Tripled since COVID: 2 rocketing ASX 200 stocks not too late to buy

When you see a stock soar, the dilemma is whether it’s too late to grab a piece of the action.

Has all the ‘easy’ money already been made? Or is the business going so well that further elevation in the stock price is inevitable?

According to experts, these two S&P/ASX 200 Index (ASX: XJO) stocks deserve your immediate consideration before they rise any further:

Valuation compares ‘favourably to its peers’

The team at Fairmont Equities was publicly bullish on iron ore last year, even as many other professional investors were not keen on the sector.

Managing director Michael Gable told The Bull his analysts still have the same outlook.

“We remain bullish regarding the outlook for iron ore in 2024.”

Champion Iron Ltd (ASX: CIA) shares have rocketed more than 30% since October, but that’s the iron ore stock Gable is rating as a buy right now. 

“This Canadian-based producer is trading on valuations which compare favourably to its peers,” he said.

“Also, the share price recently broke above a major resistance level near $8, and we believe this should lead to substantial upside from here.”

Gable’s peers very much agree with his bullishness for Champion Iron.

CMC Invest currently shows all seven analysts that cover the stock recommend it as a buy. Six of those say it’s a strong buy.

The ASX 200 stock ready for take-off

Marcus Today analyst Oliver Matthew liked what he saw recently out of Webjet Limited (ASX: WEB).

“This online travel agency posted impressive results in late 2023,” he said.

“The company’s WebBeds business was a standout, posting revenue of $171.8 million in the first half of fiscal year 2024, an increase of 50% on the prior corresponding period.”

Accordingly, the share price has flown more than 23% higher since an October trough.

If you go back a bit further, Webjet shares have almost tripled — that is, seen a 195% gain — since the initial COVID-19 panic in April 2020.

That doesn’t put Matthew off at all from buying now, though.

“We expect the company to generate solid growth in the second half as global airline passenger traffic has returned to normal levels post the pandemic.”

The wider professional community also likes Webjet, but not as unanimously as Champion Iron.

According to CMC Invest, 12 out of 17 analysts rate the travel stock as a buy right now.

The post Tripled since COVID: 2 rocketing ASX 200 stocks not too late to buy appeared first on The Motley Fool Australia.

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Motley Fool contributor Tony Yoo has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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