⌛ Did you miss ProPicks’ 13% gains in May? Subscribe now & catch June’s top AI-picked stocks early.Unlock Stocks

2 Superstar Stocks for Your 401K

Published 08/20/2021, 12:19 PM
Updated 08/20/2021, 01:30 PM
© Reuters.  2 Superstar Stocks for Your 401K
CTAS
-
INFY
-

With the stock market racking up record highs this year, investors are diving in to grab any and every opportunity to capitalize on its momentum. There has also been a massive spike in workers' contributions to their 401K plans. So, to benefit from the market rally and to swell one’s 401(k) balance, we think winning stocks Infosys (NYSE:INFY) and Cintas (CTAS) could be great picks now. Let’s take a closer look.Many investors pulled money from the stock market last year on concerns over the pandemic-led recession. But as the economy recovers and stock market indexes are hitting their all-time highs, investors are unwilling to miss opportunities to capitalize on the momentum. According to the latest data from Fidelity Investments, even though people faced financial hardships over the past year due to the pandemic, retirement account balances have hit new highs. The average 401K plan balance climbed 24% year-over-year and hit $129,300 as of June 30, while individual retirement account balances increased by 21% from their year-ago value.

The S&P 500 doubled this month on a closing basis from its pandemic low on March 23, 2020. And this bull run is expected to continue for the foreseeable future owing to an improving job market, rising consumer spending, and continuing government efforts to increase COVID-19 vaccination rates.

So, we believe investors seeking to boost their 401(k) balances further could bet on Infosys Limited (INFY) and Cintas Corporation (NASDAQ:CTAS). These companies are fundamentally sound and exhibit strong growth attributes.

Continue reading on StockNews

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.