Wall Street’s bearish price targets for the stocks in this article signal serious concerns. Such forecasts are uncommon in an industry where maintaining cordial corporate relationships often trumps delivering the hard truth.
Whatever the consensus opinion may be, our team at StockStory cuts through the noise by conducting independent analysis to determine a company’s long-term prospects. That said, here is one stock where Wall Street’s pessimism is creating a buying opportunity and two where the skepticism is well-placed.
Two Stocks to Sell:
Deere (DE)
Consensus Price Target: $690.53 (0% implied return)
Revolutionizing agriculture with the first self-polishing cast-steel plow in the 1800s, Deere (NYSE: DE) manufactures and distributes advanced agricultural, construction, forestry, and turf care equipment.
Why Should You Sell DE?
- Annual sales declines of 7.4% for the past two years show its products and services struggled to connect with the market during this cycle
- Earnings per share have contracted by 21.7% annually over the last two years, a headwind for returns as stock prices often echo long-term EPS performance
- Eroding returns on capital suggest its historical profit centers are aging
Deere’s stock price of $690.34 implies a valuation ratio of 33.1x forward P/E. Check out our free in-depth research report to learn more about why DE doesn’t pass our bar.
Revvity (RVTY)
Consensus Price Target: $129 (-14.5% implied return)
Formerly known as PerkinElmer until its rebranding in 2023, Revvity (NYSE: RVTY) provides health science technologies and services that support the complete workflow from discovery to development and diagnosis to cure.
Why Do We Pass on RVTY?
- Products and services are facing significant end-market challenges during this cycle as sales have declined by 10.6% annually over the last five years
- Absence of organic revenue growth over the past two years suggests it may have to lean into acquisitions to drive its expansion
- Performance over the past five years shows each sale was less profitable as its earnings per share dropped by 15.7% annually, worse than its revenue
At $150.88 per share, Revvity trades at 26.6x forward P/E. To fully understand why you should be careful with RVTY, check out our full research report (it’s free).
One Stock to Watch:
W.W. Grainger (GWW)
Consensus Price Target: $1,332 (7.2% implied return)
Founded as a supplier of motors, W.W. Grainger (NYSE: GWW) provides maintenance, repair, and operating (MRO) supplies and services to businesses and institutions.
Why Does GWW Catch Our Eye?
- Highly efficient business model is illustrated by its impressive 14.8% operating margin, and its profits increased over the last five years as it scaled
- Share repurchases over the last five years enabled its annual earnings per share growth of 20.7% to outpace its revenue gains
- ROIC punches in at 37.8%, illustrating management’s expertise in identifying profitable investments
W.W. Grainger is trading at $1,243 per share, or 26.4x forward P/E. Is now the time to initiate a position? See for yourself in our full research report, it’s free.
Stocks We Like Even More
WHILE YOU’RE HERE: Top 9 Market-Beating Stocks. The best stocks don’t just beat the market once. They do it again. And again. Robust revenue growth, rising free cash flow, returns on capital that leave their competition in the dust. The market has already rewarded these businesses.
But our AI platform says the party isn’t over. Find out which 9 stocks made the cut this week — FREE. Get Our Top 9 Market-Beating 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.
