3 stocks for your watchlist now

Cheap stocks are getting harder to find.

| More on:

If you’re searching for investment opportunities at the moment, no doubt you’re finding it increasingly difficult. It’s certainly not surprising when you consider that the S&P/ASX 200 Index (Index: ^AXJO) (ASX: XJO) has burst through the 5,500 level, in the process registering a gain of over 75% from the depths of the Global Financial Crisis.

Despite the market highs there are still opportunities out there – they just take a little more digging and searching about to discover. Here are three stocks you might want to keep a close eye on.

Don’t let the strong gains and near record high share price of Premier Investments Limited (ASX: PMV) put you off this first class retailer. Run by billionaire Solomon Lew, Premier is successfully expanding its key Smiggle brand into foreign markets which has the potential to provide a strong growth pipeline for the company. At the same time Premier also holds a strategic shareholding in appliance manufacturer Breville Group Ltd (ASX: BRG) which is successfully rolling-out its products into the USA.

Petrol and convenience stores play an important role in the retail industry and it’s a reason both Woolworths Limited (ASX: WOW) and Wesfarmers Ltd (ASX: WES) have expanded into this sector. Caltex Australia Limited (ASX: CTX) is also a major player and according to Commsec’s forecast data the earnings and dividends and set to race higher over the next few years. If Caltex meets the forecasts in 2016, then the stock is currently trading on a forward price-to-earnings ratio of 12 and dividend yield of 4%.

Initial investors in the float of Collins Foods Ltd (ASX: CKF) at $2.50 per share would certainly be unimpressed with the KFC Restaurant franchisee’s share price performance. However, for investors who picked the bottom near $1 per share it’s been a much more pleasurable experience. While the growth of the fast food chain is unlikely to be exceptional the low multiple and above average yield the stock trades could make Collins Foods a tasty investment.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of January 12th 2022

More on ⏸️ Shares to Watch

asx share price rebound represented by wooden blocks spelling rebound with coins on top
⏸️ Shares to Watch

Could the Zip (ASX:Z1P) share price make a comeback in 2021? 

The Zip Co Ltd (ASX: Z1P) share price struggled in the second half of 2020, falling 8%. Compare this to …

Read more »

A2 Baby formula shares
⏸️ Shares to Watch

What next for the a2 Milk (ASX:A2M) share price?

The A2 Milk Company Ltd (ASX: A2M) share price has slumped to a two-year low of $11.59 (as of Tuesday’s close). …

Read more »

Young boy with glasses and grey long sleeved top looking pensive as if wondering about asx share price
⏸️ Shares to Watch

What’s in store for the Afterpay (ASX:APT) share price in 2021? 

The Afterpay Ltd (ASX: APT) share price has been the gift that keeps on giving in a year when most …

Read more »

wondering about asx share price represented by man surrounded by question marks
⏸️ Shares to Watch

Is the Zip (ASX:Z1P) share price a buy yet?

The Zip Co Ltd (ASX: Z1P) share price continued its theme of underperformance on Monday, falling another 5% to a …

Read more »

questioning whether asx share price is a buy represented by man in red shirt scratching his head
⏸️ Shares to Watch

Should you buy the Appen (ASX:APX) share price dip?

The Appen Ltd (ASX: APX) share price has struggled on all fronts of late. Not only has it underperformed the …

Read more »

Clock showing time to buy, ASX 200 shares
Share Fallers

Why this broker thinks it’s time to buy Qantas (ASX:QAN) shares

With the borders of most states and territories reopening and Victoria’s coronavirus outbreak now a thing of the past, the …

Read more »

wondering about asx share price represented by man surrounded by question marks
⏸️ Shares to Watch

Could this be why the Zip (ASX:Z1P) share price is underperforming?

The Zip Co Ltd (ASX: Z1P) share price has more than halved since its August record highs and struggled to …

Read more »

Hands grabbing for high rung on a ladder pointing to the sky
⏸️ Shares to Watch

The Rhipe (ASX:RHP) share price has jumped 8% today. Here’s why.

The Rhipe Ltd (ASX: RHP) share price has jumped 8.59% to $1.96 after its first quarter FY21 market update today. …

Read more »