Stocks Extend Gains as Investors Focus on Stimulus: Markets Wrap

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3 ‘Perfect 10’ Stocks to Spice up Your Portfolio

After a year that most of us want to forget, we’re all shaking off our New Year’s celebrations, and taking in 2021’s promise of relief – from a perpetually controversial politics, the never-ending corona crisis, and market volatility.That last may be the key, at least for stock investors. We’re entering a period of relative calm, after a most unsettled year, and now is the time to start reviewing investment choices and making portfolio decisions for the months and years ahead.The TipRanks database has both the information and the tools necessary for this act of financial introspection. By combining the Strong Buy analyst consensus with the Perfect 10 rating from the unique Smart Score system, investors can navigate directly to stocks that present a strong case for bullish moves. Here are the details on three such stocks, along with corroborative commentary from the analysts.Devon Energy (DVN)We’ll start with Devon Energy, a mid-cap player in the Texas oil regions. The company owns mineral rights on over 1.8 million acres across Oklahoma, Texas, and New Mexico, with additional production areas in Wyoming. Devon has more than 10,000 production wells in active use, and sits on proven reserves totaling 757 million barrels of oil equivalent, with 64% of that total in recoverable liquids.The corona pandemic and chronic low prices in the energy industry hurt Devon in 1H20, and by Q2, revenues had fallen to $394 million. That has started to turn around, and the Q3 top line, at $1.07 billion, met expectations. In Q3, the company reported several strong metrics: oil production of 146,000 barrels per day exceeded guidance by 6,000 barrels; production expenses improved 8% yoy; and free cash flow hit $223 million in the quarter. Devon exited Q3 with $1.9 billion in unrestricted cash available. In a further sign of strength, Devon announced toward the end of the third quarter that it has entered into a $2.56 billion agreement to acquire WPX Energy.At the bottom line on Devon, Piper Sandler analyst Mark Lear writes, “With the recently announced WPX merger, DVN reaffirmed the commitment to improving the balance sheet, increasing shareholder return via a fixed plus variable dividend model and alluded to further efficiencies to be captured through portfolio optimization, which we have expected would be a big added benefit of the deal.”Lear’s upbeat comments come with an Overweight (i.e. Buy) rating, and his $21 target price indicates his confidence in a 15% upside over the next 12 months. (To watch Lear’s track record, click here)Overall, the analyst consensus on DVN is not unanimous, but almost. The Strong Buy consensus rating is supported by 14 Buys against a single Hold.(See DVN stock analysis on TipRanks)Invitation Homes (INVH)Next up is Invitation Homes, a major player in the rental home niche. The corona crisis has dampened much economic activity, including home buying, and…