10 High-Flying Stocks to Buy Now

6) Diebold Nixdorf, Incorporated (NYSE:DBD)

% Increase on a YTD Basis: ~52%

Expected Upside Potential: 33.50%

Number of Hedge Fund Holdings: 18

Diebold Nixdorf, Incorporated (NYSE:DBD) is engaged in providing software and hardware services for financial and retail industries.

Diebold Nixdorf, Incorporated (NYSE:DBD) continues to target a free cash flow conversion rate of more than 25% of adjusted EBITDA. In Q2 2024, the company’s retail service business saw healthy growth, thanks to the expansion of the install base and improved product profitability. Diebold Nixdorf, Incorporated (NYSE:DBD) remains optimistic regarding long-term investment in self-service and automation at the checkout. In the recent earnings call, the company highlighted a strong value creation story, with a $1 billion product backlog and gross margin expansion. Also, it expects to achieve greater FCF conversion over the upcoming 12 to 24 months.

The company’s management is optimistic about the potential for growth in recycling technology, primarily among smaller banks in North America and large government banks in Brazil. Diebold Nixdorf, Incorporated (NYSE:DBD) focuses on strengthening its business model to drive more profitable and linear revenue. This should enable the company to optimize working capital and report more consistent cash flow on a quarter-by-quarter basis.

Diebold Nixdorf, Incorporated (NYSE:DBD) raised its full-year adjusted EBITDA guidance to between $435 million to $450 million. This improvement reflects higher profitability for the year as a result of continuous improvement efforts.

DA Davidson upped its target price on the shares of Diebold Nixdorf, Incorporated (NYSE:DBD) from $55.00 to $65.00, giving a “Buy” rating on 9^th August. At the end of Q2 2024, 18 hedge funds reported owning stakes in Diebold Nixdorf, Incorporated (NYSE:DBD) according to Insider Monkey’s database.