My 10 'No Doubt' Predictions for 2021

Heading into the New Year it's time for me to make my 10 predictions for 2021. These will probably, most certainly be wrong. But as my father used to say: The thing about Mark, he is seldom right, but he is never in doubt. So here we go: 1. Tesla will be a drag on the S&P 500. Here is a little secret, index funds that now own TSLA are allowed to engage in stock loan. This is going to free up supply of TSLA stock over the coming weeks and could put some serious downside pressure on the stock. In addition, I think we see some New Year tax selling. 2. Zoom Video ZM will be the worst-performing stock of the year. I am sorry; I am pretty sick of Zoom happy hours and Zoom meetings. I cannot wait to start running these things in person. They are way more efficient. In addition there are technologies out there that have already surpassed Zoom in many ways. If you like cloud meetings, Microsoft and Alphabet are better choices. I recently dumped Zoom webinar for Webinarjam. 3. It's time to buy energy. Wait, you might say, Joe Biden is for green energy... EXACTLY. Do I like oil 20 years from now? No. Do I like it two years from now? YES. By restricting supply and exploration, it is going to put a bid in WTI. In addition as the economy turns on, people will use a lot more oil. I like Exxon Mobil , Chevron , Royal Dutch Shell , and BP . I am not so sure about Halliburton . 4. Nordstrom and Macy's will have a good year. Pre-pandemic, these stocks were still WAY ahead of the current price. I like JWN in particular because people are going to want to go to fancy parties once they are allowed again. Nordstrom is where people buy dresses, ties, suits, makeup. I like JWN to $45 or $50. 5. Ulta Beauty ULTA is going to kill it; the deal with Target is a game changer. This is probably my favorite stock for 2020. 6. My other favorite stocks are CVS and Walgreens . When most people get the vaccine they are going to go to pharmacies to get their shot. This is going to help sales at those stores -- oh and CVS runs all the health clinics in Target. Look for these names to rebound. 7. SPDR Dow Jones Industrial Average ETF Trust and Invesco S&P 500 Equal Weight ETF will outperform the S&P 500 and the Nasdaq 100 . Coming off of pretty big years in tech, the S&P 500 is now 25% the same seven names that make up 50% of the QQQ. If you own these two and think you are diversified, you are wrong. RSP is sector equal weighted, so at the beginning of the year it will be selling the best-performing sectors and buying the weak ones. DIA is weighted in by price, so its biggest components are Unitedhealth , Goldman Sachs , Home Depot , Amgen , and MSFT. That is actually a diversified basket that I think will rally. 8. Rates will go up, by more than you think. Heading into the middle of the year, I believe iShares 20+ Year Treasury Bond ETF could get knee capped as the 10-year Treasury will likely see a selloff. I am bearish bonds in 2021. I think the 10-year could break 2% by the end of the year. 9. Amazon could see real regulatory pressure and unionization in 2021. I think they could be in the targets of a new NLRB. I also believe we could see Uber , Lyft , DoorDash , and Airbnb get in the NLRB's cross hairs. Watch out for Gig stocks. I love them over the next 10 years, but not the next year. 10. The recycle trade will work as people abandon Peloton and head back to the gym. (Get it? They get off the PTON cycle and on to a Planet Fitness cycle). I like PLNT for next year. This was a $90 stock last February; I think it could go to $100 in 2021 as people try to lose their Covid 19 pounds. Well there you have it. These are my predictions and best ideas for 2021, which will probably be wrong. Happy New Year! (Amazon, Alphabet, CVS, Microsoft and Goldman Sachs are holdings in Jim Cramer's Action Alerts PLUS member club. Want to be alerted before Jim Cramer buys or sells these stocks? Learn more now.)

My 10 'No Doubt' Predictions for 2021

From Amazon to Zoom, here are my prognostications and best ideas for the new year.

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