In this article, we will discuss the 15 stocks that will go to the moon according to analysts.
The Stock Market Under Trump Admin
While stocks initially fell based on worries regarding Trump tariffs on America’s major trading partners, major indexes recovered from their initial losses as the President delayed tariffs on Mexico. He agreed to a 30-day pause on tariffs on Mexico and Canada in return for the two countries bolstering border enforcement to halt fentanyl smuggling and money laundering.
Reuters reported that Trump raising tariffs on steel and aluminum imports to a flat 25% pushed up share prices of US steelmakers. The chaos around tariffs doesn’t end here. According to CNN, the President is looking to pursue more tariffs. Trump has been keen on reciprocal tariffs and wants agencies to investigate plans for new reciprocal tariffs that would increase America’s revenue. He reiterated this keenness saying:
“They charge us a tax or tariff and we charge them the exact same”
These tariffs are expected to hit developing countries, especially India, Brazil, Vietnam, and other Southeast Asian and African countries, considering the large gap in tariff rates charged on US goods brought into these nations relative to what the United States charges them.
On February 14, the New York Times reported that global stock markets are holding up after Trump revealed his plan for reciprocal tariffs against all trading partners. While some countries such as Vietnam, India, and Taiwan have said that they would import specific US goods more, French winemakers are ramping up shipments to the country before levies. The threat of tariffs continues to result in uncertainty, regarding how they could be inflationary and potentially spook investors.
Sucharita Kodali, Retail Analyst at Forrester Research, appeared on CNBC to talk about the potential impact of tariffs on companies. In her opinion, all US companies would face some kind of challenges, with higher prices for both consumers as well as these firms. Based on her analysis, this is going to result in 20 basis points to a 150 basis points negative impact on the US GDP. Meanwhile, RBC’s Tom Narayan previously told CNBC that auto stocks will be the hardest hit by Trump’s Canada and Mexico tariffs, which are being deemed really inflationary and disruptive for the US auto consumer.
With that being said, let’s move to the 15 stocks that will go to the moon according to analysts.
A portfolio manager studying various stocks and other securities on a tablet.
Our Methodology:
We used a stock screener to find stocks which had the highest average upside potential (at least 25%), as of February 24. The 15 stocks that will go to the moon according to analysts have been arranged in ascending order of their average upside potential. Please note that we excluded penny stocks from our screening criteria. We have also mentioned the hedge fund sentiment for these stocks, as of Q4 2024.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
15 Stocks That Will Go to The Moon According to Analysts
15. Biogen Inc. (NASDAQ:BIIB)
Average Upside Potential: 25.50%
Number of Hedge Fund Holders: 52
Biogen Inc. (NASDAQ:BIIB) is a leading biotechnology company founded in 1978. The firm pioneers innovative science for delivering medicines to transform the lives of patients. Biogen’s therapies are available in over 80 countries.
While Biogen’s technology and engineering capabilities enable its high-quality medicines to come to market, its deep scientific expertise makes the firm a leader in the research and development of medicines. Biogen continues to execute its strategy for long-term sustainable growth while showcasing its innovation capabilities. The firm launched four first-in-class, disease-modifying products in key areas of Alzheimer’s, Friedreich’s ataxia, depression, and ALS (amyotrophic lateral sclerosis) last year while successfully lowering operating expenses to focus on growth investments.
RBC Capital has maintained an Outperform rating on the stock while lowering the price target from $231 to $225. According to the firm, Biogen streamlining its research and development priorities as well as optimizing expenses has resulted in a stronger core business structure. Recently, the stock also received a Buy from George Farmer from Scotiabank alongside a price target of $224.
14. Micron Technology, Inc. (NASDAQ:MU)
Average Upside Potential: 26.97%
Number of Hedge Fund Holders: 94
Micron Technology, Inc. (NASDAQ:MU) is a manufacturer and supplier of storage and memory products that began as a four-person semiconductor design company in 1978. The company has a portfolio of high-performance DRAM, NAND, and NOR memory and storage products through its Micron and Crucial brands.
