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Of course, TV shows and movies employ many workers behind the scenes to operate the cameras, direct the actors, run the marketing efforts, and handle all the financial details. Masu. Similarly, many e-commerce stocks rely on other companies to provide equipment, warehousing, technology, and transportation services.
Global e-commerce sales are expected to expand at a fairly fast CAGR of 9% from 2023 to 2027, and many of these behind-the-scenes players should deliver impressive returns for investors over the long term. . Moreover, if global economic growth accelerates more than expected in the coming years, e-commerce could easily return to pre-pandemic growth rates of 12-14%. Here are three behind-the-scenes e-commerce stocks that can generate home runs over the long term.
Symbolic (SYM)
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symbolic (NASDAQ:SYM) AI-powered robotic systems automate warehouse operations. SYM should benefit from the rapid growth of e-commerce in the coming years, as e-commerce companies and large retailers utilize a large number of warehouses.
Additionally, Symbotic's autonomous mobile robots are arguably much cheaper and more efficient than human employees, which should make them very attractive to e-commerce companies and large retailers.
Industry leaders validate SYM products and technology walmart (New York Stock Exchange:WMT), fedex (New York Stock Exchange:FDX) and the goal (New York Stock Exchange:target) All products are used.
Last quarter, Symbotic's revenue increased 79% year-over-year to $78.6 million, and its EBITDA excluding certain items was $14 million, compared with an adjusted BITDA loss of $16 million for the same period in 2022.
Prologis (PLD)
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Prologis (New York Stock Exchange:PLD) is the world's largest warehouse developer. Co-star.
And since Prologis' rents are currently significantly lower than the U.S. average, the company could raise rents significantly this year, potentially setting the stage for revenue and earnings to soar. Additionally, CFO Tim Arndt reported on the company's fourth quarter earnings call that it expects annual market rent growth to average 4% to 6% over the next three years. .
It's also worth noting that PLD is investing in a number of other high-growth areas, including solar energy, zero-emission electric truck charging stations, autonomous mobile robots, and artificial intelligence-powered warehouse management tools. These investments should yield significant results for the company.
Considering all of PLD's strong positive catalysts, PLD is definitely one of the best e-commerce stocks to buy.
Giga Cloud Technology (GCT)
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giga cloud (NASDAQ:GCT) brokers transactions between e-commerce retailers and suppliers, while also handling logistics and warehousing for clients. GCT's stock price has more than doubled in the first two months of this year, showing that the Street is hooked on the name.
GCT targets business-to-business transactions (B2B) E-commerce is generally expected to grow significantly faster than consumer e-commerce. Specifically, B2B e-commerce is expected to grow rapidly. According to some estimates, the average annual growth rate from 2023 to 2030 will be close to 20%.
Only two Wall Street analysts have rated this name in the past 90 days, one with a buy rating and one with a strong buy rating. The average forecast of two analysts is for GCT's earnings per share to jump from 56 cents in 2023 to $2.05 in 2024.
On the date of publication, Larry Ramer did not have (directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the author and are subject to InvestorPlace.com Publishing Guidelines.
Larry Lamar has been researching and writing about U.S. stocks for 15 years. He is employed by The Fly and the Globe, Israel's largest business newspaper. Larry started writing a column for InvestorPlace in 2015. Some of his highly successful contrarian stocks include SMCI, INTC, and MGM. You can reach him at @larryramer on Stocktwits.
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