HSBC Holdings plc (HSBC): Why This Mega-cap Stock Could Continue Surging Post 52-week Highs

We recently compiled a list of the 10 Mega-Cap Stocks That Could Continue Surging Post 52-Week Highs. In this article, we are going to take a look at where HSBC Holdings plc (NYSE:HSBC) stands against the other mega-cap stocks.

The US stock markets have gone up leading up to the day of President Donald Trump’s inauguration. All the major indices are set to continue their optimism from last week, when the Dow, the S&P, and the Nasdaq all reported gains of over 3.7%.

Even though the S&P had hardly moved from its early November levels when the election happened, many mega-cap stocks continue to register 52-week highs. We looked at some of these stocks and why they are expected to continue surging up with the earnings season already underway.

To come up with our list of 10 mega-cap stocks that could continue surging post 52-week highs, we only considered stocks that have recently hit their 52-week highs and have a market cap of at least $150 billion.

A financial specialist advising a corporate client at the trading desk of a high-stakes bank.

HSBC Holdings plc (NYSE:HSBC)

HSBC Holdings plc is a financial and banking services provider worldwide that operates through global banking and markets, wealth and personal banking, and commercial banking segments. The company’s stock is on a dream run, gaining over 150% in 4 years. That run is likely to continue judging by the company’s performance.

The bank’s most recent earnings beat both the revenue and earnings consensus. The bank continues to reap the benefits of high interest rates. Even if the interest rates go down, the bank’s global business is structured in such a way that it continues to reduce the sensitivity of its net interest margins to decreasing interest rates.

The stock’s 6% dividend yield continues to attract more investors and forms the backbone of most people’s investment thesis in the company.


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This article was originally published at Insider Monkey.