2023's Top 10 Most Volatile Stocks - Identifying the Biggest Market Movers

For investment ideas, some investors look at the list of the most active stocks. Since these stocks are the most liquid, you can buy or sell shares with ease and speed.

After the markets suffered a loss in 2022, many investors are searching for fresh strategies to increase their wealth as we go into 2023. Here's a look at the equities that might top the list of the year's most active securities.

Defining Actively Traded Stocks

According to the amount of shares moved and the greatest dollar volume, all the major markets maintain a list of the most actively traded equities each day. These stocks frequently rank at the top of the daily rankings because they are huge corporations that draw both retail and institutional investors.

When fresh information affects a stock's valuation, small-cap stocks can lead the list of the most active stocks. Due to the large number of investors that trade the stock as a consequence, it ranks highly. The rise in trading volume diminishes as soon as the stock's price is more appropriately set, and it drops off the list.

Let's examine the 2023 outlooks of the businesses that often make up the most actively traded equities.

Tesla

In 2022, Tesla's shares fell after several years of lofty valuations. The business is regarded as a technology and automobile enterprise. However, given that a large portion of Tesla's value derives from its capacity to supply finished goods, many investors tend to favor the automotive categorization.

Wall Street analysts anticipate a 40% increase in deliveries by 2023, which may be too optimistic in light of the economy and Elon Musk's recent Twitter shenanigans.

Apple

Investors are selling their shares of Apple in large quantities, causing the stock price to decline. Apple is under pressure from a number of economic factors to sell its goods in vast volumes and at high prices.

Sales of the iPhone have decreased as a result of consumers cutting back on their expenditures due to the inflationary climate. Investors are shunning IT businesses as investment opportunities in favor of other sectors.

Therefore, the year 2023 may be challenging for Apple's stock price.

Amazon

During the final three months of 2022, Amazon lost roughly 30% of its stock value, but its price stabilized in the mid-$80 area during the final few weeks of the year.

In 2022, the stock price rose to a peak of $170 per share before falling by nearly 50%. A portion of this was brought on by individuals purchasing fewer goods as a result of inflation and a decline in consumer confidence in the technology industry.

However, it's possible that Amazon's present stock price has reached equilibrium and will gradually increase going forward.

Nio

A Chinese electric vehicle firm named Nio intends to establish business activities in the United States by 2025. Its present line-up of vehicles is geared toward the premium market and has the ability to compete favorably with Tesla in terms of performance.

The company's stock price is rising, and in 2023 it may have a breakout. If the business can deliver on its promise of appealing and dependable premium EVs, its present price may generate a decent return on investment.

Advanced Micro Devices

Due to excessive inventories and sluggish sales, AMD will probably have a terrible first half of 2023. One of the top producers of high-performance computer goods is the business. During the epidemic, demand for its Ryzen processors and Radeon RX graphics cards was strong.

However, consumers are delaying the purchase of new GPUs due to the collapse of the cryptocurrency mining business, high costs, and the slowing of the economy.

AMD is still a competitor, though. It should successfully clear the inventory backlog because its items are in high demand.

NVIDIA

NVIDIA has comparable problems to AMD in that their GPU inventory backlog is expanding while sales decline. In response to its gaming division's 51% year-over-year revenue decline from the third quarter of 2021 to 2022, investors heavily discounted the shares.

NVIDIA, on the other hand, is entering the cloud computing market with its GPU and CPU server processors because of the success of its automotive division. According to reports, its Grace server processors might outperform Intel's CPU server processors in terms of performance while consuming less energy.

Meta

The year 2023 is a question mark for Meta, the collective term for Facebook, Instagram, WhatsApp, and the related virtual reality environment. By investing money in people and labor to make his dream a reality, Mark Zuckerberg is increasing the size of his virtual reality investment.

A decrease in advertising revenue has hurt Facebook, and TikTok is competing with Instagram. It's unclear if Meta will bounce back and concentrate on competing with its rivals or if Zuckerberg will keep putting all of his attention into his virtual reality project at the expense of other businesses.

Carnival Corporation

Carnival Corporation's cruise business was negatively impacted by the epidemic, and the corporation is having trouble recovering. The fundamental feature of cruises, which is to accommodate large numbers of passengers on a single ship, is in dispute. These circumstances facilitate the transmission of viruses.

Even if the coronavirus has become less dangerous, people are still hesitant to put themselves at risk of getting sick on purpose. Carnival is showing indications of improvement, but its stock is probably not going to increase much in 2023.

Plug Power

A maker of hydrogen fuel cells, Plug Power has a strong clientele of businesses who purchase its products. It produces fuel cell systems for fleets of trucks, delivery vans, and forklifts. Additionally, it provides its clients with hydrogen.

In terms of daily use, using hydrogen as an alternative fuel source is now becoming a reality, and Plug Power is demonstrating that it is feasible to easily convert current machinery to run on the fuel.

If the firm continues to provide hydrogen fuel cell technology, its stock price should see significant increases in 2023.

Ford

Another firm whose shares suffered in 2022 as a result of a decrease in car sales was Ford. Even though it is a significant global vehicle manufacturer and its EV selection has garnered a lot of interest among car purchasers, its stock price has historically been modest.

The company's forecast for 2023 is uncertain due to supply chain concerns subsiding, an increase in the number of automobiles arriving at dealership lots, a continued high average vehicle price, and a sharp rise in borrowing costs.

Additionally, customers are less likely to take on a sizable loan when their income is unclear, which might cause Ford's stock to decline in 2023.

Bottom Line

A stock's inclusion on the list of the most active securities does not guarantee a gain in value. Due to the fact that it is owned by several mutual or exchange-traded funds and is often traded, it could have high daily trading volumes. The value of a stock on the list might potentially decline.

Investigate Q.ai's Investment Kits as an alternative to purchasing the most active equities. Our artificial intelligence searches the markets to find the most profitable assets for a variety of risk appetites and financial circumstances. Then, it compiles them into convenient investment kits that make investing easy and tactical.

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