Building and tapping energy for big profits

The new year is upon us, and investors are very excited to find the best play in the stock market before the first quarter of 2025. That way, they can ensure that a good and hot quarter leaves them with confidence as well as a capital discount to play a “risky” growth role in the quarters that follow. As this chase for returns begins, it’s important to remember what stock analysts are starting to recommend.

As it turns out, they decided to lead investors at Goldman Sachs manufacturing And Energy fieldBecause they see a potential upside for oil, which is being singled out in the commodity space today. New with this 2025 Macro Outlook Mind you, other Wall Street analysts may have started digging into these sectors to find the best.

Through the shares of He found the perfect mix of manufacturing and energy Xometry Inc. NASDAQ: XMTR. This company provides manufacturing services to various industries. Still, most of its clients are centered around the energy space, so success in both Industrial Select Sector SPDR Fund NYSEARCA: XLI And Energy Select Sector SPDR Fund NYSEARCA: XLE Xometry will translate into success moving forward.

Market influence on Xometry

Of all the peer analysts could choose for this theme, Xometry offered the most favorable risk-to-reward setup. Now when trading on the stock 73% of its 52-week highThe upside potential versus perceived downside makes it a must for analysts today.

Hence, from December 2024 to January 2025, bullish analysts at JP Morgan Chase, Wedbush, and Royal Bank of Canada decided to increase this stock. Wedbush analysts came up with the boldest targets by a tier outperform rating.

For Xometry stock, these analysts see a fair The price is as high as $48 per shareAsking as much as 44.5% above where it trades today. While this outlook may be optimistic, analysts are not the only ones willing to share their optimism for the company.

Geode Capital Management’s institutional buyers decided to increase their holdings in Xometry stock by 4.3% by November 2024, making their net position Today it stands at $18.3 million. They were followed shortly by Barclays and Franklin Resources, which collected $1.3 million and $731,000 in stakes.

That should also be a reason why the market is willing to pay a forward price-to-earnings (P/E) ratio of up to 48.9x for this stock, compared to the rest of the industry sector average of 20.1x. Some may call this expensive, but others will understand that the market will always pay a premium for stocks it believes will perform well in the coming months.

Due to the recent rally in crude oil, Xometry shareholders are only bracing for this double-digit growth, which will materialize sooner rather than later.

Energy Stock: A sounding board for Xometry

From here, investors can zoom out a bit to understand what’s going on in the rest of the energy sector and get a sounding board and support for Xometry stock’s bull case. First and foremost, Warren Buffett has chosen to keep accumulating in it Occidental Petroleum Company NYSE: OxyWhich should indicate the amount of investors.

Then there is the fact that Hedge funds are piling on crude oil Futures, another round of “institutional” and “smart money” buyers in the sector to start the year. Even Paul Tudor Jones, another hedge fund manager, said oil is incredibly undervalued. Recent CNBC interview.

Here are two stocks investors can check out individually for more sentiment gauges in the energy space. Starting with Chevron Co. NYSE: CVX With the international player leading the pack more than 93% above its 52-week high, UBS Group analysts now have a Valuation $195 per shareor 20.7% above where it trades today.

Price action and Wall Street views are therefore bullish. Regarding drilling space, higher in the value chain, Transocean Ltd. NYSE: RIG Shows investors that the demand curve for oil is shifting to the right.

There is a clear bull case for this company Reach up to 100% In the coming quarters, a fact that analysts and institutional buyers agree on. All told, the stage is set for Xometry to prove these analysts right and deliver the strong first quarter investors have been looking for.

Before considering Xometry, you may want to hear this.

MarketBeat keeps track of Wall Street’s top-rated and best-performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified Five stocks That top analysts are quietly telling their clients to buy now before the broader market hits… and Xometry wasn’t on the list.

While Xometry currently has a “medium buy” rating among analysts, top analysts believe these five stocks are better buys.

Check out five stocks here

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