In this article, we will look at the 10 Best Stocks to Buy Before the Next Bull Run.
On May 4, Tom Lee, Head of Research at Fundstrat, appeared on a CNBC Television interview to discuss the market outlook. Lee believes that the risk-to-reward ratio of the stock market remains attractive, despite the uncertainty surrounding the war. He added that while an effective resolution of the war remains uncertain, it has revealed the strength of the US economy and stock market relative to the rest of the world. Lee added that earnings expectations have risen, and AI has been boosting productivity and leading US GDP growth.
Lee is particularly interested in the software sector despite the recent sell-off. He noted that investors might be right to question the long-term effectiveness of software business models. However, Lee added that many of these companies are managed very well, and he expects the companies to adapt as the AI unfolds. Lee believes that the stock market has tailwinds to lift the market higher through May till July 2026.
With that, let’s take a look at the 10 Best Stocks to Buy Before the Next Bull Run.
Stocks
Our Methodology
To curate the list of 10 Best Stocks to Buy Before the Next Bull Run, we used the Finviz stock screener, CNN, and Insider Monkey’s hedge funds database. Using the screener, we aggregated a list of stocks that are trading close to their 52-week lows, but analysts expect more than 30% upside over the next 12-months. Next, we checked the upside from CNN and ranked the stocks in ascending order of the number of hedge fund holders. We have limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment.
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 Stocks to Buy Before the Next Bull Run
10. SAP SE (NYSE:SAP)
Upside Potential: 48.45%
Number of Hedge Fund Holders: 36
SAP SE (NYSE:SAP) has fallen 27.93% on a year-to-date basis, but Wall Street expects more than 48.45% upside over the next 12-months. The stock also ranks among our Best Stocks to Buy Before the Next Bull Run as it is trading close to its 52-week lows and analysts expect significant upside.
SAP SE has gained spotlight after its fiscal Q1 2026 earnings, released on April 23. During the quarter, the company posted $11.17 billion in revenue, reflecting 8.44% year-over-year but missing the consensus by $17.79 million. On the bright side, the GAAP EPS came in at $1.94 and topped the estimates by $0.14.
Management attributed quarterly growth to 19% year-over-year growth in Cloud revenue and 23% growth in Cloud ERP Suite. Notably, the company’s backlog grew by 20% to reach €21.9 billion.
Following the result, on April 30, Adam Wood from Morgan Stanley reiterated a Buy rating on the stock with a price target of €190. Earlier, on April 29, Barclays reiterated a Buy rating on the stock and raised the price target from $256 to $257. Analysts at Barclays noted that during Q1, management addressed key AI concerns, which have reduced downside risks for Sapphire.
SAP SE is a multinational enterprise software company that provides solutions for enterprise resource planning, supply chain management, procurement, and customer experience. Its offerings include the SAP S/4HANA and SAP Business Technology Platform.
9. Medtronic plc (NYSE:MDT)
Upside Potential: 38.70%
Number of Hedge Fund Holders: 63
Medtronic plc (NYSE:MDT) is one of the Best Stocks to Buy Before the Next Bull Run. Recently, on April 28, Medtronic plc (NYSE:MDT) announced receiving the CE Mark for its Stealth AXiS system. The AXis system is a next-generation platform that combines planning, navigation, and robotics into a single intelligent solution. This new clearance from the EU comes after the system got FDA approval. Management noted that the CE Mark means that the company will accelerate access across Europe.
The system is aimed at spine and cranial procedures, and is designed to support various clinical workflows and surgical environments. Notably, the system features LiveAlign segmental tracking, which is an industry-first capability that allows surgeons to visualize anatomic motion during the procedure.
Moreover, the system is backed by AI, which allows advanced planning and visualization at all stages of the procedure. Overall, the Street is bullish on Medtronic plc (NYSE:MDT) as 65% of the 34 analysts covering the stock have a Buy rating, and the 12-month average price target suggests more than 38% upside from the current level.
Medtronic plc (NYSE:MDT) is based in Ireland and provides healthcare technology solutions. Its business is organized across four main segments: Cardiovascular, Neuroscience, Medical Surgical, and Diabetes.
8. PDD Holdings Inc. (NASDAQ:PDD)
Upside Potential: 45.32%
Number of Hedge Fund Holders: 67
PDD Holdings Inc. (NASDAQ:PDD) is one of the Best Stocks to Buy Before the Next Bull Run. The company is set to release its fiscal Q1 2026 earnings on May 19, and the Street is bullish despite a 15.5% year-to-date decline in the stock price.
Analysts expect the company to post around $16.02 billion in revenue, down from the previous quarter’s revenue of $17.96 billion. The GAAP EPS is expected to be around $2.15. Recently, on April 17, Arete analyst Zixiao Yang upgraded PDD Holdings Inc. from Hold to Buy and raised the price target from $118 to $121. The firm cited an improving earnings outlook for the company. Arete sees long-term potential for the company to continue gaining market share in China and overseas.
