Goldman Sachs analysts have set their sights on several stocks that could outperform in the future — even though most on Wall Street don’t think so. The firm screens stocks within its coverage universe for Buy ratings, and its analysts are divided, with most Wall Street analysts calling the stocks either neutral or sell. Bullish investors could use these stocks as a hedge against the broader market’s near-term slowdown after a volatile start to trading in October. For each company, Goldman’s 2025 EPS forecast is at least 2% higher than consensus estimates. The following stocks have room for at least 10% upside from their Sachs price targets. These names are slightly less popular on Wall Street, as less than 50% of analysts have buy ratings on them. Analyst Deep Mehta said in a Sept. 26 report, “These names appear to be under-appreciated by the market and may generate alpha for investors with a contrary view.” Take a look. Here are some companies with pricing data as of September 25: Online travel agency operator Tripadvisor is among them. The report said only 20% of Wall Street analysts gave the stock a buy rating. Shares have fallen nearly 32% so far this year. Analysts are bearish on the stock, with Cantor Fitzgerald beginning coverage on the stock last month with an “underweight” rating. “The company is launching new experiences and products at a healthy pace, but we believe the headwinds in the core hotel meta-business are too great,” the company said. On May 8, the company poured cold water on hopes of a sale and its stock price plummeted Nearly 29%. TripAdvisor said a special committee has determined that transactions with third parties are not in the best interests of the company and its shareholders. Shake Shack is also on Goldman’s list. The company’s forecast for 2025 earnings before interest, taxes, depreciation and amortization was 5% higher than Wall Street’s consensus estimate. Goldman Sachs analyst Christine Cho rates the stock a buy. Shake Shack is a brand with meaningful total addressable market and sales growth potential, she said in a Sept. 23 note to clients. Cho also noted that the company has “relevant concepts with lower than peer average exposure to low-income consumers that can increase guest frequency/attract new guests.” Shares of Shake Shack have soared 48% this year. ConAgra Brands is another name that Goldman Sachs likes more than the average analyst. The company last month placed ConAgra on its upgraded “Conviction List,” saying the company’s portfolio of frozen meals and snacks is well-aligned with current consumer trends. Packaged food company Conagra’s shares fell 9.1% last week after the company reported quarterly profit that missed analysts’ expectations. ConAgra did reiterate its guidance for fiscal 2025, however. The stock is up about 3% this year.
Goldman Sachs likes these stocks, but the rest of Wall Street doesn’t | Real Time Headlines
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