Wall Street has issued downbeat forecasts for the stocks in this article. These predictions are rare - financial institutions typically hesitate to say bad things about a company because it can jeopardize their other revenue-generating business lines like M&A advisory.
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. Keeping that in mind, here are two stocks where you should be greedy instead of fearful and one where the skepticism is well-placed.
One Stock to Sell:
Myriad Genetics (MYGN)
Consensus Price Target: $7.77 (-1.6% implied return)
Founded in 1991 as one of the pioneers in translating genetic discoveries into clinical applications, Myriad Genetics (NASDAQ: MYGN) develops genetic tests that assess disease risk, guide treatment decisions, and provide insights across oncology, women's health, and mental health.
Why Should You Sell MYGN?
- Muted 5.5% annual revenue growth over the last five years shows its demand lagged behind its healthcare peers
- Push for growth has led to negative returns on capital, signaling value destruction, and its falling returns suggest its earlier profit pools are drying up
- Eroding returns on capital from an already low base indicate that management’s recent investments are destroying value
At $7.90 per share, Myriad Genetics trades at 189.8x forward P/E. Read our free research report to see why you should think twice about including MYGN in your portfolio.
Two Stocks to Watch:
ResMed (RMD)
Consensus Price Target: $294.73 (9.2% implied return)
Founded in 1989 to address the then-underdiagnosed condition of sleep apnea, ResMed (NYSE: RMD) develops cloud-connected medical devices and software solutions that treat sleep apnea, COPD, and other respiratory disorders for home and clinical use.
Why Could RMD Be a Winner?
- Business is well-positioned no matter the global macroeconomic backdrop as its constant currency revenue growth averaged 10.3% over the past two years
- Additional sales over the last five years increased its profitability as the 14.9% annual growth in its earnings per share outpaced its revenue
- Free cash flow margin expanded by 12.5 percentage points over the last five years, providing additional flexibility for investments and share buybacks/dividends
ResMed’s stock price of $270 implies a valuation ratio of 25x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free for active Edge members.
JPMorgan Chase (JPM)
Consensus Price Target: $325 (9.1% implied return)
Tracing its roots back to 1799 when its earliest predecessor was founded by Aaron Burr, JPMorgan Chase (NYSE: JPM) is a leading financial services company offering investment banking, consumer banking, commercial banking, and asset management services globally.
Why Is JPM on Our Radar?
- Unique value proposition resonates with borrowers, as seen in its above-market 11.3% annual net interest income growth over the last five years
- Share repurchases have amplified shareholder returns as its annual earnings per share growth of 9% exceeded its revenue gains over the last two years
- Annual tangible book value per share growth of 10.6% over the past five years was outstanding, reflecting strong capital accumulation this cycle
JPMorgan Chase is trading at $298 per share, or 2.4x forward P/B. Is now a good time to buy? See for yourself in our full research report, it’s free for active Edge members.
Stocks We Like Even More
Trump’s April 2025 tariff bombshell triggered a massive market selloff, but stocks have since staged an impressive recovery, leaving those who panic sold on the sidelines.
Take advantage of the rebound by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today
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