Top Stock Picks For 2026
The calendar flips to 2026 in just a few days.
2025 was a great year for the stock market.
The S&P 500 was up over 17% last year, which is higher than its historical average.
And 2026 is shaping up to be even better.
Looking for some top picks for the new year?
Some of my favorites are listed below.
PayPal (ticker: PYPL) has gotten hammered since 2021.
But the company is still growing and making tons of money.
PayPal provides online transactions for businesses and consumers.
It’s incredibly popular, but concerns it will lose business to cryptocurrency have hurt the stock.
In 2025, PayPal’s stock was down over 30%!
But cryptocurrency has a really long way to go to unseat the market leader in digital payments.
Just look at some of these numbers for PayPal.
Over the past 5 years, PayPal’s revenue is averaging 15% growth every single year.
Do you want to know the best part?
PayPal’s current 12x price-to-earnings ratio has never been lower.
Nobody is talking about Qualys Inc (ticker: QLYS), a cybersecurity company based outside of San Francisco.
Cybersecurity is a huge industry as more and more of our data and lives move online.
Qualys is on the smaller side with a market cap of around $5 billion.
But the company is incredibly profitable.
Qualys’ 29% profit margin is one of the highest in the entire technology sector.
And its growth is outstanding.
Earnings are averaging almost 30% growth every year over the last decade.
Qualys’ price-to-earnings ratio is also around 27x, which is the lowest it’s ever been.
If you want a company even smaller, then consider Sally Beauty Holdings (ticker: SBH).
Sally Beauty is a beauty retailer, selling makeup and hair styling products to customers.
While its market cap is only $1.5 billion, Sally Beauty isn’t small.
The company operates around 4,000 retail locations in North America, Europe, and South America.
And Sally Beauty grew its earnings last year by 11% and its free cash flow by more than 22%.
Sally Beauty also has one of the highest Return on Equity (ROE) in the retail sector with 27.6% last year.
Finally, the stock is incredibly cheap.
Its forward price-to-earnings ratio of 7.5x is less than half the retail average.
Next year promises to be a great year for stocks.
And Paypal, Qualys, and Sally Beauty should be on everyone’s radar for a fantastic 2026.
Coach Parker
Category: Stocks
