Buy 5 Business Services Stocks as U.S. CEO Confidence Hits 3-Year High

Economic Overview - U.S. CEO confidence index reached 60 in Q1 2025, indicating a shift to "confident optimism" [1] - The U.S. economy grew at 2.8% in Q4 2024, with a projected growth of 2.3% in Q1 2025 according to the Atlanta Fed GDPNow tracker [1] CEO Sentiment - 44% of CEOs reported current economic conditions are better than six months ago, up from 20% last quarter [2] - 37% of CEOs indicated their own industry conditions improved, an increase from 21% in the last quarter [2] - 56% of CEOs expect economic conditions to improve in the next six months, up from 33% in Q4 2024 [2] Investment Opportunities - Recommended business services stocks include Affirm Holdings Inc. (AFRM), Visa Inc. (V), Palantir Technologies Inc. (PLTR), AppLovin Corp. (APP), and Cintas Corp. (CTAS) [3][4] Affirm Holdings Inc. (AFRM) - Zacks Rank 1, with fiscal Q2 2025 earnings significantly beating estimates [5] - Revenue growth driven by diverse income streams and partnerships, including expansion into the UK [6] - Expected revenue and earnings growth rates of 37% and 89.2% for the current year, with earnings estimates improving over 100% in the last 30 days [7] Visa Inc. (V) - Zacks Rank 2, with fiscal Q1 2025 earnings exceeding estimates by 3.4% [10] - Anticipates low double-digit revenue growth in fiscal 2025, supported by digital payment trends and AI integration [11][12] - Expected revenue and earnings growth rates of 10.2% and 12.4% for the current year, with slight improvements in earnings estimates [12][13] Palantir Technologies Inc. (PLTR) - Reported strong earnings for Q4 2024, exceeding estimates [14] - Growth driven by commercial business expansion and AI platform launch [15][16] - Expected revenue and earnings growth rates of 31.4% and 31.7% for the current year, with earnings estimates improving by 12.5% [17] AppLovin Corp. (APP) - Zacks Rank 1, focused on mobile app developer solutions [18] - Reported Q4 adjusted EPS of $1.73, beating estimates, with revenues of$1.37 billion [20] - Expected revenue and earnings growth rates of 20.4% and 51.7% for the current year, with earnings estimates improving by 12.5% [21] Cintas Corp. (CTAS) - Zacks Rank 2, benefiting from strong demand across segments and strategic acquisitions [22][23] - Investments in technology and automation are expected to enhance performance [24] - Expected revenue and earnings growth rates of 7.3% and 13.7% for the current year, with slight improvements in earnings estimates [25]