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3 of Wall Street’s Favorite Stocks with Solid Fundamentals

UPWK Cover Image

Wall Street has set ambitious price targets for the stocks in this article. While this suggests attractive upside potential, it’s important to remain skeptical because analysts face institutional pressures that can sometimes lead to overly optimistic forecasts.

Luckily for you, we at StockStory have no conflicts of interest - our sole job is to help you find genuinely promising companies. That said, here are three stocks where Wall Street’s excitement appears well-founded.

Upwork (UPWK)

Consensus Price Target: $20.10 (25.6% implied return)

Formed through the 2013 merger of Elance and oDesk, Upwork (NASDAQ: UPWK) is an online platform where businesses and independent professionals connect to get work done.

Why Is UPWK a Top Pick?

  1. 8.9% annual increases in its average revenue per customer over the last two years show its platform is resonating with power users
  2. Performance over the past three years shows its incremental sales were extremely profitable, as its annual earnings per share growth of 166% outpaced its revenue gains
  3. Free cash flow margin increased by 31.3 percentage points over the last few years, giving the company more capital to invest or return to shareholders

Upwork’s stock price of $16 implies a valuation ratio of 10.5x forward EV/EBITDA. Is now a good time to buy? Find out in our full research report, it’s free for active Edge members.

RBC Bearings (RBC)

Consensus Price Target: $453.17 (14.2% implied return)

With a Guinness World Record for engineering the largest spherical plain bearing, RBC Bearings (NYSE: RBC) is a manufacturer of bearings and related components for the aerospace & defense, industrial, and transportation industries.

Why Is RBC on Our Radar?

  1. Annual revenue growth of 18.9% over the last five years was superb and indicates its market share increased during this cycle
  2. Demand for the next 12 months is expected to accelerate above its two-year trend as Wall Street forecasts robust revenue growth of 14.5%
  3. Disciplined cost controls and effective management resulted in a strong long-term operating margin of 20.2%, and its operating leverage amplified its profits over the last five years

RBC Bearings is trading at $396.82 per share, or 33x forward P/E. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free for active Edge members.

Bowhead Specialty (BOW)

Consensus Price Target: $35.67 (45.3% implied return)

Named after the Arctic bowhead whale known for navigating challenging waters, Bowhead Specialty Holdings (NYSE: BOW) is a specialty insurance company that provides customized coverage for complex and high-risk commercial sectors.

Why Will BOW Outperform?

  1. Net premiums earned surged by 39.9% annually over the past two years, reflecting strong market share gains this cycle
  2. Expected revenue growth of 20.3% for the next year suggests its market share will rise
  3. Additional sales over the last two years increased its profitability as the 53.7% annual growth in its earnings per share outpaced its revenue

At $24.54 per share, Bowhead Specialty trades at 1.8x forward P/B. Is now the right time to buy? Find out in our full research report, it’s free for active Edge members.

High-Quality Stocks for All Market Conditions

Trump’s April 2025 tariff bombshell triggered a massive market selloff, but stocks have since staged an impressive recovery, leaving those who panic sold on the sidelines.

Take advantage of the rebound by checking out our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.

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