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.
Luckily for you, we at StockStory have no conflicts of interest - our sole job is to help you find genuinely promising companies. That said, here are two stocks likely to meet or exceed Wall Street’s lofty expectations and one where analysts may be overlooking some important risks.
One Stock to Sell:
Align Technology (ALGN)
Consensus Price Target: $208.60 (30.6% implied return)
Pioneering an alternative to traditional metal braces with nearly invisible plastic aligners, Align Technology (NASDAQ: ALGN) designs and manufactures Invisalign clear aligners, iTero intraoral scanners, and dental CAD/CAM software for orthodontic and restorative treatments.
Why Are We Hesitant About ALGN?
- Annual revenue growth of 2.5% over the last two years was below our standards for the healthcare sector
- Earnings per share lagged its peers over the last five years as they only grew by 1.4% annually
- Diminishing returns on capital suggest its earlier profit pools are drying up
At $159.78 per share, Align Technology trades at 13.4x forward P/E. Dive into our free research report to see why there are better opportunities than ALGN.
Two Stocks to Watch:
Armstrong World (AWI)
Consensus Price Target: $210.18 (23% implied return)
Started as a two-man shop dating back to the 1860s, Armstrong (NYSE: AWI) provides ceiling and wall products to commercial and residential spaces.
Why Is AWI a Top Pick?
- Market share has increased this cycle as its 12% annual revenue growth over the last two years was exceptional
- Healthy operating margin of 25% shows it’s a well-run company with efficient processes, and its profits increased over the last five years as it scaled
- Free cash flow margin increased by 6.8 percentage points over the last five years, giving the company more capital to invest or return to shareholders
Armstrong World’s stock price of $170.93 implies a valuation ratio of 18.8x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.
Gevo (GEVO)
Consensus Price Target: $5.41 (223% implied return)
Operating one of the largest dairy-based renewable natural gas facilities in the United States, Gevo (NASDAQ: GEVO) produces sustainable aviation fuel and other renewable hydrocarbon fuels from plant-based feedstocks like corn.
Why Are We Fans of GEVO?
- Market share has increased this cycle as its 19.6% annual revenue growth over the last ten years was exceptional
- EBITDA margin improvement of 8,384.8 percentage points over the last five years demonstrates its ability to scale efficiently
Gevo is trading at $1.67 per share, or 8x forward EV-to-EBITDA. Is now the right time to buy? See for yourself in our in-depth research report, it’s free.
Stocks We Like Even More
ONE MORE THING: Top 6 Stocks for This Week. This market is separating quality stocks from expensive ones fast. AI is taking down whole sectors with no warning. In a rotation this fast, you need more than a list of good companies.
Our AI system flagged Palantir before it ran 1,662% between October 2022 and February 2026. AppLovin before it ran 753% between February 2024 and February 2026. Nvidia before it ran 1,178% between January 2023 and February 2026. Each week it produces 6 new names that pass the same tests. Get Our Top 6 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-small-cap company Comfort Systems (+1,154% between June 2020 and June 2025). Find your next big winner with StockStory today.
