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Tesla Uncoils For A Momentous Ride

Tesla

Tesla (TSLA) is a revolutionary electric car company based out of Palo Alto, California. The company was founded, and is now overseen, by billionaire entrepreneur Elon Musk. Tesla’s stock has grown by 600% over the past year, but has also been quite volatile. Interestingly, Tesla’s product portfolio contains only a single car: the Model S. However, it has been built with extreme expertise and was named Motor Trend’s Car of the Year for 2013. This reputation has encouraged Musk to further expand Tesla’s production, and potentially enter the energy sector. And much like the revolutionary car it builds, Tesla has announced plans to build a new state of the art factory (possibly in Texas); this would help Tesla pursue foreign markets, specifically those of China and Western Europe. Such plans, in addition to Silicon Valley investor momentum, paint a bright future for the company.

Acadia Pharmaceuticals

Acadia Pharmaceuticals (ACAD) is a biopharmaceutical company that was founded in 1993, and based out of New York; they specialize in curing neurological diseases. Acadia’s current focus is on a new developmental drug, called Pima, which could help cure Parkinson’s disease psychosis. The drug has shown great success in initial clinical studies and has moved into phase III development. There are also indications that the drug may have more diverse applications, and may be involved in curing other mental health disorders. These promising signs lead to Acadia’s seeking FDA approval for their drug this year, given they pass their phase III trial. Some estimates place initial potential sales of Pima at $2 billion. Given Pima’s inevitable success, we assume Acadia’s revenues will eventually surpass $2 billion in the coming years. As Acadia nears official FDA approval for Pima, it would be wise to keep an eye on the momentum of this stock.

Disney

The Walt Disney Company (DIS) has forever been an American household name, and now it’s also a stock you should consider investing in. The company is one of the largest and most popular players in the entertainment industry. With assets such as Pixar Studios, ABC Company, and most notably ESPN, there is no secret as to why Disney continues to grow (posting a 7% increase in revenue last quarter). ESPN is nearly unstoppable given its monopoly over the sports entertainment industry. Additionally, the company also purchased LucasArts, and now owns the rights to the Star Wars franchise, several amusement parks, and more worldwide resorts. Although the stock may not be a bull in the short-term, it’s a favorable long-term position (see a more qualitative analysis of Disney here).

Citigroup

Citigroup (C) is the third largest bank operating in North America. It also operates in over 100 nations, demonstrating a formidable global presence. This reach is greater than any of Citigroup’s competitors, which gives it a favorable edge. In addition, Citigroup trades at a low price, $49.86, compared to similar banks like J.P. Morgan Chase & Co. and PNC Financial Services Group. Citi has come a long way since it received three government bailouts. The company had experienced colossal growth until it collapsed in the 2008 Financial Crisis. Since then, Citigroup has been on a steady rise under C.E.O. Michael Corbat, who has been with the company since 1983 and has decades of banking experience.

Qualcomm

Qualcomm (QCOM) is responsible for the majority of hardware chips used in today’s electronics, specifically smartphones. Their chips can be found in both Android and Apple devices. The company brought in $8.78 billion last year and returned billions to shareholders in the form of dividends. The smartphone industry is constantly evolving, and Qualcomm remains at the forefront. Although telecommunications hardware is a very competitive market, Qualcomm is a true and tested company. Its large cash flows allow for increased expenditures on R&D testing. These expenditures, although costly in the short-term, will most likely have long-term benefits.

Disclaimer: I do not currently own shares of Acadia, Tesla, Disney, Citigroup, or Qualcomm, nor do I plan to purchase any in the next 72 hours. The only compensation I receive for my articles is from Economix101, Inc.