10 Best Blue Chip Stocks Under $100

2) Sony Group Corporation (NYSE:SONY)

Share Price as of August 16, 2024: US$90.24

Average Upside Potential: 21.16%

Sony Group Corporation (NYSE:SONY) is a conglomerate that has consumer electronics roots. The company not only designs, develops, produces, and sells electronic equipment and devices, but is engaged in content businesses, like console and mobile games, music, and movies.

The company’s long-running diversification strategy in content seems to yield healthy results amid shifting technology and consumer habits. Sony Group Corporation (NYSE:SONY) enjoys a wide economic moat of an asset-light business model and focus on content acquisition. The company’s significant investments in Sony Music and PlayStation and related game operations should continue to provide a competitive edge.

The company’s current business portfolio seems to be much stronger than before and should be able to generate ROIC above its weighted average cost of capital in the long term. It implemented a business model transformation in consumer electronics. This made the company less vulnerable to economic fluctuations. Sony Group Corporation (NYSE:SONY) restructured and reorganized production facilities for TVs and smartphones, and made some divestments of PCs.

Over the past several years, Sony Group Corporation (NYSE:SONY) acquired several content-creation companies throughout games, music, and film/TV. The company continues to see the benefits of digital distribution which are providing it with more durable revenue streams.

Insider Monkey’s 1Q 2024 database, tracking 920 elite hedge funds, revealed that the number of hedge funds investing in Sony Group Corporation (NYSE:SONY) was 24. On average, 2 analysts gave the stock a “Hold” rating, and 3 have assigned a “Buy” rating.