Investing in cybersecurity. Rapid7, Inc.: Developer of cyber security solutions with 80.3% growth potential
What's the idea? The digitalisation of companies, in addition to new horizons for business, also opens up new opportunities for criminals. Based on expert forecasts, we expect demand for cyber security products to grow. We suggest that investors diversify their portfolios by adding stocks in this area so as not to miss out on possible profits. We have selected two companies that can show good returns: Rapid7, Inc. and Datadog, Inc.
What's the idea? As we said previously, an acceleration in the rate of inflation reduction could start as early as the first half of 2023. The realisation of this forecast would push the US Federal Reserve to ease monetary policy, which would ultimately have a positive effect on stock and debt markets. In order not to miss the start of the rate cuts and to participate in the bond rally, we suggest gradually gaining positions in funds that specialise in corporate bonds and can show good yields during the market recovery. 
What's the idea? As we said previously, an acceleration in the rate of inflation reduction could start as early as the first half of 2023. The realisation of this forecast would push the US Federal Reserve to ease monetary policy, which would ultimately have a positive effect on stock and debt markets. In order not to miss the start of the rate cuts and to participate in the bond rally, we suggest gradually gaining positions in funds that specialise in corporate bonds and can show good yields during the market recovery. 
What's the idea? Marvell has a better revenue mix than other companies in the semiconductor industry, with the consumer market accounting for less than 15% of its total revenues. Thanks to the transformation of existing data centres as well as the emergence of new ones, the company is facing high demand in the relevant segment. Given Marvell's strong positioning and the integration of digital technology into the automotive industry, we expect the automotive segment to provide a significant tailwind. In the long term, MRVL is expected to grow at an average annual rate of 15%-20%, with operating margins reaching 38%-40%. According to the Wall Street consensus, the upside potential for the MRVL stock price exceeds 60%.
What's the idea? New high-speed data products will help in the battle for 5G and data processing markets. The company's sensors will be needed when implementing energy-efficient infrastructure. Forecasted positivity in the target markets will support the company's growth rate. The new takeover will broaden the range of applications for IoT technology, but will increase the debt burden.
What's the idea? The company worsened its forecasts in the latest report, but with a positive economic scenario, it has a chance of exceeding expectations. New acquisitions will ensure revenue growth. Spin-offs will help them to manage their capital more effectively. The high potential return on the idea comes with significant downside risks in the event of a deteriorating macroeconomic environment.
What's the idea? The alternative investment industry is expected to grow at a double-digit rate in the coming years. Carlyle is one of the largest private equity fund managers. Private equity funds do not imply the possibility of withdrawal of assets by investors. Carlyle does not risk a sharp reduction in assets under management and a fall in management fees. The rich background of Carlyle's co-founders makes it possible to run the company successfully until a permanent CEO is found. If the challenging macroeconomic environment becomes sustained, Carlyle's stock price will be supported by dividend payments. The company is trading at a discount to the industry average. According to Wall Street consensus, the upside potential is more than 50%. 
What's the idea? New acquisitions and geographic expansion, combined with the launch of new projects and active advertising campaigns, will drive business growth. Additional support will come from positive trends in the casino industry. The sale of strategically unprofitable assets and an adequate debt load will ensure financial sustainability when investing in new projects. Maintaining additional growth potential with the removal of restrictions in Maca.
Compass' diversified portfolio includes a number of companies with a high growth rate of financial performance. By growing its portfolio of companies and entering the large and promising healthcare market, Compass expects to achieve adjusted EBITDA of $1 billion over the next 5-7 years. Compass provides its shareholders with a solid dividend yield. The company is able not only to maintain its current level of payouts, but also to increase them. Compass trades at a discount to a comparable valuation. According to Wall Street consensus, the stock has an upside potential of more than 50%.