According to Goldman Sachs, the US is still the place to find stocks to buy. The firm’s co-head of Global Banking & Markets, Ashok Varadhan, set out the case for this in a recent interview.
While I’m mostly focused on UK stocks at the moment, I do think there are some interesting opportunities across the Atlantic. And there are a couple I’m looking to buy for my portfolio.
The case for the US
Looking ahead to 2026, Varadhan’s view is that interest rates might well have further to fall. And the case for this comes from a combination of inflation and unemployment.
Inflation has been easing as tariff concerns subside, but the jobs market has been weak. Both of these data points provide support for a rate cut, which could boost share prices.
Varadhan expects artificial intelligence (AI) to be a key theme in 2026, but with the focus on users rather than providers. And this sounds plausible given the market’s recent concerns.
As we’ve seen in 2025, though, things can change direction quickly. So neither of my top two ideas for 2026 depends on interest rates coming down (though that would probably help).
CNH Industrial
CNH Industrial (NYSE:CNH) is a tractor manufacturing company. The stock is trading at a 33% discount to its 52-week high and this is mostly because of weaker crop prices.
I’m not sure when this is likely to turn around, but my suspicion is that it will eventually. And with shares in cyclical businesses, the time to think about buying is when they’re cheap.
That’s the case with CNH. The price-to-earnings (P/E) ratio looks high due to cyclically low earnings, but the stock is at its lowest level since the pandemic on a price-to-book (P/B) basis.
The risk, of course, is that crop prices stay depressed for some time. But while investors wait for a recovery, the firm’s financing division should benefit from falling interest rates.
QXO
My top US stock to consider buying in 2026, though, is QXO (NYSE:QXO). It’s a building materials company, which doesn’t sound exciting, but I think it could be a big opportunity.
The firm is on a mission to build scale in a fragmented market through acquisitions. And it’s led by a CEO who has an outstanding track record with this strategy in various industries.
A lot depends on Brad Jacobs with this one and the possibility he might leave – for any reason – is a risk. That isn’t something I can avoid, but I think the potential returns are worth it.
That’s a long-term view. But the reason I’m looking to buy the stock in 2026 is that I think the firm can make progress on its strategy in the next year, whatever the economic climate brings.
US stocks
In terms of US stocks, the big tech companies have been attracting all the attention. But with a couple of exceptions, I think those stocks mostly look fully valued.
To my mind, the most attractive opportunities are elsewhere in the stock market. And they include the likes of CNH and QXO.
Both are stocks I expect to own beyond 2026. But – along with a couple more US names – I’m very happy buying both right now as long-term investments.
