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.
Unlike the investment banks, we created StockStory to provide independent analysis that helps you determine which companies are truly worth following. Keeping that in mind, here are three stocks likely to meet or exceed Wall Street’s lofty expectations.
Snap (SNAP)
Consensus Price Target: $7.28 (37.2% implied return)
Founded by Stanford University students Evan Spiegel, Reggie Brown, and Bobby Murphy, and originally called Picaboo, Snapchat (NYSE: SNAP) is an image centric social media network.
Why Are We Bullish on SNAP?
- Disciplined cost controls and effective management resulted in a strong two-year EBITDA margin of 13.2%, and its profits increased over the last few years as it scaled
- Incremental sales over the last three years have been highly profitable as its earnings per share increased by 36.4% annually, topping its revenue gains
- Free cash flow margin increased by 9.3 percentage points over the last few years, giving the company more capital to invest or return to shareholders
Snap’s stock price of $5.31 implies a valuation ratio of 7x forward EV/EBITDA. Is now the time to initiate a position? See for yourself in our full research report, it’s free.
Western Digital (WDC)
Consensus Price Target: $662.13 (52.2% implied return)
Founded in 1970 by a Motorola employee, Western Digital (NASDAQ: WDC) is a leading producer of hard disk drives, SSDs and flash memory.
Why Does WDC Stand Out?
- Sales outlook for the upcoming 12 months calls for 49.5% growth, an acceleration from its two-year trend
- Efficiency rose over the last five years as its Operating margin increased by 21.7 percentage points
- Free cash flow margin jumped by 23.1 percentage points over the last five years, giving the company more resources to pursue growth initiatives, repurchase shares, or pay dividends
Western Digital is trading at $434.90 per share, or 22.2x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.
The Ensign Group (ENSG)
Consensus Price Target: $220 (20.2% implied return)
Founded in 1999 and named after a naval term for a flag-bearing ship, The Ensign Group (NASDAQ: ENSG) operates skilled nursing facilities, senior living communities, and rehabilitation services across 15 states, primarily serving high-acuity patients recovering from various medical conditions.
Why Are We Positive on ENSG?
- Impressive 19.1% annual revenue growth over the last two years indicates it’s winning market share this cycle
- Expected revenue growth of 18.3% for the next year suggests its market share will rise
- Earnings growth has trumped its peers over the last five years as its EPS has compounded at 13.9% annually
At $182.98 per share, The Ensign Group trades at 22.1x forward P/E. Is now the right time to buy? See for yourself in our comprehensive research report, it’s free.
High-Quality Stocks for All Market Conditions
ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time.
Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+214% between June 2020 and June 2025). Find your next big winner with StockStory today.
