Wall Street has issued downbeat forecasts for the stocks in this article. These predictions are rare - financial institutions typically hesitate to say bad things about a company because it can jeopardize their other revenue-generating business lines like M&A advisory.
Whatever the consensus opinion may be, our team at StockStory cuts through the noise by conducting independent analysis to determine a company’s long-term prospects. Keeping that in mind, here is one stock where Wall Street’s pessimism is creating a buying opportunity and two facing legitimate challenges.
Two Stocks to Sell:
Ford (F)
Consensus Price Target: $13.97 (0.8% implied return)
Established to make automobiles accessible to a broader segment of the population, Ford (NYSE: F) designs, manufactures, and sells a variety of automobiles, trucks, and electric vehicles.
Why Should You Sell F?
- Flat vehicles sold over the past two years imply it may need to invest in improvements to get back on track
- Shrinking returns on capital suggest that increasing competition is eating into the company’s profitability
- High net-debt-to-EBITDA ratio of 10× could force the company to raise capital at unfavorable terms if market conditions deteriorate
Ford’s stock price of $13.87 implies a valuation ratio of 9.2x forward P/E. Dive into our free research report to see why there are better opportunities than F.
Verizon (VZ)
Consensus Price Target: $49.34 (2.8% implied return)
Formed in 1984 as Bell Atlantic after the breakup of Bell System into seven companies, Verizon (NYSE: VZ) is a telecom giant providing a range of communications and internet services.
Why Should You Dump VZ?
- Annual sales growth of 1.5% over the last five years lagged behind its consumer discretionary peers as its large revenue base made it difficult to generate incremental demand
- Free cash flow margin is projected to show no improvement next year
- Diminishing returns on capital from an already low starting point show that neither management’s prior nor current bets are going as planned
At $48.02 per share, Verizon trades at 10x forward P/E. If you’re considering VZ for your portfolio, see our FREE research report to learn more.
One Stock to Watch:
Fidelis Insurance (FIHL)
Consensus Price Target: $21.28 (8.2% implied return)
Founded in Bermuda in 2014 and designed to adapt nimbly to evolving market conditions, Fidelis Insurance (NYSE: FIHL) is a global specialty insurer and reinsurer that provides customized coverage across property, specialty, and bespoke risk solutions.
Why Does FIHL Stand Out?
- Net premiums earned surged by 17.1% annually over the past two years, reflecting strong market share gains this cycle
- Sales outlook for the upcoming 12 months implies the business will stay on its desirable two-year growth trajectory
- Exciting book value per share outlook for the upcoming 12 months calls for 29.1% growth, an acceleration from its two-year trend
Fidelis Insurance is trading at $19.67 per share, or 0.8x forward P/B. Is now a good time to buy? Find out in our full research report, it’s free.
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-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today.
