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10 Best Momentum Stocks to Buy According to Analysts 

In this article, we will look at the 10 Best Momentum Stocks to Buy According to Analysts.

On May 22, Steve Sosnick, from Interactive Brokers, appeared on CNBC’s ‘Power Lunch’ to talk about what is driving the record market moves. Talking about why the market is going high despite the current market dynamics, he said that this is an everything rally, and one of the things that is a hallmark of it is not only the fact that the semis are up 70% in six weeks, which in itself is crazy enough, but rather about what he calls the ratchet effect of the peace dividend. The market is telling us today that they are more concerned about missing some sort of peace in the Middle East than they are about the risks of going home over a three-day weekend.

READ ALSO: 10 Best Commodity Stocks to Buy for the Supercycle AND 12 Best Medical Stocks to Invest In According to Billionaires

Sosnick also called for us to think about how we have reacted to any positive news, no matter how remote, about any sort of development in the Middle East that might bring a resolution to this situation. We all want that, but we go up when it is touted, and we do nothing when it doesn’t come out. That, to him, is the ratchet effect.

With these broader market trends in view, let’s look at the best momentum stocks to buy according to analysts.

Our Methodology

We used stock screeners and online sources to identify the stocks with a minimum year-to-date share price return of 20%, which represents strong growth momentum. We then identified some of the best stocks that analysts are bullish on and that have the highest hedge fund ownership by leveraging data from Insider Monkey’s Q4 2025 hedge fund database. The stocks are arranged in ascending order of analyst upside.

Note: All data was recorded on May 25.

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 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).

10 Best Momentum Stocks to Buy According to Analysts

10. Legence Corp. (NASDAQ:LGN)

Analyst Upside: 29.32%

Legence Corp. (NASDAQ:LGN) is one of the best momentum stocks to buy according to analysts. Legence Corp. (NASDAQ:LGN) has received several rating updates following the release of financial results for its fiscal Q1. On May 19, Tigress Financial lifted the price target on the stock to $125 from $85 while maintaining a Buy rating on the shares. The firm cited the company’s “accelerating growth runway” for the target boost, further telling investors in a research note that Legence Corp.’s (NASDAQ:LGN) growth is being produced by a “powerful combination of explosive near-term execution and long-duration, contractually supported demand across structurally advantaged end markets”.

Legence Corp. (NASDAQ:LGN) also received a rating update from BMO Capital on May 15, with the firm lifting the price target on the stock to $100 from $63 and maintaining an Outperform rating on the shares. It told investors in a research note that the stock remains an attractive option for investors who are looking to gain exposure to the AI infrastructure/data center build-out. The firm also believes that Legence Corp.’s (NASDAQ:LGN) organic growth is accelerating, the business has considerable flexibility to augment growth through M&A, and there is upside to margins/profitability.

Legence Corp. (NASDAQ:LGN) is involved in consultation, engineering, installation, and maintenance services for mission-critical systems in buildings. The company’s operations are divided into the Engineering & Consulting and Installation & Maintenance segments.

9. Darling Ingredients Inc. (NYSE:DAR)

Analyst Upside: 30.55%

Darling Ingredients Inc. (NYSE:DAR) is one of the best momentum stocks to buy according to analysts. BofA lifted the price target on Darling Ingredients Inc. (NYSE:DAR) to $85 from $80 on May 12, maintaining a Buy rating on the shares. The rating update came after the company’s “multifaceted update on capital allocation and the balance sheet” at its investor day meeting, with the firm telling investors that details on the path to structurally higher margins via high-grading output “look solid and the gains are material”.

For reference, in its financial results for fiscal Q1 2026, Darling Ingredients Inc. (NYSE:DAR) reported net income of $134.3 million, or $0.83 per GAAP diluted share, compared to a net loss of $(26.2) million, or $(0.16) per GAAP diluted share for fiscal Q1 2025. Total net sales for the quarter came up to $1.6 billion, compared to $1.4 billion for fiscal Q1 2025, while the combined adjusted EBITDA was $406.8 million compared to $195.8 million in the prior year period.

Darling Ingredients Inc. (NYSE:DAR) develops and produces natural ingredients from edible and inedible bio-nutrients. The company’s operations are divided into the following segments: Feed Ingredients, Food Ingredients, and Fuel Ingredients.

