Barbara Doran of Bd8 Capital Partners recommends buying on pullbacks in strong, innovative tech stocks like Nvidia, Broadcom, Meta, and Amazon, highlighting their growth potential driven by AI and technological advancements. She also sees opportunities in gold as a safe haven amid geopolitical tensions and in financial stocks, which could benefit from potential deregulation and a robust economy.
In the current uncertain economic environment, Barbara Doran of Bd8 Capital Partners advises investors to consider buying on pullbacks in select stocks that are well-positioned to withstand volatility. Despite the Federal Reserve’s optimistic outlook, there remain concerns about the impact of tariffs and a lowered GDP forecast. The market is currently trading at a high price-to-earnings ratio, so Doran suggests focusing on companies with strong fundamentals and long-term growth potential, particularly those benefiting from technological advancements and innovation.
Doran highlights several key stocks to watch, including Nvidia and Broadcom, which are leaders in the semiconductor industry. Meta is also a top pick due to its increasing engagement and advertising efficiency driven by artificial intelligence. Amazon is another important name, leveraging robotics and AI to boost productivity and margins, even as it adjusts its hiring strategies. Other notable companies include Eli Lilly, with its promising weight reduction medication, and Intuitive Surgical, a pioneer in minimally invasive surgery, which continues to expand its applications globally.
When discussing Amazon, Doran emphasizes that the company’s growth strategy involves both top-line revenue expansion and bottom-line margin improvements. The use of AI to enhance productivity and reduce hiring needs reflects a broader trend in the tech sector. This dual focus on growth and efficiency is similar to what helped Meta regain investor confidence after a period of heavy spending. Investors should consider these factors when evaluating pullbacks in Amazon and similar companies.
Regarding gold, Doran believes it still has room to grow as a safe haven asset amid geopolitical tensions and economic uncertainty. She notes a structural shift since 2020, when European sanctions on Russia led central banks worldwide to increase their gold reserves significantly. This trend is driven by a desire to diversify away from the US dollar and treasuries, with emerging market central banks notably boosting their gold holdings. While a short-term pullback in gold prices could occur after a strong run, the long-term demand is expected to remain robust.
Finally, on the topic of financial stocks, Doran points out that banks could be attractive on any market pullback, especially with upcoming discussions on deregulation by the Federal Reserve. The economy currently appears strong, and deregulation efforts may provide additional support to the banking sector. Investors should watch for opportunities in financials as these regulatory changes unfold, potentially enhancing the sector’s profitability and growth prospects.