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1 of Wall Street’s Favorite Stocks on Our Buy List and 2 Facing Challenges

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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.

Unlike the investment banks, we created StockStory to provide independent analysis that helps you determine which companies are truly worth following. Keeping that in mind, here is one stock likely to meet or exceed Wall Street’s lofty expectations and two where consensus estimates seem disconnected from reality.

Two Stocks to Sell:

Array (ARRY)

Consensus Price Target: $10.27 (43.7% implied return)

Going public in October 2020, Array (NASDAQ: ARRY) is a global manufacturer of ground-mounting tracking systems for utility and distributed generation solar energy projects.

Why Do We Avoid ARRY?

  1. Customers postponed purchases of its products and services this cycle as its revenue declined by 5.6% annually over the last two years
  2. Diminishing returns on capital from an already low starting point show that neither management’s prior nor current bets are going as planned
  3. High net-debt-to-EBITDA ratio of 5× could force the company to raise capital on unfavorable terms if market conditions deteriorate

Array is trading at $7.15 per share, or 9.6x forward P/E. Check out our free in-depth research report to learn more about why ARRY doesn’t pass our bar.

Flowserve (FLS)

Consensus Price Target: $90 (24.1% implied return)

Manufacturing the largest pump ever built for nuclear power generation, Flowserve (NYSE: FLS) manufactures and sells flow control equipment for various industries.

Why Are We Wary of FLS?

  1. Average backlog growth of 5.1% over the past two years was mediocre and suggests fewer customers signed long-term contracts
  2. Demand will likely be soft over the next 12 months as Wall Street’s estimates imply tepid growth of 7.4%
  3. Low free cash flow margin of 4.9% for the last five years gives it little breathing room, constraining its ability to self-fund growth or return capital to shareholders

Flowserve’s stock price of $72.50 implies a valuation ratio of 17.5x forward P/E. Read our free research report to see why you should think twice about including FLS in your portfolio.

One Stock to Buy:

monday.com (MNDY)

Consensus Price Target: $108.13 (46.7% implied return)

With its colorful interface of boards, columns, and automation that replaced the chaos of spreadsheets, monday.com (NASDAQ: MNDY) is a cloud-based work operating system that helps teams manage projects, track tasks, and streamline workflows through customizable interfaces.

Why Are We Bullish on MNDY?

  1. ARR growth averaged 25.5% over the last year, showing customers are willing to take multi-year bets on its software
  2. Software is difficult to replicate at scale and results in a best-in-class gross margin of 89.1%
  3. Well-designed software integrates seamlessly with other workflows, enabling swift payback periods on marketing expenses and customer growth at scale

At $73.69 per share, monday.com trades at 2.3x forward price-to-sales. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free.

Stocks We Like Even More

ONE MORE THING: Top 6 Stocks for This Week. This market is separating quality stocks from expensive ones fast. AI is taking down whole sectors with no warning. In a rotation this fast, you need more than a list of good companies.

Our AI system flagged Palantir before it ran 1,662%. AppLovin before it ran 753%. Nvidia before it ran 1,178%. Each week it produces 6 new names that pass the same tests. Get Our Top 6 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-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.

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