Asia is a powerhouse for strong growth stocks. China has a growing list of investment-worthy countries, and the list could get bigger due to its ongoing Belt and Road Initiative. Back in June, analysts predicted that $17 billion could flow into Chinese stocks following an announcement that a number of Chinese stocks would newly be included into the MSCI Emerging Markets Index. Asian stocks (especially Chinese stocks) are booming right now. That makes it a great time to list some of the best Asian stocks to buy in 2018.
There are tons of growth stocks available on Asian indexes, but these have the potential to deliver some huge returns on your investment.
Alibaba (BABA)
Founded in 1998, Alibaba has grown to become the largest e-commerce company in China with a reported 500 million active customers each year. Over the summer, a number of analysts predicted Alibaba’s stock has upside potential of 10% over the next year.
Thanks to the company’s innovative approach, strong grip on the Chinese e-commerce business, and new efforts to reach out into new markets, its stock price likely to continue growing.
At the time of writing, Alibaba’s stock price stood at $178.45. It’s an expensive stock, but it’s definitely not overvalued. In fact, it has massive growth potential over the next few years. Heading into 2018, BABA is without a doubt one of the top Asian stocks available.
New Oriental Education & Technology Group Inc. (EDU)
Beijing-based New Oriental Education and Technology Group Inc. is now the largest private education company in China. Many stock trading experts identify it as one of the best Asian stocks to buy heading into the new year.
Last year, New Oriental recorded the highest revenue of any company in China’s education sector at $1.8 billion. Morgan Stanley is a believer, calling New Oriental one of the best stocks in China today thanks to its “higher-quality growth from utilization rates.”
New Oriental provides Chinese students with innovative education tools. As the country’s economy expands and more families invest in their children’s futures, demand for New Oriental services should only increase.
Most analysts agree that EDU has some major upside potential over the next few years. It’s currently priced at $93.80, making it a moderately-priced stock. It’s worth buying and holding onto for the long-term.
Panasonic Corporation (PCRFY)
Without question, China dominates any conversation about Asian stocks. China isn’t the only game in town, however. The Japan-based Panasonic Corporation deserves a lot of attention.
Panasonic’s stock price has grown rapidly throughout 2017 and it’s now one the most promising stocks in Asia. The company is diversifying away from smartphones and low-cost electronics, attempting to reinvent itself as a supplier of high-tech auto parts. It’s now the exclusive battery supplier for Tesla’s Model 3.
After hitting a low point in February, Panasonic’s stock grew rapidly, up 85% at one point. With a one year low of $9.13 and a high of $15.03, this stock is a great value. Over the past three months alone, Panasonic has grown by 7% to $14.53.
The Japanese stock market has been volatile in the recent past, but Panasonic appears to be a solid option for investors. With a solid endorsement deal on the books with Indy 500 winner Takumo Sato, the company’s future looks bright. Due to its low cost and big potential for growth, Panasonic is one of the best Asian stocks to buy in 2018.