Two Stocks Goldman Sachs Thinks Will Dominate 2025

As we step into 2025, Goldman Sachs has shared its insights on two stocks that could potentially lead the market. These companies, Belden Inc. (BDC) and Norwegian Cruise Line Holdings Ltd. (NCLH), are expected to outperform their peers and the broader market, driven by their unique growth prospects and strategic initiatives. Let's dive into the reasons why these stocks could dominate the coming year.

1. Belden Inc. (BDC) - Industrial Tech's Hidden Gem

Belden Inc. operates in the industrial tech sector, which is expected to benefit from a cyclical recovery in 2025. Analyst Mark Delaney sees this as a key driver of earnings growth for the company. Additionally, Belden is expected to grow its high-margin software solutions business, which should contribute significantly to its earnings growth. Delaney models earnings per share (EPS) above consensus estimates for both 2025 and 2026, indicating that these drivers are expected to have a substantial impact on Belden's financial performance.



2. Norwegian Cruise Line Holdings Ltd. (NCLH) - Sailing into Success

Analyst Lizzie Dove cites accelerating Net Purchase Intent (NPI) data and cost savings from a 2023 management shuffle as key drivers of earnings growth for Norwegian Cruise Line. This growing demand for cruise vacations, coupled with improved operational efficiency, should contribute to the company's earnings growth. Dove expects Norwegian to widen its yield-to-unit-cost spread by 2.5 percentage points, bringing its valuation closer to peer Royal Caribbean Cruises Ltd. (RCL).

In conclusion, Belden Inc. and Norwegian Cruise Line Holdings Ltd. are poised to dominate the market in 2025, driven by their unique growth prospects and strategic initiatives. As investors, we should keep a close eye on these companies and consider adding them to our portfolios, as they have the potential to deliver significant returns in the coming year.