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.
Two Stocks to Sell:
Nature's Sunshine (NATR)
Consensus Price Target: $20 (45.3% implied return)
Started on a kitchen table in Utah, Nature’s Sunshine (NASDAQ: NATR) manufactures and sells nutritional and personal care products.
Why Are We Hesitant About NATR?
- Products fail to spark excitement with consumers, as seen in its flat sales over the last three years
- Revenue base of $456.6 million puts it at a disadvantage compared to larger competitors exhibiting economies of scale
- Earnings per share fell by 20.6% annually over the last three years while its revenue was flat, showing each sale was less profitable
Nature's Sunshine’s stock price of $13.76 implies a valuation ratio of 17.9x forward P/E. If you’re considering NATR for your portfolio, see our FREE research report to learn more.
MRC Global (MRC)
Consensus Price Target: $15 (22.4% implied return)
Producing bomb casings and tracks for vehicles during WWII, MRC (NYSE: MRC) offers pipes, valves, and fitting products for various industries.
Why Do We Avoid MRC?
- Products and services are facing significant end-market challenges during this cycle as sales have declined by 2.9% annually over the last five years
- Earnings per share have dipped by 44.4% annually over the past two years, which is concerning because stock prices follow EPS over the long term
- Low returns on capital reflect management’s struggle to allocate funds effectively
At $12.25 per share, MRC Global trades at 10.4x forward P/E. Read our free research report to see why you should think twice about including MRC in your portfolio.
One Stock to Watch:
MongoDB (MDB)
Consensus Price Target: $262.34 (46.9% implied return)
Started in 2007 by the team behind Google’s ad platform, DoubleClick, MongoDB offers database-as-a-service that helps companies store large volumes of semi-structured data.
Why Could MDB Be a Winner?
- ARR trends over the last year show it’s maintaining a steady flow of long-term contracts that contribute positively to its revenue predictability
- Customers use its software daily and increase their spending every year, as seen in its 119% net revenue retention rate
- Free cash flow margin is forecasted to grow by 5.1 percentage points in the coming year, potentially giving the company more chips to play with
MongoDB is trading at $178.60 per share, or 6.7x forward price-to-sales. Is now a good time to buy? Find out in our full research report, it’s free.
Stocks That Overcame Trump’s 2018 Tariffs
Market indices reached historic highs following Donald Trump’s presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth.
While this has caused many investors to adopt a "fearful" wait-and-see approach, we’re leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market 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 176% over the last five years.
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-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today for free.
