
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. Keeping that in mind, here are three stocks where Wall Street’s positive outlook is supported by strong fundamentals.
Upwork (UPWK)
Consensus Price Target: $14.56 (66.8% implied return)
Formed through the 2013 merger of Elance and oDesk, Upwork (NASDAQ:UPWK) is an online platform where businesses and independent professionals connect to get work done.
Why Are We Positive On UPWK?
- Monetization efforts are paying off as its average revenue per customer has grown by 10.1% annually over the last two years
- Incremental sales over the last three years have been highly profitable as its earnings per share increased by 239% annually, topping its revenue gains
- Impressive free cash flow profitability enables the company to fund new investments or reward investors with share buybacks/dividends, and its recently improved profitability means it has even more resources to invest or distribute
Upwork’s stock price of $8.73 implies a valuation ratio of 4.7x forward EV/EBITDA. Is now the right time to buy? Find out in our full research report, it’s free.
Matrix Service (MTRX)
Consensus Price Target: $20 (64% implied return)
Founded in Oklahoma, Matrix Service (NASDAQ:MTRX) provides engineering, fabrication, construction, and maintenance services primarily to the energy and industrial markets.
Why Are We Fans of MTRX?
- Sales outlook for the upcoming 12 months calls for 12% growth, an acceleration from its two-year trend
- Additional sales over the last two years increased its profitability as the 58.2% annual growth in its earnings per share outpaced its revenue
- Free cash flow margin jumped by 8 percentage points over the last five years, giving the company more resources to pursue growth initiatives, repurchase shares, or pay dividends
At $12.20 per share, Matrix Service trades at 17.6x forward P/E. Is now a good time to buy? See for yourself in our in-depth research report, it’s free.
Mastercard (MA)
Consensus Price Target: $648.61 (30.6% implied return)
Recognizable by its iconic "Priceless" advertising campaign that has run in over 120 countries, Mastercard (NYSE:MA) operates a global payments network that connects consumers, financial institutions, merchants, and businesses, enabling electronic transactions and providing payment solutions.
Why Will MA Outperform?
- Annual revenue growth of 17% over the last five years was superb and indicates its market share increased during this cycle
- Share repurchases over the last five years enabled its annual earnings per share growth of 23.1% to outpace its revenue gains
- Industry-leading 174% return on equity demonstrates management’s skill in finding high-return investments
Mastercard is trading at $496.74 per share, or 24.7x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.
Stocks We Like Even More
ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively.
Find out which 5 stocks it's flagging for this month - FREE. Get Our Top 5 Growth Stocks for Free HERE.
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 Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.