8. TeraWulf Inc. (NASDAQ:WULF)

Analyst Upside: 31.46%

TeraWulf Inc. (NASDAQ:WULF) is one of the best momentum stocks to buy according to analysts. Morgan Stanley lifted the price target on TeraWulf Inc. (NASDAQ:WULF) to $42 from $41.50 on May 19, maintaining an Overweight rating on the shares. The firm updated its view on the company following the release of its fiscal Q1 2026.

In its results for the quarter, TeraWulf Inc. (NASDAQ:WULF) reported that it generated $34.0 million in revenue, including $21.0 million of HPC lease revenue. It also maintained a solid liquidity position, with approximately $3.1 billion of cash and restricted cash as of quarter-end.

TeraWulf Inc. (NASDAQ:WULF) has 60 MW of operational critical IT HPC capacity for Core42 at Lake Mariner as of March 31, 2026, and the company is nearing completion on CB-3 construction at Lake Mariner. It added that the CB-4 and CB-5 remain on schedule for delivery and rent commencement in 2026. TeraWulf Inc. (NASDAQ:WULF) also reported that it expanded its development platform with the acquisition of Hawesville, Kentucky, which is a large-scale site that holds immediate access to 480 MW of grid-connected power.

TeraWulf Inc. (NASDAQ:WULF) owns and operates fully integrated, environmentally clean bitcoin mining facilities in the United States. The company’s operations are divided into the Digital Asset Mining and HPC Leasing segments.

7. Matador Resources Company (NYSE:MTDR)

Analyst Upside: 31.53%

Matador Resources Company (NYSE:MTDR) is one of the best momentum stocks to buy according to analysts. Morgan Stanley lifted the price target on Matador Resources Company (NYSE:MTDR) to $75 from $73 on May 22, maintaining an Equal Weight rating on the shares.

In a separate development, Matador Resources Company (NYSE:MTDR) announced on May 21 the successful bolt-on acquisition of 5,154 net undeveloped acres in the core of the Delaware Basin as part of the Bureau of Land Management Oil and Gas Lease Sale.

Joseph Wm. Foran, Matador Resources Company’s (NYSE:MTDR) Founder, Chairman and CEO, stated that the undeveloped acres are all in the ‘core-of-the-core’ of the Delaware Basin, and are “strategic and highly complementary” to the company’s current acreage position. Management added that the acquisition extends the duration and amount of the company’s high-quality inventory and reserve base while also enhancing its current assets with increased operating efficiencies. It added that Matador Resources Company (NYSE:MTDR) has fully repaid its reserve-based lending facility, which provides it with ample liquidity for the transaction.

Matador Resources Company (NYSE:MTDR) is involved in the development, exploration, production, and acquisition of oil and natural gas resources. Its operations are divided into the following segments: Exploration and Production, Midstream, and Corporate.

6. Immunovant, Inc. (NASDAQ:IMVT)

Analyst Upside: 31.77%

Immunovant, Inc. (NASDAQ:IMVT) is one of the best momentum stocks to buy according to analysts. Truist lifted the price target on Immunovant, Inc. (NASDAQ:IMVT) to $30 from $23 on May 22, maintaining a Hold rating on the shares. The firm told investors in a research note that it updated its model after the company reported fiscal year 2026 results, and after it incorporated modest RA contribution with 10% probability of success based on the previous day’s IMVT-1402 data.

In its financial results for fiscal Q4 ended March 31, 2026, Immunovant, Inc. (NASDAQ:IMVT) reported that its cash and cash equivalents as of the end of the quarter totaled approximately $902.1 million, which provides runway for announced indications through the potential commercial launch of IMVT-1402 in GD. The company’s research and development expenses for the quarter were $142.3 million compared to $93.7 million for the prior year period, driven by activities related to its clinical trials of IMVT-1402 and $39.0 million related to contractual costs recognized in connection with the discontinuation of batoclimab.

Immunovant, Inc. (NASDAQ:IMVT) develops treatments for autoimmune diseases. Its product pipeline includes IMVT-1402, which is a novel fully human monoclonal antibody targeting the neonatal fragment crystallizable receptor (FcRn).

While we acknowledge the potential of IMVT to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than IMVT and that has 100x upside potential, check out our report about the cheapest AI stock.

Click to continue reading and see the 5 Best Momentum Stocks to Buy According to Analysts.

Disclosure: None. Follow Insider Monkey on Google News.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

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Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

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Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

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And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

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Dr. Inan Dogan

Dr. Ian Dogan

Co-Founder and Research Director at Insider Monkey

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