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.
At StockStory, we look beyond the headlines with our independent analysis to determine whether these bullish calls are justified. That said, here are two stocks where Wall Street’s excitement appears well-founded and one where its enthusiasm might be excessive.
One Stock to Sell:
EVgo (EVGO)
Consensus Price Target: $6.54 (119% implied return)
Created through a settlement between NRG Energy and the California Public Utilities Commission, EVgo (NASDAQ: EVGO) is a provider of electric vehicle charging solutions, operating fast charging stations across the United States.
Why Does EVGO Fall Short?
- Persistent operating margin losses suggest the business manages its expenses poorly
- Negative free cash flow raises questions about the return timeline for its investments
- Limited cash reserves may force the company to seek unfavorable financing terms that could dilute shareholders
EVgo is trading at $2.99 per share, or 11.4x forward EV-to-EBITDA. Read our free research report to see why you should think twice about including EVGO in your portfolio.
Two Stocks to Watch:
Coupang (CPNG)
Consensus Price Target: $32.91 (69.5% implied return)
Founded in 2010 by Harvard Business School student Bom Kim, Coupang (NYSE: CPNG) is an e-commerce giant often referred to as the "Amazon of South Korea".
Why Could CPNG Be a Winner?
- Has the opportunity to boost monetization through new features and premium offerings as its active customers have grown by 11.2% annually over the last two years
- Incremental sales significantly boosted profitability as its annual earnings per share growth of 35.4% over the last three years outstripped its revenue performance
- Free cash flow margin increased by 9.1 percentage points over the last few years, giving the company more capital to invest or return to shareholders
At $19.42 per share, Coupang trades at 17.5x forward EV/EBITDA. Is now the right time to buy? Find out in our full research report, it’s free.
LPL Financial (LPLA)
Consensus Price Target: $450.85 (16.4% implied return)
As the nation's largest independent broker-dealer with no proprietary products of its own, LPL Financial (NASDAQ: LPLA) provides technology, compliance, and business support services to independent financial advisors and institutions who manage investments for retail clients.
Why Are We Backing LPLA?
- Market share has increased this cycle as its 30% annual revenue growth over the last two years was exceptional
- Incremental sales significantly boosted profitability as its annual earnings per share growth of 25.5% over the last five years outstripped its revenue performance
- ROE punches in at 37.9%, illustrating management’s expertise in identifying profitable investments
LPL Financial’s stock price of $387.25 implies a valuation ratio of 15.8x forward P/E. Is now the time to initiate a position? See for yourself in our comprehensive research report, it’s free.
High-Quality Stocks for All Market Conditions
If your portfolio success hinges on just 4 stocks, your wealth is built on fragile ground. You have a small window to secure high-quality assets before the market widens and these prices disappear.
Don’t wait for the next volatility shock. Check out our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 244% over the last five years (as of June 30, 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 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.
