Some of the big names mentioned include Naspers, Sasol and Capitec. Veterans in equity suggest that these are the preferred stock picks on JSE for 2022. So, if you are planning to buy stocks, these are the stocks you should also monitor closely.

Fortunately, there are several stock trading apps in South Africa investors use that make their trading more efficient. In the meantime, some equity analysts argue that Naspers and Prosus are likely to be a turnaround story as developments in China look like they have calmed a bit.  

Prosus and Naspers

Experts also advise investors to look for totally battered shares. For example, even if you don’t buy Prosus or Naspers shares right now, they remain the stocks to watch because things in China will stabilize in the year ahead.

All these shares were regarded favorably based on the context of a share shootout. That means that you would be taking a gamble.

Sasol and Rebosis

Some best performing fund managers in South Africa in 2021 went for Sasol and Rebol, particularly Rebosis A shares.

The argument is that the world has not invested sufficiently in oil and gas extraction to cope with global demand. Moreover, the demand will still be there even in the foreseeable future regardless of the best efforts.

Oil remains a product in high demand, and the prices are likely to shoot due to the underinvestment in oil extraction capacity.

Rebosis is not a popular choice, and that is why it is cheap. The stock had distributable earnings of more than R2.00 per share.

Furthermore, the company has not distributed any dividends, but the earnings are there. However, the company stated that they had made a deal in which they sold the company for multiples of the present share price.

Capitec

Some other experts have sided with Capitec, which is a JSE darling. They believe that the company will keep taking market share even with valuation concerns. When you look at all South African banks, they are cheap. For example, Absa and Nedbank are trading on low valuations.

However, because of the present improbability caused by the omicron variant, the experts believe that you are better off siding with companies with a demonstrated track record of being on the front foot. In the South African banking industry, experts believe that FirstRand and Capitec fit this mold.

Moreover, Capitec is the most preferred of the two.

Zeder and Stor-Age

These two are for risk-averse investors. So, if you consider the high degree of uncertainty, then you would go for Zeder and Stor-Age.

For example, since the markets have run hard, there is a possibility of a rising interest rate environment, weak growth and rising inflammation.

In this regard, many believe Zeder is largely immune to this environment. Moreover, Stor-Age has also proven immune to economic depression and the pandemic.

The two companies reported excellent results recently, and they can be a low-risk buy.