Micron has been a global leader in innovative memory and storage solutions for more than 45 years. With advanced memory solutions, the company is in an attractive position amid rising AI and data center demand. Delaware Funds by Macquarie, an investment management company, released its “Delaware Ivy Core Equity Fund” Q3 2024 investor letter, stating the following:
“Micron Technology, Inc. (NASDAQ:MU) – Fundamentals here also appear solid though concern about global demand for handsets and PCs drove the shares down during the quarter. We expect Micron to be a significant beneficiary of growth in AI demand as investment in new data centers is extremely memory (semiconductor) intensive.”
Citi has reiterated a Buy rating on Micron Technology, Inc. (NASDAQ:MU), with a $150 price target. Micron stated at a conference that its May quarter gross margin is expected to decline by a few hundred basis points sequentially, short of the firm’s initial projection of a slight increase. Despite the disappointing guidance, the reasons for Citi’s optimism are based on the company’s artificial intelligence high bandwidth memory opportunity as well as a recovery for the DRAM market during the spring.
13. Constellation Brands, Inc. (NYSE:STZ)
Average Upside Potential: 34.68%
Number of Hedge Fund Holders: 51
Constellation Brands, Inc. (NYSE:STZ) is an international producer and marketer of beer, wine, and spirits. The company has operations in the United States, Mexico, New Zealand, and Italy.
The leading beverage alcohol company is built upon the strength of its powerful and high-quality brands including Corona Extra, Modelo Especial, Kim Crawford, Meiomi, The Prisoner Wine Company, High West, and Mi CAMPO. The company serves as one of the top growth contributors at retail among beverage alcohol suppliers in the US while being the second-largest beer company in the country. STZ continues to strengthen its leadership position as the top share gainer in the high-end beer segment and the overall US beer market.
On February 3, RBC Capital analyst Nik Modi reiterated a Buy rating on Constellation Brands, Inc. (NYSE:STZ) while setting a price target of $293.00. However, under the current circumstances, the company is being named among some of the most exposed to Trump tariffs, with approximately 85% of its revenue coming from Mexican imports. Previously, the company received a downgrade from Piper Sandler on tariff risks.
12. Novo Nordisk A/S (NYSE:NVO)
Average Upside Potential: 38.53%
Number of Hedge Fund Holders: 64
Novo Nordisk A/S (NYSE:NVO) is a global healthcare company which is headquartered just outside Copenhagen. The firm translates the unmet medical needs of those living with a serious chronic disease into innovative medicines while offering access to its products in 170 countries.
The global prevalence of serious chronic diseases continues to grow thereby creating an unprecedented demand for Novo’s life-changing GLP-1-based medicines which have successfully more than quadrupled the number of people reached with these treatments. Novo served over 45.2 million people living with serious chronic diseases in 2024 alone. The firm remains dedicated to strengthening its leadership in diabetes and obesity, achieving a leading position in rare diseases and positioning itself as a key player in cardiovascular disease.
On February 5, Novo Nordisk A/S (NYSE:NVO) reported its 2024 results. Regarding the performance for the year and plans for the current, the CEO stated:
“We are pleased with the performance in 2024, where 26% sales growth reflects that more than 45 million people are now benefiting from our treatments. Further, we completed the acquisition of the three Catalent sites, and during the year, we progressed our R&D pipeline, including obesity projects such as CagriSema and amycretin. In 2025, we will continue our focus on commercial execution, on the progression of our early and late-stage R&D pipeline and on the expansion of our production capacity.”
11. Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN)
Average Upside Potential: 42.79%
Number of Hedge Fund Holders: 68
Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) is a biotechnology company developing and commercializing life-transforming medicines for those having serious diseases. The firm’s medicines and pipeline are made for patients with eye diseases, cancer, cardiovascular and metabolic diseases, allergic and inflammatory diseases, hematologic conditions, neurological diseases, infectious diseases, and rare diseases.
With over 35 years of scientific leadership, 13 approved or authorized medicines, nearly 100% of drug candidates invested and developed in-house, and nearly 40 product candidates in clinical development across various therapeutic areas, Regeneron has a solid history in its industry to offer at a glance. Simultaneously, Regeneron Genetics Center has crafted the biggest DNA sequence-linked healthcare database globally to better enable improved drug discovery and development.
