Finding the right stocks in today’s market isn’t easy. With so many options, it’s tough to know which ones are worth your attention. But when you get it right, the payoff can be huge. That’s why we do the heavy lifting for you, sorting through the noise to bring you stocks that are set to move.
Each week, we dig into the data, look at market trends, and identify stocks with real potential. Our focus is on opportunities that aren’t just good for a quick win but have the strength to deliver ongoing growth.
This week, we’ve highlighted three stocks that stand out from the pack. Backed by solid analysis, these picks are positioned for a strong run in both the short and long term.
Brookfield Renewable (NYSE: BEPC, BEP) A Dividend-Powered Play on Renewable Energy Growth
Brookfield Renewable is an underappreciated gem in the renewable energy sector, and 2025 might just be the year it regains its shine. Despite a lackluster 2024, with corporate shares gaining just 4% and partnership units dropping 13%, the company’s operational performance and growth trajectory tell a much more compelling story.
Brookfield Renewable is already one of the largest renewable energy operators globally, with nearly 37 gigawatts (GW) of operating capacity. Yet, what truly sets it apart is the massive 200 GW pipeline it is currently developing. This positions Brookfield to continue capitalizing on the accelerating global demand for clean energy, driven by decarbonization goals and favorable government policies worldwide.
The company’s financials are just as impressive. In the third quarter of 2024, Brookfield Renewable’s funds from operations (FFO) per unit grew by 11%, putting it on track to deliver double-digit annual FFO growth—a benchmark it has consistently hit over the long term. This growth underpins the company’s ability to raise its dividend by 5% to 9% annually, a goal it has met consistently since 2001. Today, its dividend yield sits at an attractive 5%, far outpacing the S&P 500’s 1.2% yield.
2024 marked Brookfield’s largest year of growth investments yet, with billions raised through asset recycling and redeployed into acquisitions spanning wind, solar, and hydroelectric power. These strategic moves not only bolster its portfolio but also position the company to continue delivering on its 10%-plus annual FFO growth target for at least the next five years.
Brookfield also benefits from inflation-linked long-term power purchase agreements (PPAs), which provide reliable cash flows while allowing the company to reprice expiring contracts at higher market rates. Combined with its development pipeline and accretive acquisitions, these factors create a roadmap for sustained growth.
For U.S. investors, there’s an added advantage: purchasing corporate shares (BEPC) instead of partnership units (BEP) avoids the hassle of K-1 tax forms and foreign tax withholding.
With its strong dividend yield, visible growth drivers, and an ambitious development pipeline, Brookfield Renewable looks like a solid pick for investors looking to start the new year with a high-quality, income-generating renewable energy stock. It’s not just about collecting dividends—it’s about investing in a company that’s poised to grow those payouts and deliver strong total returns over the long haul.
TaskUs (NASDAQ: TASK) A Leader in Digital Customer Experience Ready to Deliver More
TaskUs, a standout player in the digital customer experience outsourcing space, is showing signs of even greater potential heading into the new year. The company recently impressed with a robust third-quarter report, beating expectations on both revenue and earnings. But what really caught our attention is the potential for its fourth-quarter results to serve as a positive catalyst for the stock.
TaskUs has built a reputation for offering premium outsourcing services to high-growth tech companies, and its competitive position in this niche is second to none. Margins remain “best-in-class,” underscoring the company’s operational efficiency. Analyst Cassie Chan recently upgraded the stock to a buy, citing its attractive risk/reward profile and predicting strong fourth-quarter results. Chan also expects TaskUs to guide fiscal 2025 revenue growth ahead of the market consensus at 9%.
After climbing 41% in 2024, TaskUs shares still appear to have room to run. With underperformance earlier in the year now in the rearview mirror, the next quarterly update could be the turning point that pushes the stock higher. For investors seeking exposure to a proven growth story in digital customer experience, TaskUs is well worth a closer look.
Penn Entertainment (NASDAQ: PENN) A Strategic Bet on Long-Term Growth
Penn Entertainment is quietly positioning itself as a compelling opportunity for investors looking for growth in the gaming and sports betting sector. While 2024 hasn’t been kind to its stock price—it’s down more than 23% year-to-date—there are reasons to believe that brighter days are ahead, especially with a significant growth strategy beginning to take shape.
One of Penn’s most exciting prospects is the growth potential of ESPN Bet, its rebranded sports betting platform. Analysts see this as a major driver for future revenue, with projections for segment EBITDA turning modestly positive by 2026. What’s especially interesting is the company’s flexibility—if the segment underperforms, Penn can scale back and still benefit from approximately $60 million in market access fees annually. This adaptability provides a safety net that many competitors lack.
Beyond sports betting, Penn is investing in its regional land-based casinos, with $850 million in capital projects expected to start delivering double-digit cash-on-cash returns by late 2025. This dual strategy—leveraging its online gaming potential while reinvesting in its core casino business—positions Penn to capture both market growth and operational stability.
JPMorgan recently upgraded the stock to “overweight” with a price target of $27, representing nearly 35% upside from its current levels. With a recovery in cash flow from its regional casino operations and the promise of new revenue streams from ESPN Bet, Penn is shaping up to be more than just a comeback story—it’s a strategic bet on long-term growth.