Banking giant Goldman Sachs (NYSE: GS) has identified several stocks likely to witness an upside in the future based on their key fundamentals.
Notably, the bank’s backing is a significant move that can influence investors‘ decisions and the trajectory of specific equities. In this context, Finbold has identified two stocks highlighted by Goldman Sachs that can potentially turn a modest investment of $100 into $1000 by 2025.
Alphabet (NASDAQ:GOOGL)
Alphabet (NASDAQ: GOOGL), Google’s parent company, continues to be a powerhouse in the tech industry. Goldman Sachs projects a strong growth trajectory for Alphabet, fueled by its diversified portfolio and strategic investments.
Picks for you
The company’s core search business, YouTube, cloud computing services, and ventures like Waymo (self-driving cars) and Verily (healthcare) are pivotal to its long-term success.
According to Goldman Sachs, Alphabet’s financial health, innovative product pipeline, and investments in artificial intelligence (AI) and cloud technology are key factors that could drive significant stock appreciation. Additionally, Alphabet’s continuous efforts to enhance its advertising capabilities and expand its cloud services are expected to contribute significantly to its revenue.
With these factors in play, there is a potential scenario where Alphabet’s stock could see substantial appreciation, turning a $100 investment into a significantly higher value by 2025, though exact returns may vary.
By the close of markets on August 16, GOOGL was trading at $163 with daily gains of almost 1%. During the weekly timeframe, the stock experienced volatility, gaining 0.1%.
Eli Lilly (NYSE: LLY)
Eli Lilly (NYSE: LLY) has emerged as a leader in the pharmaceutical industry, particularly with its advancements in treatments for diabetes and obesity. The company’s stock has seen significant gains due to its strong product pipeline and recent FDA approval for Zepbound (tirzepatide), a drug for chronic weight management.
This new medication is expected to compete favorably with Novo Nordisk’s Wegovy, offering a pricing advantage and superior weight loss results.
Goldman Sachs analysts highlighted Eli Lilly’s innovative approach and successful clinical trials, which have solidified its position in the market. The company’s strategic focus on developing treatments with high market potential and its robust research and development capabilities underscore its growth prospects.
Furthermore, Eli Lilly’s stock has received numerous “buy” ratings from analysts, with price targets suggesting significant upside potential. The company’s diversified portfolio and continuous expansion into new therapeutic areas support its long-term growth outlook.
Given these strengths, Eli Lilly’s stock also has the potential for substantial growth, possibly turning a $100 investment into a much larger sum by 2025.
By press time, LLY was trading at $920, dropping 1% daily. However, the stock is up over 1.3% on the weekly timeframe.
While no investment is guaranteed, Alphabet and Eli Lilly have high growth potential. Investors looking for promising opportunities by 2025 may find these stocks worthy of consideration for turning a modest investment into a significantly higher value.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
