S&P 500   5,022.21
DOW   37,753.31
QQQ   425.84
ASML Fires Warning Shot For Tech Investors
Checking in with 5 Bitcoin Stocks Ahead of Bitcoin's Halving
Closing prices for crude oil, gold and other commodities
Lululemon’s P/E Is Back to 2017 Levels: Should You Buy the Dip?
Abbott Laboratories Outlook is Healthy: Buy the Dip
Prologis Stock Leading U.S. Logistics Boom
Johnson & Johnson’s Q1 Checkup: Mixed Results, Optimism Remains
S&P 500   5,022.21
DOW   37,753.31
QQQ   425.84
ASML Fires Warning Shot For Tech Investors
Checking in with 5 Bitcoin Stocks Ahead of Bitcoin's Halving
Closing prices for crude oil, gold and other commodities
Lululemon’s P/E Is Back to 2017 Levels: Should You Buy the Dip?
Abbott Laboratories Outlook is Healthy: Buy the Dip
Prologis Stock Leading U.S. Logistics Boom
Johnson & Johnson’s Q1 Checkup: Mixed Results, Optimism Remains
S&P 500   5,022.21
DOW   37,753.31
QQQ   425.84
ASML Fires Warning Shot For Tech Investors
Checking in with 5 Bitcoin Stocks Ahead of Bitcoin's Halving
Closing prices for crude oil, gold and other commodities
Lululemon’s P/E Is Back to 2017 Levels: Should You Buy the Dip?
Abbott Laboratories Outlook is Healthy: Buy the Dip
Prologis Stock Leading U.S. Logistics Boom
Johnson & Johnson’s Q1 Checkup: Mixed Results, Optimism Remains
S&P 500   5,022.21
DOW   37,753.31
QQQ   425.84
ASML Fires Warning Shot For Tech Investors
Checking in with 5 Bitcoin Stocks Ahead of Bitcoin's Halving
Closing prices for crude oil, gold and other commodities
Lululemon’s P/E Is Back to 2017 Levels: Should You Buy the Dip?
Abbott Laboratories Outlook is Healthy: Buy the Dip
Prologis Stock Leading U.S. Logistics Boom
Johnson & Johnson’s Q1 Checkup: Mixed Results, Optimism Remains

5 Stocks That Have Massive Upside According to Analysts

analysts ratings stocks

Key Points

  • While not perfect, analyst ratings are frequently a solid predictor of future stock price movement.
  • The MarketBeat Analyst Ratings Screener tool is a resource to help you find stocks that are favored by analysts.
  • Here are five stocks that analysts believe have massive upside for patient, long-term investors. 
  • 5 stocks we like better than Amazon.com

Analyst ratings are not perfect, but they're one of the better ways for investors to forecast future stock price movement. Here are five stocks that analysts believe have massive upside for patient, long-term investors.  

I found these stocks using the MarketBeat Analyst Ratings Screener tool. This is an excellent way to help you find stocks that are getting upgrades in the sectors and/or price ranges that fit your investment style. 

The Comeback Story is Gaining Steam 

Amazon.com, Inc. NASDAQ: AMZN stock is up 49% in 2023. Despite that surge, the stock is "only" up 6.75% in the last 12 months and has fallen back in the recent market sell-off. That just illustrates how lousy investor sentiment was in AMZN stock in 2022.  

It wasn't without reason. The company's earnings were down sharply, and it wasn't just about normalization in the company's e-commerce business. There was a slowdown in the company's Amazon Web Services (AWS) business as well.  

Some investors were also concerned that Amazon would be late to the artificial intelligence (AI) party. That may be true, but its recent announcement of an investment of up to $4 billion in Anthropic. This puts Amazon squarely into the generative AI conversation. It also provides an outlet for Amazon's Trainium and Inferentia chips, which Anthropic will use to build future large language models.  


All of that explains why AMZN stock has a Moderate Buy rating with a $161.30 price target that is 27.8% higher than its price as of this writing.  

This Stock is Worth Its Premium Valuation 

Its shares trade hands for over $1,800 per share. It has a forward P/E ratio of 42.3x. Despite all of that, Chipotle Mexican Grill, Inc. NYSE: CMG still appears to be an attractive buy. And CMG stock looks slightly oversold, with the stock down 12% in the last three months. 

The company continues to post higher year-over-year revenue and earnings. However, in its most recent quarter, it missed slightly on analysts' revenue expectations. That gave investors a reason to take a little profit. But the long-term story hasn't changed. Analysts still give the stock a Moderate Buy rating with a price target that is 19% higher than its current price. CMG stock remains a Buy.  

Analysts Continue to Buy This Oversold Stock 

Even dollar stores are not immune to inflationary pressures. In its earnings report for fiscal year (FY)2023, Dollar General NYSE: DG forecast slower sales for the rest of the year as consumers continue to pull back on discretionary spending.  

