Today I will discuss five stocks from different sectors that are expected to go up over the coming year. Each of these stocks offers an interesting investment opportunity due to its unique characteristics and the situation in which it happen to be currently.

The analysis of these stocks:

1. Baker Hughes Incorporated (BHI) – This stock is benefited by twin opportunities– one, the ever-increasing energy demand has, in turn, increased the demand for oilfield services and technology. Two, limited supply and rising prices have made exploration in more challenging onshore oil sources profitable. Similarly, interest in unconventional gas development and offshore drilling, including deepwater activity, is rising. This has increased demand for services like hydraulic fracturing, a key offering of Baker Hughes. The supply of these services is falling short as compared to the high demand. With its competitive technology, Baker Hughes is all set to profit from this huge demand.

The company’s sales have been growing at an average rate of more than 10% over the last ten years. Its book value per share is also showing a strong average growth rate of 15% over the last five years (13% over last 10 years). The five-year average return on equity is solid ~19%. These numbers indicate a good historical performance. International presence, particularly in Asia and the Middle East, is the company’s key strength.

2. BlackRock Inc. (BLK) – With an AUM of $3.6 trillion, the company has shown strong average revenue growth rate of 33% over ten years. The EPS grew at an average rate of 20% over the same period (including Barclays (BCS) Global Investors (BGI). To continue reading, click here.