Markets have rebounded fast from drawdowns earlier this year. As Lori Calvasina of RBC Capital Markets noted in a CNBC interview, “We have done in three months what we typically do in nine months in terms of rebounding off of an extreme low.” Yet despite the recovery, many investors are recalibrating expectations amid macro uncertainty, including inflation, tariffs, and slower growth.
Calvasina said, “We don’t think the world is the same as where we were back in January. Consensus GDP forecasts were above 2% for the year at the beginning of the year. Right now, the numbers are like 1.5% for this year, 1.6% for the next year.” Inflation remains a concern, too. “If you have higher inflation levels, that’s going to pressure your P/E multiples.”
Meanwhile, valuations in the largest stocks are stretched. “The market cap-weighted P/E is above 25 times” for the S&P 500 Index. In contrast, “Russell is probably your best barometer for how cheap things got,” offering potential value opportunities. With that, let’s take a look at the best growth stocks to buy according to analysts.
A portfolio manager wearing a suit and tie, looking at a graph representing the growth of the business development company.
Our Methodology
To identify the 10 Best Growth Stocks to Buy According to Analysts, we utilized Finviz’s screener with the following set of criteria: forward EPS growth greater than 25%, trailing EPS growth above 20%, and an upside potential of at least 15%. The final list was then sorted in ascending order based on upside potential.
Note: All data was recorded on August 14, 2025.
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).
10 Best Growth Stocks to Buy According to Analysts
10. Amazon.com, Inc. (NASDAQ:AMZN)
Upside Potential: 15.02%
TTM EPS Growth: 56.77%
Forward EPS Growth: 37.5%
Number of hedge fund holders: 328
Amazon.com, Inc. (NASDAQ:AMZN) is one of the best growth stocks to buy according to analysts. Amazon.com, Inc. (NASDAQ:AMZN) announced on August 13 that it will be expanding its same-day delivery service to include fresh and frozen grocery items for its Prime members. The company did not reveal the cities included in the rollout.
Starting this week, Prime subscribers in select cities will be able to receive items such as strawberries, milk, meats, and frozen dinners within hours of placing an order. This will intensify competition for same-day deliveries for perishable items, with other retail giants like Walmart. What is likely to work in the e-commerce giant’s favor is its improving logistics and Whole Foods’ infrastructure. Same-day grocery delivery is a massive battleground in e-commerce, with customers spoiled for choice and expecting faster delivery.
The tech behemoth has already been offering grocery delivery through its Amazon Fresh and Whole Foods platforms. However, the latest move indicates a deeper commitment by the company to improve its share in the perishable item segment. If the company can capture a share of the same-day delivery for perishable items and scale up, its impact in the grocery sector is likely to grow; it is likely to put pressure on the traditional grocers and delivery rivals, given Amazon’s scale and delivery moat.
9. Applovin Corporation (NASDAQ:APP)
Upside Potential: 15.37%
TTM EPS Growth: 204.11%
Forward EPS Growth: 135.62%
Number of hedge fund holders: 96
Applovin Corporation (NASDAQ:APP) is one of the best growth stocks to buy according to analysts. On August 7, Oppenheimer maintained its Outperform rating on Applovin Corporation (NASDAQ:APP), while also maintaining its $500 price target for the company. That represents a 15.15% implied upside from the current market price of $434.2.
The firm also called Applovin a “top pick”. Oppenheimer sees rising confidence in the scale-up of e-commerce advertising, which is now expected to exceed 10% of total ad revenue this year. The firm’s outlook is also reinforced by the company’s global rollout of AXON Ad Manager’s self-service portal, which is expected to roll out in October. AppLovin’s AXON 2, is an AI-powered ad engine that optimizes targeting and placement to improve return on investment for advertisers. AXON has been a major growth driver for the company.
According to Wall Street analysts, Applovin Corporation (NASDAQ:APP) is also likely to benefit from the reactivation of its e-commerce advertisers through a new referral program, improving its global network, and extended availability for smaller companies.