TD Cowen recently maintained a Buy rating on the stock but lowered the price target to $1,030 from $1,230, based on ongoing legal challenges and preannounced January figures for a key product in the portfolio of Regeneron, EYLEA. The firm significantly lowered its revenue estimates for the Eylea franchise while mentioning increased competition in the market.
10. FTAI Aviation Ltd. (NASDAQ:FTAI)
Average Upside Potential: 43.45%
Number of Hedge Fund Holders: 54
FTAI Aviation Ltd. (NASDAQ:FTAI) serves as an integrated full-service provider of aftermarket power and maintenance for the most widely used commercial jet engines. It has a focus on the Maintenance, Repair, and Exchange (MRE) of CFM56 and V2500 engines. The company operates two segments, Aviation Leasing and Aerospace Products.
FTAI Aviation Ltd. (NASDAQ:FTAI) is positioned as a global, industry-leading supplier of good-quality CFM56 engines, materials, and modules. The company owns and acquires high-quality aviation equipment essential for the transportation of goods and people globally. FTAI continues to focus on aerospace products and aviation leasing assets that could drive robust cashflows with strong earnings growth potential.
For its most recent quarter, Q3’24, the company reported a strong adjusted EBITDA of $232 million, posting a growth of 50.5% over the year. FTAI Aviation acquired 39 engines and 3 aircraft during the quarter. The Aerospace Product segment is consistently generating adjusted EBITDA margins of between 30% to 40% and recorded a solid adjusted EBITDA of $101.8 million. Meanwhile, the leasing segment witnessed $136 million in adjusted EBITDA which has grown from $125 million in the preceding quarter.
9. Summit Therapeutics Inc. (NASDAQ:SMMT)
Average Upside Potential: 44.67%
Number of Hedge Fund Holders: 25
Summit Therapeutics Inc. (NASDAQ:SMMT) is a biopharmaceutical oncology company that focuses on the development, discovery, and commercialization of medicinal therapies aimed at improving life quality, increasing potential life duration, and serving serious unmet medical needs. Summit Therapeutics was founded in 2003.
The company’s lead pipeline product candidate is ivonescimab, a novel drug that has been designed to improve the balance of anti-tumor activity and safety. More than 2,300 have been treated with the drug across all clinical trials globally. The novel drug is an investigational therapy not approved by any regulatory authority other than China’s National Medical Products Administration and is currently being investigated in Global Phase 3 clinical trials.
Truist analyst Asthika Goonewardene assigned Summit Therapeutics Inc. (NASDAQ:SMMT) a buy rating and a $35 price target. The potential of ivonescimab was highlighted, stating that the drug could generate annual sales in the double-digit billions and could make an entry into the United States and Europe as early as 2026. Furthermore, Summit could be an attractive acquisition target for bigger biopharmaceutical companies with ivonescimab having the potential to go beyond just lung cancer and address a larger market.
8. Edison International (NYSE:EIX)
Average Upside Potential: 45.68%
Number of Hedge Fund Holders: 38
Edison International (NYSE:EIX) generates and distributes electric power, and provides energy services and technologies, including renewable energy, through its subsidiaries. The firm is headquartered in Rosemead, California. Edison International is the parent company of Southern California Edison and Trio.
Edison International (NYSE:EIX) generates has a solid standing in the United States being one of the nation’s largest electric utility holding companies. Its subsidiary, Southern California Edison, is among the largest electric utilities in the country and is a leader in renewable energy and energy efficiency.
J.P. Morgan analyst Jeremy Tonet has decided to maintain a Hold rating on the stock, setting a price target of $72.00. With investors reacting to wildfire risks, the pure-play California investor-owned utility has significantly underperformed year-to-date. The company is facing a shareholder lawsuit over the recent LA wildfires. Southern California Edison has submitted two letters to the California Public Utilities Commission giving updates on its ongoing analysis into the Eaton and Hurst wildfires origin.
7. Manhattan Associates, Inc. (NASDAQ:MANH)
Average Upside Potential: 47.94%
Number of Hedge Fund Holders: 34
Manhattan Associates, Inc. (NASDAQ:MANH) is a leading supply chain and omnichannel commerce solutions provider. The company develops, deploys, services, sells, and maintains software solutions designed to manage supply chains, inventory, and omnichannel operations.
