3 Hot Stocks To Buy Today

Rise in gasoline prices concept with double exposure of digital screen with financial chart graphs and oil pumps on a field. stock photo
peshkov / iStock.com

There was a time when it seemed like you couldn’t go a day without reading about the latest investor who became a FAANG stock millionaire. Later, during the pandemic, the market was sweet on UPS, Amazon, Zoom and the other companies that got the country through the worst days of the COVID-19 crisis. More recently, energy stocks have soared, along with the price of oil

Like hairstyles and pop stars, yesterday’s next big thing can be tomorrow’s dud. The hot stocks of the moment fall in and out of favor, so you have to keep up with the trends as they change.

Keep reading to meet the hot stocks that are in vogue and in demand right now.

What Are the Hot Stocks to Buy Now?

Picking individual stocks rarely ends well, even for seasoned investors. But if you’re looking to spice up your portfolio with a few proven winners that are poised to keep delivering gains, the following companies might be a good place to start. 

So far, 2022 has been a rough year for the stock market, which entered bear territory a few months back and is still down by double-digits. But even under those tough conditions, the stocks you’re about to meet have muscled out double-digit and even triple-digit gains. 

Continental Resources (CLR)

As the larger stock market cratered from bull to bear in 2022, energy giant Continental Resources went in the other direction — the stock is up more than 46% on the year.

Investing for Everyone

The company continues to deliver good surprises to its shareholders, beating analyst expectations for three of the last four quarters. According to Nasdaq, many top analysts continue to give Continental a buy rating, which means that industry watchers believe that the company still has more gains to deliver to investors who buy its shares.

Stock Price Market Cap P/E Ratio Dividend Yield
$68.69 $24.94 billion 8.54 1.63%

Occidental Petroleum (OXY)

The hydrocarbon energy exploration company Occidental Petroleum is one of the hottest stocks not just right now, but in all of 2022 — the triple-digit gainer is up more than 102% on the year. The company, which has more than a century of history, has undoubtedly benefited from the soaring cost of oil, which sent gas prices to record highs this year. 

But Warren Buffett might just be the biggest driver of Occidental’s recent success. The Oracle of Omaha has been buying huge quantities of OXY, and his Berkshire Hathaway firm now owns more than 20% of Occidental Petroleum.

Stock Price Market Cap P/E Ratio Dividend Yield
$65.50 $61.01 billion 6.44 0.79%

H&R Block (HRB)

While the S&P 500 regained some of its mojo this summer, the benchmark index is still down more than 12% on the year. H&R Block, on the other hand, has gained more than 86% since January 1.

The tax preparation service is expanding its business tax offerings, and it has a built-in hedge against the recession that many experts think is looming — people and businesses have to file taxes even during economic downturns. On top of that, it pays its shareholders back with a 2.40% dividend.

Investing for Everyone
Stock Price Market Cap P/E Ratio Dividend Yield
$44.93 $7.17 billion 14.43 2.40%

What is the Most Popular Stock Right Now?

The most popular stock right now in terms of trading volume is Invitae Corp (NVTA). Buyers and sellers exchanged the stock 231,007,813 times on August 10 as its shares gained 276.86%. For context, the next highest trade volume was 83,396,094 and the No. 2 percent gain was 83.10%.

The medical genetics company posted stellar numbers the day before, spurring short sellers to cover their positions and long sellers to gobble up as much of the stock as they could afford. Those who were already shareholders saw their positions climb from $2.29 per share to $8.63 per share in less than 24 hours.

How Do Stocks Work For Beginners?

If you’re a novice investor considering putting your money to work in the stock market, the best thing you can do is spread that money around. Although you’ve just met some of the hottest stocks of the moment, nearly all credible financial professionals caution against betting big on one company.

In conducting your research, you’ll probably read that the stock market averages returns of around 10% over time — “over time” are the key words. That average is collected over decades with many highs and lows in between. 

For example, investors are currently enduring a bear market, which occurs when the stocks on the S&P 500 lose 20% of their value. Market downturns like that are a common, natural, unavoidable and unpredictable part of stock investing. Consider the moment’s hot stocks, but never rely on them alone.

Can You Lose Money in Stocks?

There is no such thing as a risk-free investment or a guaranteed return — especially on the stock market. No matter how big, stable, well-known or profitable a company is, its shares can crash at a moment’s notice. In 2022 alone, the following companies lost at least 50% of their value, although some have bounced back a little since:

Investing for Everyone

Diversification is crucial because it’s impossible to tell when stocks like these — yesterday’s trendiest winners — will crash and burn. In the end, there are no guarantees and you should never invest money you can’t afford to lose.

Never Buy Hot Stocks Just Because They’re Hot

In many cases, the most popular companies are trendy because they’re good businesses with strong stocks that make a lot of investors a lot of money. In other cases, it’s the bandwagon effect — investors pile on and join the crowd more out of FOMO than because their research reveals it to be a strong company that’s a good match for their approach to investing.

Decide on a strategy like value investing or growth investing before you put your money in play. Then, choose stocks based on the fundamentals of that strategy — not because the stock grabs headlines or because all your friends are making a killing at the moment.

Information is accurate as of Aug. 11, 2022.

Our in-house research team and on-site financial experts work together to create content that’s accurate, impartial, and up to date. We fact-check every single statistic, quote and fact using trusted primary resources to make sure the information we provide is correct. You can learn more about GOBankingRates’ processes and standards in our editorial policy.


See Today's Best
Banking Offers