Insight into Livent Corporation (LTHM)
Livent Corporation (NYSE:LTHM) is set to make waves in the lithium market. With a colossal investment of $650 million, it has secured an offtake agreement for 10 years for lithium from phase one. Holding this potential value creator with patience is akin to nurturing a young sapling with the promise of a bountiful harvest.
DraftKings (DKNG)
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DraftKings (NASDAQ:DKNG) holds the mantle of one of the most undervalued growth stocks with substantial potential. As the market potential for iGaming and OSB grows with the legalization in more states, DraftKings is positioned to surge ahead in the next five years, akin to a sprinter poised at the starting line.
After grappling with EBITDA level losses, DraftKings has steered its ship toward the promising waters, expecting an adjusted EBITDA of $400 million for 2024. This trajectory is set to skyrocket, with DraftKings envisioning a jump to $1.4 billion and $2.1 billion by 2026 and 2028, respectively. The horizon is indeed bright for DraftKings, set for healthy growth in a vast addressable market.
Amdocs (DOX)
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Amdocs (NASDAQ:DOX) offers investors an attractive dividend yield of 2.18%. The company, providing software and services to the telecommunication and media industry globally, boasts a recent revenue of $1.25 billion and a robust 12-month backlog amounting to $4.21 billion. Furthermore, Amdocs anticipates a free cash flow of $750 million for the year. With a sturdy liquidity buffer of $1.1 billion and healthy cash flows, Amdocs is positioned to spread its technological roots far and wide, much like an expanding network of intertwined vines.
The impending surge of 5G presents a mammoth opportunity for Amdocs. By 2025, the Company forecast the serviceable addressable market to reach a staggering $57 billion. Amdocs is actively supporting the launch of innovative 5G services and monetization opportunities, positioning itself for an era of expansive growth.
Coupang (CPNG)
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Amidst a protracted slump in e-commerce stocks in the post-pandemic era, Coupang (NYSE:CPNG) emerges as a beacon of hope for growth stock enthusiasts. Despite a lateral trajectory over the last 12 months, CPNG stock appears to be on the cusp of a breakthrough, riding on an undercurrent of favorable financial developments.
In Q3 2023, Coupang reveled in a robust 21% year-on-year revenue growth, surging to $6.2 billion. The company’s adjusted EBITDA for the same period stood at a commendable $239 million, signaling an upward trajectory. Additionally, the trailing 12 months witnessed Coupang’s free cash flow soaring to an impressive $1.9 billion. As this trend of burgeoning free cash flow gains momentum, the ascent of CPNG stock seems inevitable.
Delving into the business metrics, Coupang witnessed a 14% year-on-year growth in active customers, reaching a commendable 20 million in Q3 2023. What’s more, the net revenue per active customer experienced a commendable 7% growth year-on-year. These metrics foretell a potential expansion in EBITDA margin should the growth in net revenue per active customer persist.