Manhattan Associates, Inc. (NASDAQ:MANH) has evolved from a small company in California to a global leader in supply chain commerce. While the company is trusted by significant business and retail leaders globally, its customized, problem-solving solutions come from more than 30 years of supply chain experience. Simultaneously, MANH boasts one of the largest supply chain R&D spends in the industry.
The leading innovator in supply chain and omnichannel retail end-markets strengthened its position as it recently made it to a select group of supply chain software suppliers generating more than $1 billion in annual revenue. By surpassing the one billion in total revenue milestone in 2024, Manhattan entered 2025 with solid business momentum. The company’s RPO bookings rose 25% year-over-year on strong demand.
6. Shinhan Financial Group Co., Ltd. (NYSE:SHG)
Average Upside Potential: 48.10%
Number of Hedge Fund Holders: 15
Shinhan Financial Group Co., Ltd. (NYSE:SHG) is a financial holding company that originated from Shinhan Bank, which came into being in 1982 and was the first private bank in Korea. Shinhan Bank positioned itself as a blue-chip bank by developing a nationwide network and going public with an IPO. It took the initiative to set up a financial holding company that would enable it to grow its scale across multiple sectors as a comprehensive financial group.
Shinhan Financial Group is currently one of the leading Korean financial leaders, leading the way in innovation. A customer-centered business has made the company what it is today, driving its sustainable growth. On February 6, Shinhan recently posted 4.52 trillion won in net income for FY2024, up 3.4% over the year, based on higher interest income and less provisioning. Due to bank-focused loan growth and efficient margin management during falling market interest rates, interest income witnessed a growth of 5.4% year-over-year.
Regarding Shinhan Financial Group Co., Ltd. (NYSE:SHG), Polaris Global Equity Strategy stated the following in its Q3 2024 investor letter:
“On the backdrop of interest rate cuts, financials shined on expectations for loan demand and cheaper cost of capital; in fact, all sector holdings were in absolute positive territory. Shinhan Financial Group Co., Ltd. (NYSE:SHG) was the top contributor, with a second quarter earnings beat on better non-interest income with credit costs under control. An enhanced shareholder return policy was a pleasant upside surprise, as Shinhan committed to returning 50% of earnings to investors through dividends and share buybacks by 2027.”
5. Genmab A/S (NASDAQ:GMAB)
Average Upside Potential: 50.14%
Number of Hedge Fund Holders: 19
Genmab A/S (NASDAQ:GMAB) is a biotechnology company developing antibody products for the treatment of cancer and other serious diseases. Through differentiated and innovative antibody therapeutics, the company aims to improve the lives of people.
The fast-growing international biotech has pioneered antibody-based medicines for 25 years. Its key strengths and differentiators include a world-class antibody biology knowledge, a pipeline featuring potential best-in-class and first-in-class therapies, in-house expertise with a track record of creating successful strategic partnerships, and the firm’s discovery and development engine featuring proprietary technologies enabling the creation of a world-class pipeline.
Genmab A/S (NASDAQ:GMAB) is currently striving to achieve its 2030 vision of being a fully integrated biotech innovation powerhouse. In 2024, the company marked a major milestone towards that target, with the acquisition of ProfoundBio, enhancing its long-term growth potential and giving it worldwide rights to three clinical candidates and novel antibody-drug conjugate platforms.
4. First Solar, Inc. (NASDAQ:FSLR)
Average Upside Potential: 75.63%
Number of Hedge Fund Holders: 65
First Solar, Inc. (NASDAQ:FSLR) is a global provider of responsibly produced eco-efficient solar modules. The American solar technology company was founded in 1999.
While being the only US-headquartered firm and not manufacturing in China, First Solar has a unique position among the ten largest solar manufacturers globally. The company’s advanced thin-film photovoltaic modules set industry benchmarks for quality, design, durability, reliability, and sustainability while having the Western Hemisphere’s largest solar manufacturing footprint in Ohio. The company expects to have a global annual nameplate manufacturing capacity of more than 21 gigawatts by 2026.
First Solar, Inc. (NASDAQ:FSLR) was raised to Buy at Mizuho based on a materially improved sales outlook post-2026, with a price target of $259, up from $218. The firm sees a ‘better moat’ for First Solar based on its tunnel oxide passivated contact technology compared to its rivals, which use inefficient and old passivated emitter and rear cells in the US market.