Not surprisingly, DG stock has been severely punished; it's down 57% in 2023. However, institutional investors (i.e., the smart money) still own 90% of the company's stock, and buyers continue to outnumber sellers. So even though analysts give Dollar General a consensus Hold, they have a price target that shows a 48% upside.  

Dollar General's business model puts its stores in predominantly rural areas that are not near big box stores. That makes them a lifeline for many consumers looking to find low-priced items without traveling far. And the company continues to launch new stores. 

With DG stock trading near its 52-week low, it looks like a great time to pick up some inexpensive shares.  

Short-Term Pain May be Worth Enduring 

When you're looking at taking a long position in any stock, a couple of years is a relatively short time. T-Mobile US, Inc. NASDAQ: TMUS is one of the leading global telecommunication companies. Earnings are up even as revenue is down, but investors still can't seem to get excited about TMUS stock. 

There's a reason for that. SoftBank OTCMKTS: SFTBY was the majority shareholder in Sprint. When T-Mobile merged with Sprint, SoftBank agreed to forfeit 48.8 million TMUS shares. However, under the terms of the merger, SoftBank can reclaim those shares if T-Mobile's stock price is over $150 for 45 days between 2022 and 2025.  

Sure enough, every time TMUS stock has cracked the $150 mark, the sell-off begins. That's likely to continue in the short term. Investors also aren't that excited about the company's dividend announcement as it implies that management believes the stock is fairly valued.  

Nevertheless, with inflation on the rise, the dividend gives long-term investors an incentive to hold TMUS stock. And with mobile phones being a relatively recession-proof item, patience is likely to be rewarded.  

Investors May be Missing the Catalyst for this Pharmaceutical Stock 

Pfizer, Inc. NYSE: PFE stock is down 37% in 2023, and the drop is even more pronounced since hitting an all-time high in December 2021. The conventional wisdom supports the pullback due to the normalization of the company's Covid-19-related products.  

But that may be missing the bigger picture. First, the company's acquisition of Seagen, Inc. (NASDAQ: SGEN) is likely to go through over the objection of some regulators. This will enhance Pfizer's oncology portfolio. And even without Seagen, the company has 19 drug candidates in its pipeline that are expected to be approved in the next 18 months.  

Analysts are seeing this. The consensus rating is Hold, but the price target is 44% higher than the current PFE stock price, which is around $32 as of this writing.  

Of the stocks on this list, Pfizer is still projecting that its earnings will decline slightly in the next 12 months. That may put pressure on PFE stock. However, building a position now is likely to pay off in years to come.  

→ Top 5 Tech Stocks to Buy for 2024 (From Daily Market Alerts) (Ad)

Should you invest $1,000 in Amazon.com right now?

Before you consider Amazon.com, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Amazon.com wasn't on the list.

While Amazon.com currently has a "Buy" rating among analysts, top-rated analysts believe these five stocks are better buys.

View The Five Stocks Here

7 Stocks to Own Before the 2024 Election Cover

Looking to avoid the hassle of mudslinging, volatility, and uncertainty? You'd need to be out of the market, which isn’t viable. So where should investors put their money? Find out with this report.

Get This Free Report

Companies Mentioned in This Article

CompanyMarketRank™Current PricePrice ChangeDividend YieldP/E RatioConsensus RatingConsensus Price Target
Amazon.com (AMZN)
4.9525 of 5 stars
$181.28-1.1%0.11%62.51Buy$202.80
Chipotle Mexican Grill (CMG)
4.0049 of 5 stars
$2,900.71-1.4%N/A65.40Moderate Buy$2,719.86
Dollar General (DG)
4.1124 of 5 stars
$144.47-0.4%1.63%19.11Hold$153.08
T-Mobile US (TMUS)
4.959 of 5 stars
$160.09+0.2%1.62%23.10Buy$185.93
SoftBank Group (SFTBY)
0.2826 of 5 stars
$25.03-4.3%0.36%-17.26HoldN/A
Pfizer (PFE)
4.9926 of 5 stars
$25.41-1.1%6.61%70.57Hold$36.88
Seagen (SGEN)
0.2803 of 5 stars
$228.74flatN/A-57.04Hold$229.00
Compare These Stocks  Add These Stocks to My Watchlist 

Chris Markoch

About Chris Markoch

  • CTMarkoch@msn.com

Editor & Contributing Author

Retirement, Individual Investing

Experience

Chris Markoch has been an editor & contributing writer for MarketBeat since 2018.

Areas of Expertise

Value investing, retirement stocks, dividend stocks

Education

Bachelor of Arts, The University of Akron

Past Experience

InvestorPlace


Featured Articles and Offers

How to Become a "Make Money" Investor

How to Become a "Make Money" Investor

Whether you're a seasoned investor or just starting, this video offers valuable insights into making strategic choices that prioritize long-term growth and stability over short-term gains.

Search Headlines: