Three Nontech Stocks to Watch for Big Gains in 2025

For years, the stock market has been driven by tech giants like Apple, Microsoft, and Nvidia. However, not all promising investment opportunities lie within the technology sector. Some under-the-radar nontech stocks could present significant returns in the coming year.

Chris Grisanti, Chief Market Strategist at MAI Capital Management, recently shared his insights on CNBC’s “Three-Stock Lunch,” identifying three companies that investors should watch closely: Pfizer, Airbus, and Domino’s Pizza. Each of these businesses has specific factors driving potential growth in 2025.

Pfizer: A High-Yield Stock with Growth Potential

Pfizer, a global pharmaceutical leader, recently posted strong quarterly earnings, exceeding analysts’ expectations. The company reported an adjusted earnings per share (EPS) of 63 cents, outperforming the forecast of 46 cents. Revenue also came in above expectations at $17.76 billion. Despite this positive financial performance, Pfizer’s stock declined by 1.2% after the earnings release.

Grisanti believes that Pfizer is currently undervalued. The stock trades at just eight times earnings and offers an attractive 6.5% dividend yield, making it a compelling option for income-focused investors. If its valuation increases to 11 times earnings, Grisanti projects gains of 30-40% over the next few years, even amid broader market challenges.

However, one potential risk is regulatory uncertainty. Speculation around Robert F. Kennedy Jr., a known skeptic of certain vaccines, being considered for the role of U.S. Secretary of Health and Human Services could affect investor sentiment and introduce volatility into Pfizer’s outlook.

Airbus: Gaining Strength in a Rebounding Airline Industry

While Boeing often dominates discussions in the U.S., Airbus, its European rival, has been steadily gaining market share in the aerospace industry. With the continued rise in global air travel demand, Airbus is well-positioned to benefit. The company has a robust order backlog, reflecting strong airline interest in fleet modernization and expansion.

Grisanti emphasized that Airbus operates in a secularly growing industry and has been capitalizing on Boeing’s recent challenges. Notably, Boeing reported a $523 million loss in 2024 due to issues with its Starliner space program.

Though Airbus is not listed on U.S. stock exchanges, American investors can still gain exposure through over-the-counter markets or by investing in European exchanges such as those in France, Germany, and Spain.

Domino’s Pizza: A Potential Turnaround Story

Domino’s Pizza has encountered difficulties in recent years, but the company has shown promising signs of recovery in early 2025. The stock has already climbed 11% since the start of the year, and Grisanti believes that key strategic adjustments are driving this momentum.

One crucial event that could determine Domino’s trajectory is its Q4 earnings release on February 24, 2025. Investors will be closely watching same-store sales growth to assess whether the company’s recent initiatives are yielding positive results. Strong earnings performance could further boost the stock and reaffirm its position as a long-term investment opportunity.

Diversifying Beyond Tech

While technology stocks continue to dominate headlines, Grisanti’s analysis highlights compelling opportunities outside the sector. Pfizer offers a combination of strong dividend yield and undervaluation, Airbus benefits from the increasing global demand for air travel, and Domino’s appears to be on the cusp of a business revival.

Investors looking to diversify their portfolios should take note of these stocks and monitor market trends, earnings reports, and regulatory developments. As 2025 unfolds, these companies could deliver significant returns for those who position themselves strategically.