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1 of Wall Street’s Favorite Stock to Target This Week and 2 We Question

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The stocks in this article have caught Wall Street’s attention in a big way, with price targets implying returns above 20%. But investors should take these forecasts with a grain of salt because analysts typically say nice things about companies so their firms can win business in other product lines like M&A advisory.

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 is one stock where Wall Street’s excitement appears well-founded and two where analysts may be overlooking some important risks.

Two Stocks to Sell:

MasterCraft (MCFT)

Consensus Price Target: $23.25 (22% implied return)

Started by a waterskiing instructor, MasterCraft (NASDAQ: MCFT) specializes in designing, manufacturing, and selling sport boats.

Why Should You Dump MCFT?

  1. Number of boats sold has disappointed over the past two years, indicating weak demand for its offerings
  2. Ability to fund investments or reward shareholders with increased buybacks or dividends is restricted by its weak free cash flow margin of 11.1% for the last two years
  3. Waning returns on capital from an already weak starting point displays the inefficacy of management’s past and current investment decisions

At $19.07 per share, MasterCraft trades at 14.7x forward P/E. Read our free research report to see why you should think twice about including MCFT in your portfolio.

ICU Medical (ICUI)

Consensus Price Target: $180.83 (22.9% implied return)

Founded in 1984 and named for its initial focus on intensive care units, ICU Medical (NASDAQ: ICUI) develops and manufactures medical products for infusion therapy, vascular access, and vital care applications used in hospitals and other healthcare settings.

Why Should You Sell ICUI?

  1. 2.1% annual revenue growth over the last two years was slower than its healthcare peers
  2. Projected sales decline of 7.7% for the next 12 months points to a tough demand environment ahead
  3. Free cash flow margin shrank by 11.7 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive

ICU Medical’s stock price of $147.13 implies a valuation ratio of 19.8x forward P/E. To fully understand why you should be careful with ICUI, check out our full research report (it’s free for active Edge members).

One Stock to Buy:

Samsara (IOT)

Consensus Price Target: $50.36 (31.6% implied return)

From sensors on vehicles to AI-powered cameras that help prevent accidents, Samsara (NYSE: IOT) is a cloud-based Internet of Things platform that helps businesses improve the safety, efficiency, and sustainability of their physical operations.

Why Should You Buy IOT?

  1. Customers view its software as mission-critical to their operations as its ARR has averaged 30.5% growth over the last year
  2. Fast payback periods on sales and marketing expenses allow the company to invest heavily and onboard many customers concurrently
  3. Operating margin expanded by 19.7 percentage points over the last year as it scaled and became more efficient

Samsara is trading at $38.26 per share, or 12.5x forward price-to-sales. Is now the time to initiate a position? Find out in our full research report, it’s free for active Edge members.

High-Quality Stocks for All Market Conditions

The market’s up big this year - but there’s a catch. Just 4 stocks account for half the S&P 500’s entire gain. That kind of concentration makes investors nervous, and for good reason. While everyone piles into the same crowded names, smart investors are hunting quality where no one’s looking - and paying a fraction of the price. Check out the high-quality names we’ve flagged in our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 244% over the last five years (as of June 30, 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% 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.

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