Benzinga - 2022 would go down as one of the worst years for the financial markets. The sell-off has been all-pervasive, with stocks, bonds and cryptos all selling off indiscriminately. Even as high-fliers like Apple Inc. (NASDAQ: NASDAQ:AAPL) and Tesla Inc. (NASDAQ: NASDAQ:TSLA) bit the dust, there were a few that stood towering tall, defying the macro and geopolitical challenges.
Here's Benzinga’s list of best-performing stocks screened based on a few criteria:
1. Target (NYSE:TGT) Hospitality Corp. (NASDAQ: TH)
YTD Gains: +310%
Target Hospitality, founded in 1978, provides cost-effective and customized specialty rental accommodations, culinary services and hospitality solutions for end markets, including oil, gas, energy infrastructure and the government. The Woodland, Texas-based company’s third-quarter results revealed 79% revenue growth and 125% adjusted EBITDA growth. The stock got a solid lift in July following the release of its second-quarter results, in which it upwardly revised its revenue guidance.
After a consolidation move, the stock legged up again, reacting to the third-quarter results.
The average analysts’ price target, compiled by TipRanks, is $20.67, suggesting roughly 42% upside potential on top of the stellar run for the year.
2. Amplify Energy Corp. (NYSE: AMPY)
YTD Gains: +188%
Houston, Texas-based Amplify Energy is an independent oil and natural gas company. The stock’s rally that began at the start of 2022 continued unhindered through the middle of the year, coinciding with oil’s rally. Subsequently, the stock was locked in a broad sideways move, as oil’s rally lost steam.
Given crude oil prices could stay high amid supply constraints and forecasts for higher demand, the stock could be in for further upside from current levels.
3. Prometheus Biosciences Inc. (NASDAQ: RXDX)
YTD Gains: +175%
Prometheus is a clinical-stage biotech based out of San Diego, California, and it focuses on developing therapeutics and companion diagnostic products for the treatment of immune-mediated diseases. The company went public in early 2021 and its shares were listed on the Nasdaq in March 2021.
The bulk of the gains made this year came in early December, as the stock skyrocketed over 166% in reaction to positive Phase 2 data for its antibody treatment PRA023 in ulcerative colitis and Crohn’s disease.
The stock presents a roughly 31% upside, going by the average analysts’ price target of $142.22.
4. International Seaways Inc. (NYSE: INSW)
YTD Gains: +168%
International Seaways owns and operates a fleet of 77 vessels, comprising crude, product and chemical tankers. It provides shipping services to customers through voyage charters, commercial pools and time charters.
The stock has been on a broader uptrend this year, interspersed by occasional pullbacks. The reopening economies proved salubrious for transportation stocks, as demand for goods and commodities increased.
The average analysts’ price target for International Seaways stock is $53, translating to a 39% upside potential.
5. NexTier Oilfield Solutions Inc. (NYSE: NEX)
YTD Gains: +166%
NexTier, another Houston, Texas-based company, is a land oilfield service company in the U.S., offering a diverse set of well completion and production services across basins. As has been with the case of Amplify Energy, the bulk of the gains were notched up in the first half of the year and subsequently, it has gone through a broad consolidation move.
The stock potentially offers 78% upside potential, going by the average analysts’ price target of $16.83.
6. ADMA Biologics Inc. (NASDAQ: ADMA)
YTD Gains: +158%
ADMA is a commercial biopharma that develops specialty plasma-derived biologics for the treatment of immunodeficient patients at risk for infection, and others who are at risk for certain infectious diseases.
It currently markets three FDA-approved plasma-derived biologics. Earlier this month, ADMA preannounced fourth-quarter revenue that came in well ahead of the consensus. The company recently raised $69 million in gross proceeds from an equity offering.
The average analysts’ price target for the stock is $5, suggesting there exists an upside potential of about 38%.
7. Hudson Technologies Inc. (NASDAQ: HDSN)
YTD Gains: +124%
Woodcliff Lake, New Jersey-based Hudson Tech is a provider of sustainable refrigerant products and services to the heating ventilation air conditioning and refrigerator industry.
8. CTI Biopharma Corp. (NASDAQ: CTIC)
YTD Gains: +121%
CTI Biopharma is a commercial-stage biopharma focusing on the development and commercialization of targeted therapies for blood-related cancers. The company’s Vonjo has been approved for treating adults with intermediate or high-risk myelofibrosis, having low platelet count. Myelofibrosis is a rare bone marrow disorder that disrupts blood cell production.
In the third quarter, the product fetched a revenue of $18.2 million, up 48% from the previous quarter.
The FDA approval received in early March sparked off a rally in the stock that lasted through August. Since then, the stock has given back some of its gains.
The stock offers 88% upside potential based on the average analysts’ price target of $10.34.
9. Ardelyx Inc. (NASDAQ: ARDX)
YTD Gains: +117%
Waltham, Massachusetts-based Ardelyx focuses on therapies to meet significant unmet medical needs. The company turned into a commercial-stage biopharma following FDA approval for its Ibsrela, which is indicated for irritable bowel syndrome with constipation in adults. The company began commercializing the product in April. In the third quarter, Ibsrela fetched a revenue of $4.9 million.
The stock has begun to pick up momentum in the second half of the year. In mid-November, it received a shot in the arm from a positive Adcom verdict for its Xphozah, which is being studied for the control of serum phosphorus in adult patients with chronic kidney disease on dialysis.
The average analysts’ price target for the stock is $6.53, suggesting a nearly 175% upside potential.
10. Helmerich & Payne, Inc. (NYSE: HP)
YTD Gains: +108%
Tulsa, Oklahoma-based Helmerich & Payne is an oilfield services company manufacturing and operating high-performance drilling rigs in conventional and unconventional plays around the world.
The stock offers 20% upside potential, based on the average analysts’ price target of $58.90.
Underlying Theme: The biggest winners of 2022 mostly belonged to the oil and related sectors and the biopharma industry. The outlook for those companies that are sensitive to oil prices is clouded. Recession fears have driven down oil price forecast for 2023, with Goldman Sachs (NYSE:GS)’ latest estimate at $92 a barrel, down from its previous forecast of $105 a barrel. This still leaves scope for upside from the $80-a-barrel at which WTI-grade is currently trading.
There are other variables going into the equation such as China reopening, Western sanctions impacting Russian energy supplies etc.
The prospects of the biopharma stocks hinge on binary events, with economic setbacks having very little impact.
Screening Criteria Used:
- U.S. companies
- Average volume over 500,000
- Market cap: $300 million and above
- Average analyst rating: Buy or better
- Upside potential (based on average analysts’ price target): 20%+
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