3. Sarepta Therapeutics, Inc. (NASDAQ:SRPT)
Average Upside Potential: 83.48%
Number of Hedge Fund Holders: 50
Sarepta Therapeutics, Inc. (NASDAQ:SRPT) is a global biotechnology company that strives to create breakthrough therapies to cater to genetic diseases. The firm’s primary focus is on Duchenne muscular dystrophy, limb-girdle muscular dystrophies, and Charcot-Marie-Tooth disease.
Sarepta is leading a revolution in precision genetic medicine. The company has the privilege of having leadership positions in Duchenne muscular dystrophy and limb-girdle muscular dystrophies. With more than 40 therapies in various stages of development, the company remains at the forefront of precision genetic medicine.
Recently, the leader in precision genetic medicine for rare diseases reported positive topline results from Part 2 of the EMBARK study, showing disease stabilization and sustained benefits in ambulatory individuals having Duchenne Muscular Dystrophy following treatment with ELEVIDYS. In the UAE, US, Qatar, Kuwait, Bahrain, and Oman, ELEVIDYS is approved for people with Duchenne aged four and above despite their ambulatory status.
2. MicroStrategy Incorporated (NASDAQ:MSTR)
Average Upside Potential: 83.52%
Number of Hedge Fund Holders: 44
MicroStrategy Incorporated (NASDAQ:MSTR), doing business as Strategy, offers industry-leading artificial intelligence-powered enterprise analytics software and services. MSTR claims to be the world’s first Bitcoin Treasury company and focuses on the development of the Bitcoin network through activities in the financial markets, advocacy, and technology innovation. The firm has adopted Bitcoin as its primary treasury reserve asset.
MicroStrategy serves as the largest corporate holder of Bitcoin in the world and has successfully acquired additional Bitcoin in every quarter since Q3 2020, thereby demonstrating growth in Bitcoin strategic treasury reserve. MicroStrategy Incorporated (NASDAQ:MSTR) positions itself as a leader in the digital asset as well as the enterprise analytics sectors, based on favorable factors including its strategic Bitcoin reserve, operational excellence, and a focus on technological innovation.
The company recently announced its 21/21 plan with the goal of raising $42 billion of capital over the next three years. This comprises $21 billion of equity and $21 billion of fixed-income securities. MSTR also revised its long-term target to unlock an annual BTC yield of 6% to 10% between the years 2025 and 2027 where BTC yield serves as a key performance indicator used by the firm to help gauge the performance of its strategy of acquiring bitcoin in a way the firm considers is accretive to its shareholders.
1. Vaxcyte, Inc. (NASDAQ:PCVX)
Average Upside Potential: 91.87%
Number of Hedge Fund Holders: 50
Vaxcyte, Inc. (NASDAQ:PCVX) is a clinical-stage vaccine innovation company engineering high-fidelity vaccines. The firm continues to engage in developing broad-spectrum conjugate and novel protein vaccines to prevent or treat bacterial infectious diseases. Through advanced chemistry and modern synthetic techniques, the company re-engineers how highly complex vaccines are created.
Alongside a potential best-in-class pneumococcal conjugate vaccine (PCV) franchise, the company’s lead clinical candidate is VAX-24, a 24-valent pneumococcal conjugate vaccine (PCV) that is to prevent invasive pneumococcal disease. It has the potential to be a best-in-class PCV in a $7 billion global market that will be growing massively and is expected to reach nearly $13 billion by 2027. The vaccine has received FDA Breakthrough Therapy designation for the prevention of invasive pneumococcal disease in adults.
Vaxcyte, Inc. (NASDAQ:PCVX) is currently advancing to the second stage of the ongoing phase 2 study evaluating VAX-31 for the prevention of invasive pneumococcal disease in infants. The 31-valent pneumococcal conjugate vaccine (PCV) candidate is made to prevent invasive pneumococcal disease which is especially serious in infants, older adults, young children, and those having immune deficiencies or certain chronic health conditions.
While we acknowledge the potential of PCVX as an investment, our conviction lies in the belief that some deeply undervalued AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for a deeply undervalued AI stock that is more promising than PCVX but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap
Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.
