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. Keeping that in mind, here is one stock where Wall Street’s positive outlook is supported by strong fundamentals and two where analysts may be overlooking some important risks.
Two Stocks to Sell:
Apogee (APOG)
Consensus Price Target: $52 (38.1% implied return)
Involved in the design of the Apple Store on Fifth Avenue in New York City, Apogee (NASDAQ: APOG) sells architectural products and services such as high-performance glass for commercial buildings.
Why Do We Avoid APOG?
- Products and services are facing significant end-market challenges during this cycle as sales have declined by 1.3% annually over the last two years
- Demand will likely be soft over the next 12 months as Wall Street’s estimates imply tepid growth of 1%
- Falling earnings per share over the last two years has some investors worried as stock prices ultimately follow EPS over the long term
At $37.67 per share, Apogee trades at 9.4x forward P/E. Dive into our free research report to see why there are better opportunities than APOG.
CDW (CDW)
Consensus Price Target: $180.60 (30.7% implied return)
Serving as a crucial bridge between technology manufacturers and end users since 1984, CDW (NASDAQ: CDW) is a multi-brand provider of information technology solutions that helps businesses and public sector organizations select, implement, and manage hardware, software, and IT services.
Why Are We Wary of CDW?
- Sales stagnated over the last two years and signal the need for new growth strategies
- Anticipated sales growth of 2% for the next year implies demand will be shaky
- Flat earnings per share over the last two years lagged its peers
CDW is trading at $138.20 per share, or 13.7x forward P/E. Check out our free in-depth research report to learn more about why CDW doesn’t pass our bar.
One Stock to Watch:
Grid Dynamics (GDYN)
Consensus Price Target: $12 (30.3% implied return)
With engineering centers across the Americas, Europe, and India serving Fortune 1000 companies, Grid Dynamics (NASDAQ: GDYN) provides technology consulting, engineering, and analytics services to help large enterprises modernize their technology systems and business processes.
Why Could GDYN Be a Winner?
- Annual revenue growth of 29.1% over the past five years was outstanding, reflecting market share gains this cycle
- Earnings per share grew by 22.2% annually over the last five years and trumped its peers
- Rising returns on capital show the company is starting to reap the benefits of its past investments
Grid Dynamics’s stock price of $9.21 implies a valuation ratio of 22.2x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free for active Edge members.
High-Quality Stocks for All Market Conditions
The market’s up big this year - but there’s a catch. Just 4 stocks account for half the S&P 500’s entire gain. That kind of concentration makes investors nervous, and for good reason. While everyone piles into the same crowded names, smart investors are hunting quality where no one’s looking - and paying a fraction of the price. Check out the high-quality names we’ve flagged in our Top 5 Strong Momentum Stocks for this week. 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-small-cap company Exlservice (+354% 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.
