Inflation and rising interest rates have been persistent concerns for investors as they seek to navigate the volatile financial landscape. However, there are still opportunities to invest in stocks that can offer good returns. Here are two of the best equities to consider buying in March 2023
Ashtead Group is a UK-based industrial equipment rental company that provides a range of construction and industrial equipment globally. The company has been performing well in recent years due to the growth in the construction industry, particularly in the US market.
Despite the company’s promising growth prospects, investors should be aware of the risks of investing in Ashtead Group. The persistent inflation and rising interest rates may pressure the company’s financial performance in the short term. However, in the long term, Ashtead Group presents many benefits and opportunities for investors.
One of the benefits of investing in Ashtead Group is that the US tool-rental industry needs to be more cohesive. As such, Ashtead Group and its closest competitor command less than 30% of the market. This market fragmentation will enable Ashtead Group to expand its market share and outperform its smaller competitors, particularly in the current economic conditions.
Furthermore, the US government’s signing of the $1 trillion infrastructure bill will benefit Ashtead Group in the long term. The infrastructure bill seeks to upgrade domestic supply chains, meaning the demand for Ashtead Group’s equipment rental services will likely increase.
GlaxoSmithKline (GSK) is a UK pharmaceutical company making headlines with its recent progress in the pharmaceutical industry. Following the demerger with its consumer healthcare unit, GSK has focused on vaccines and other biotech products.
GSK’s focus on biotech products and vaccines has proven to be a successful strategy. In 2022, GSK’s share price rose 27%, which indicates the success of the company’s efforts to transition to a biotech-focused business model.
Looking forward, GSK has over 20 vaccines and specialty medicines in its pipeline, with over 15 undergoing phase 3 trials. One of the most promising candidates is the company’s fRSV vaccine for adults, which has shown tremendous potential.
This vaccine targets respiratory syncytial virus (RSV), which has eluded scientists for over 60 years. In addition to its promising pipeline, GSK has received validation from regulators for some of its vaccines.
However, despite its successes, GSK is facing legal battles. For example, the company is facing lawsuits related to its heartburn drug Zantac, which has been linked to cancer. However, GSK has stated that it believes the lawsuits are without merit and plans to defend itself vigorously.
Overall, GSK looks promising, especially in the long term. The company’s focus on biotech products and vaccines and its strong pipeline and successful regulatory track record make it an attractive option for investors looking for exposure to the pharmaceutical industry.