HomeStockTwo Power-Packed Stocks Poised to Continue Their Skyward Surge!

Two Power-Packed Stocks Poised to Continue Their Skyward Surge!

Consolidating Stocks: A Closer Look At NVIDIA and SunPower Corporation

First on the list is NVIDIA Corporation (NASDAQ: NVDA). Known for their relentless innovation in graphics processing units (GPUs) used in gaming and professional markets, NVIDIA has maintained a steady rise since the pandemic started. Increasingly, the company has been moving towards higher market value by venturing into developing chips for artificial intelligence and deep learning, making it an ideal asset for future-facing portfolios.

Following an impressive 2020 that saw a spectacular 120% rise, NVDA shares underwent a consolidation phase which began in early 2021. During this phase, the stock remained in a relatively narrow price range, reflecting a cooling-off period after a significant upwards price movement from the previous year.

Despite the ongoing consolidation, NVDA shows signs of a robust uptrend. The stock’s higher lows over the past few months indicate that buyers are stepping in at progressively higher prices, marking a bullish signal for investors. Moreover, analysts forecast that the company’s earnings per share (EPS) will grow at an annual rate of 21% over the next five years, supplying the potential fuel for another significant uptrend.

The second company on our radar is SunPower Corporation (NASDAQ: SPWR). As a pioneer in the solar industry, SunPower is recognized for its top-tier photovoltaic (PV) panels that transform sunlight into electricity more efficiently than most competitors.

SPWR stock has undergone a consolidation period during the first half of 2021 after an impressive 400% increase in 2020, provoked by growing enthusiasm for renewable energy stocks. Despite this cooling-off period, there are several signals that point to it being poised for another big move.

One of these signals is the rising trendline that’s been in place since the start of the company’s consolidation phase. This trendline, characterized by higher lows over several months, indicates that buyers have been stepping in at higher prices over time. It’s also critical to note that SunPower’s current market position and the broader transition to renewable energy provide the tailwind necessary for SPWR stock to resume its uptrend.

Adding to this, SunPower’s recent decision to spin-off its global panel manufacturing business, Maxeon Solar Technologies has allowed the firm to focus more on profitable rooftop solar and storage products in U.S markets. This strategic move should further enhance its financial position and ignite its new uptrend.

Both NVIDIA and SunPower have experienced significant growth in recent years, followed by periods of consolidation. As we head into the latter half of 2021, though, both companies are showing signs of renewed upward momentum. Economically sound, with strong future growth prospects and industries trending in their favor, these two stocks look ready to continue building on their recent gains and resume their uptrends.

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