As an investor, it is essential to research industry trends when buying stocks. Investors should look for opportunities to expand into new markets.
Particularly, you should look for industries with consistent upward sales trends and products that many people want. Several innovative industries worth investing in are outlined below.
More people than ever are now playing online games. As a result, there has never been a better time to invest in gaming stocks. Because an estimated 40% of gamers are millennials, this age group in particular should consider buying stock in the growing industry.
Even more notable, the gaming market is estimated to be worth over $138 billion and expected to increase to $143 billion by 2020.
Additionally, new technologies are increasing revenue in the industry. Better graphics, an increase in mobile platforms and the possibility of virtual reality creates even more growth opportunities.
By owning stock in one of the larger gaming companies (Activision, EA, or Take-Two) investors gain exposure to the range of trends impacting the growth of the industry. Overall, predicted trends favor profitable performance for gaming stockholders.
Scooter- and bike-sharing, also known as micro-mobility companies, seem to have popped up in all major cities in 2018. However, 68% of the world population is expected to live in urban areas by 2050.
Because micro-mobility offers an alternative to traditional ground transportation and mass transit, the industry is not expected to slow down anytime soon. In fact, the industry is primed for expansion in 2019.
Global investments in micro-mobility increased by $1 billion in 2018 and are expected to grow to $24.3 billion by 2025. Currently, micro-mobility giants Bird and Lime both have e-scooter fleets in more than 100 cities.
While the companies have plans to move into new cities, there will likely be new companies that develop. Additionally, Lime has partnered with Google Maps to increase efficiency for users. Overall, the micro-mobility market is quickly growing as new players and growth possibilities emerge.
The personalization of consumer goods has been on the rise for a while now. In more recent years, genetic testing has become increasingly popular.
Genetic testing analyzes how a consumer’s genes play a role in their overall health. Obtaining this information can create opportunities for a customized and data-driven nutrition plan.
The personal nutrition industry is a relatively new market. However, the genetic testing market is expected to grow to $19.1 billion by 2024. Further, the generic health industry is expected to reach $600 billion by 2020.
With the predicted growths of these two markets, it is expected that personalized nutrition will see gains as well.
Online protection is a large industry with investments expected to nearly double by 2022.
As hacking tactics become more complex, cybersecurity must continuously evolve to protect users’ information. As a result, this industry has no fear of stagnation.
While the increased incidence of cyber-attacks isn’t beneficial to most organizations, it does offer lucrative opportunities to investors. Many investors wait for a publicized attack to jump on cybersecurity stocks.
However, the best stocks are the ones that show strength after the hacking headlines fade, so don’t wait for a surge in the market to take action.
Think Outside the Box with Your Next Investment
Often times, smart and innovative investments can have big payoffs. While the outlined suggestions are only predictions, market trends indicate that these industries are set-up for success in the coming years.