1 of Wall Street's Favorite Stock Worth Investigating and 2 to Be Wary Of
Wall Street is overwhelmingly bullish on the stocks in this article, with price targets suggesting significant upside potential. However, it's worth remembering that analysts rarely issue sell ratings, partly because their firms often seek other business from the same companies they cover.
At StockStory, we look beyond the headlines with our independent analysis to determine whether these bullish calls are justified. Keeping that in mind, here is one stock likely to meet or exceed Wall Street's lofty expectations and two where analysts may be overlooking some important risks.
Consensus Price Target: $17.14 (22.2% implied return)
With over 2,400 hours of local news produced weekly and 640 broadcast channels reaching millions of American homes, Sinclair (NASDAQ:SBGI) operates a network of 185 local television stations across 86 U.S. markets, producing news programming and distributing content from major networks.
Why Should You Sell SBGI?
Sales tumbled by 7.2% annually over the last five years, showing market trends are working against its favor during this cycle
Estimated sales decline of 9.2% for the next 12 months implies a challenging demand environment
Incremental sales over the last two years were much less profitable as its earnings per share fell by 25.1% annually while its revenue grew
At $14.03 per share, Sinclair trades at 2.3x forward EV-to-EBITDA. Dive into our free research report to see why there are better opportunities than SBGI.
Consensus Price Target: $16.13 (27.2% implied return)
Founded in 1989 as a pioneer in regenerative medicine technology, Integra LifeSciences (NASDAQ:IART) develops and manufactures medical technologies for neurosurgery, wound care, and surgical reconstruction, including regenerative tissue products and surgical instruments.
Why Do We Pass on IART?
Organic revenue growth fell short of our benchmarks over the past two years and implies it may need to improve its products, pricing, or go-to-market strategy
Earnings per share fell by 1.2% annually over the last five years while its revenue grew, showing its incremental sales were much less profitable
Free cash flow margin shrank by 17.1 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive
Integra LifeSciences's stock price of $12.68 implies a valuation ratio of 4.9x forward P/E. To fully understand why you should be careful with IART, check out our full research report (it's free).
Consensus Price Target: $129.31 (71.2% implied return)
Pioneering the "Find, Fight and Follow" approach to disease management, Lantheus Holdings (NASDAQGM:LNTH) develops and commercializes radiopharmaceuticals and other imaging agents that help healthcare professionals detect, diagnose, and treat diseases.
Why Do We Like LNTH?
Impressive 34.3% annual revenue growth over the last five years indicates it's winning market share this cycle
Free cash flow margin increased by 29.5 percentage points over the last five years, giving the company more capital to invest or return to shareholders
Improving returns on capital reflect management's ability to monetize investments
Lantheus is trading at $75.54 per share, or 10.5x forward P/E. Is now the right time to buy? Find out in our full research report, it's free.
The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025.
While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 5 Growth Stocks for this month. 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 Kadant (+351% five-year return). Find your next big winner with StockStory today for free.
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