the automotive design pipeline and an incredible fiscal 2031 model for the segment points to massive growth ahead for the company. Over the years, QCOM has been a compounding machine for investors, with 18 years of dividend expansion. Moreover, it trades at around three times forward sales, 30% lower than its five-year average.

Walt Disney Co. (DIS)

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Walt Disney (NYSE:DIS) is an excellent investment for growth investors looking for a fairly valued stock with a massive growth. It’s worth building a position in DIS stock with robust growth expected from its parks and streaming businesses. Disney has established itself as a leading developer and distributor of entertainment products. Moreover, its hugely successful streaming service called Disney+ has provided a gusher of new cash flows for expansion and shareholder rewards.

Integrating its film and streaming content with adventure parks and children’s products such as Star Wars and Marvel provides multi-prong means for earnings expansion. It can effectively leverage the power of its brand and expand into new areas, such as the metaverse. Its CEO recently announced that Disney+ would be linked to the metaverse, and its parks segments could also benefit from the incredible new phenomenon.

Apple (AAPL)

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Apple (NASDAQ:AAPL) is a generational enterprise that has built one of the most robust business ecosystems in the world. Its recently released earnings are a testament to the quality and depth of its business at a time when its peers have cratered. It delivered an incredible top and bottom-line earnings beat in its fiscal fourth quarter results when macroeconomic headwinds were rife. Other names in the ad-tech world are struggling with costs spiraling out of control. On the flip side, it delivered a revenue beat and, more impressively, delivered positive earnings growth in the quarter. The growth in margins for its services business is driving profits along with the iPhone’s perennial success. With the “notable upgrades and changes” and massive pent-up demand for the latest iteration of the iPhone, AAPL stock is poised for incredible growth ahead.

Invesco Solar ETF (TAN)

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Invesco Solar ETF (NYSEARCA:TAN) is a leading solar energy exchange-traded fund (ETF). The ETF provides significant exposure to investors to secular trends in the burgeoning solar energy space. Solar stocks have outperformed over the past year, supported by an incredible demand outlook. Moreover, The U.S. Inflation Reduction Act has also been a major boom for the sector, with billions in tax incentives for solar. Also, the Russia/Ukraine crisis has added immense urgency in Europe to strive for energy independence, and solar could play a pivotal role.

Marathon Oil (MRO)

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Another one of the top potential breakout stocks to consider is Marathon Oil (NYSE:MRO), a leading oil and gas play, operating an independent exploration and production business in the U.S. and internationally. The robustness in oil prices here has once again shown how reliant the world is on fossil fuels. Even if there are high hopes for electric vehicles and green energy sources, the importance of fossil fuels, at least in the near term, cannot be overlooked.

Moreover, oil and gas stocks have recently suffered from the pessimism surrounding oil prices. However, oil prices are stickier than what is being represented by the stock market. With oil prices above $60 a barrel, MRO could potentially return close to $1 billion to shareholders. Moreover, total crude oil output in the Permian Basin is expected to hit an all-time high in November, its highest since March 2020. Marathon and other major Basin players are expected to benefit immensely from the development.

On the date of publication, Muslim Farooque 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

Muslim Farooque is a keen investor and an optimist at heart. A life-long gamer and tech enthusiast, he has a particular affinity for analyzing technology stocks. Muslim holds a bachelor’s of science degree in applied accounting from Oxford Brookes University.

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