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3 of Wall Street’s Favorite Stocks on Our Buy List

TEAM Cover Image

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 are three stocks likely to meet or exceed Wall Street’s lofty expectations.

Atlassian (TEAM)

Consensus Price Target: $276.43 (36.7% implied return)

Founded by Australian co-CEOs Mike Cannon-Brookes and Scott Farquhar in 2002, Atlassian (NASDAQ: TEAM) provides software as a service that makes it easier for large teams of software developers to manage projects, especially in software development.

Why Do We Love TEAM?

  1. Winning new contracts that can potentially increase in value as its billings growth has averaged 14.7% over the last year
  2. Well-designed software integrates seamlessly with other workflows, enabling swift payback periods on marketing expenses and customer growth at scale
  3. Impressive free cash flow profitability enables the company to fund new investments or reward investors with share buybacks/dividends

At $202.28 per share, Atlassian trades at 9x forward price-to-sales. Is now a good time to buy? Find out in our full research report, it’s free.

UnitedHealth (UNH)

Consensus Price Target: $385.25 (24.9% implied return)

With over 100 million people served across its various businesses and a workforce of more than 400,000, UnitedHealth Group (NYSE: UNH) operates a health insurance business and Optum, a healthcare services division that provides everything from pharmacy benefits to primary care.

Why Should You Buy UNH?

  1. Enormous revenue base of $410.1 billion gives it leverage over plan holders and advantageous reimbursement terms with healthcare providers
  2. Share repurchases over the last five years enabled its annual earnings per share growth of 13.1% to outpace its revenue gains
  3. Market-beating returns on capital illustrate that management has a knack for investing in profitable ventures

UnitedHealth is trading at $308.38 per share, or 10x forward P/E. Is now the time to initiate a position? See for yourself in our comprehensive research report, it’s free.

Palomar Holdings (PLMR)

Consensus Price Target: $183 (23.3% implied return)

Founded in 2013 to fill gaps in catastrophe insurance markets, Palomar Holdings (NASDAQ: PLMR) is a specialty insurance provider that offers property and casualty insurance products in underserved markets, with a focus on earthquake coverage.

Why Will PLMR Beat the Market?

  1. Annual net premiums earned growth of 32.3% over the last two years was superb and indicates its market share increased during this cycle
  2. Annual book value per share growth of 35% over the last two years was superb and indicates its capital strength increased during this cycle
  3. Notable projected book value per share growth of 24.6% for the next 12 months hints at strong capital generation

Palomar Holdings’s stock price of $148.42 implies a valuation ratio of 4.5x forward P/B. Is now the right time to buy? Find out in our full research report, it’s free.

High-Quality Stocks for All Market Conditions

The market surged in 2024 and reached record highs after Donald Trump’s presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025.

While the crowd speculates what might happen next, we’re homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver’s seat and build a durable portfolio by checking out 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 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-micro-cap company Kadant (+351% 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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