Earlier, on March 26, Benchmark reiterated a Buy rating and $160.00 price target on the stock. The firm noted that the company faced significant pressure in 2025 due to domestic slowdown and headwinds from international trade dynamics. However, Benchmark remains incrementally positive on PDD and expects the company to focus on improving its supply chain to help normalize growth and profitability.
PDD Holdings Inc. operates e-commerce platforms, including Temu, offering a wide range of consumer products globally.
7. Accenture plc (NYSE:ACN)
Upside Potential: 39.02%
Number of Hedge Fund Holders: 71
Accenture plc (NYSE:ACN) is one of the Best Stocks to Buy Before the Next Bull Run. On April 30, Accenture plc (NYSE:ACN) announced making an investment in Netomi through Accenture Ventures. Netomi is a customer experience AI platform company.
Both companies are also entering a partnership which is aimed at helping enterprises enhance customer experience through agentic AI. Moreover, as a result of this collaboration, Accenture will also integrate Netomi’s agentic AI platform into its existing technologies without any operational disruptions.
The company cited its own research, which highlighted that 87% of customers are likely to avoid a brand based on a single negative experience. Netomi’s conversational AI platform solves this problem by helping companies operate through a coordinated system of AI agents that are capable of taking action and rewire as per the needs of the company. The terms or amount of investment by Accenture was not disclosed.
Overall, Wall Street has a bullish opinion on Accenture plc (NYSE:ACN) as 70% of the 30 analysts covering the stock have a Buy rating. The 12-month average price target suggests more than 39% upside from the current level.
Accenture plc (NYSE:ACN) is a global professional services company with leadership in digital transformation, cloud computing, and artificial intelligence.
6. T-Mobile US, Inc. (NASDAQ:TMUS)
Upside Potential: 32.61%
Number of Hedge Fund Holders: 76
T-Mobile US, Inc. (NASDAQ:TMUS) is one of the Best Stocks to Buy Before the Next Bull Run. The Street has been bullish on T-Mobile since its FQ1 2026 earnings, released on April 28. The company posted $23.11 billion in revenue, reflecting 10.63% year-over-year growth and topped expectations by $91.74 million. Moreover, the GAAP EPS came in at $2.27 and topped the consensus by $0.30.
Following the release, on April 30, LightShed Partners upgraded T-Mobile US, Inc. from Neutral to Buy without disclosing any price targets. The firm noted that T-Mobile is positioned to deliver revenue growth over the next 5 years, driven by its competitive price, brand power, network strength, and spectrum.
The firm noted that the market is concerned about potential threats from competitors such as SpaceX and Verizon. However, LightShed Partners noted that these threats are not big enough to break the thesis for companies like T-Mobile.
T-Mobile US Inc. is a telecom services company that offers wireless communications services, such as voice, messaging, and data, to postpaid, prepaid, and wholesale customers. The company also deals in wireless devices. It is headquartered in Bellevue, Washington.
5. Spotify Technology S.A. (NYSE:SPOT)
Upside Potential: 33.63%
Number of Hedge Fund Holders: 121
Spotify Technology S.A. (NYSE:SPOT) has fallen more than 23% on a year-to-date basis, but the Street expects more than 33% upside from the current level. The company also ranks among our Best Stocks to Buy Before the Next Bull Run.
Stocks
Although 84% of the 44 analysts covering the stock maintain a Buy rating on Spotify Technology S.A., they have been cutting price targets after the company released its FQ1 2026 earnings. The company released its earnings on April 28. During the quarter, Spotify posted $5.31 billion, reflecting 11.3% year-over-year growth and topped expectations by $7.73 million. The GAAP EPS of $4.04 also topped expectations by $0.59.
Despite the positive results, on April 29, Benchmark lowered its price target on the stock from $760 to $695 and maintained a Buy rating on the shares. The firm noted that management during the earnings call spent too much time explaining how costs will evolve, but didn’t clarify how revenue will improve in the future. In addition, Benchmark flagged three main pressure points for the company, including advertisement monetization lagging behind user engagement, a lack of a commercial framework for AI and other generative content, and a lack of quantitative projections of current AI expenditure.
On the same day, Cantor Fitzgerald also lowered the price target on SPOT from $525 to $430, while maintaining a Neutral rating on the shares. The firm noted lowering the fiscal 2027 EBIT estimate to reflect incremental costs.
Spotify Technology S.A. is a leading digital music streaming platform. The company is based in Luxembourg and was founded in December 2006 by Daniel Ek and Martin Lorentzon.
4. Danaher Corporation (NYSE:DHR)
Upside Potential: 39.88%
Number of Hedge Fund Holders: 125
Danaher Corporation (NYSE:DHR) is one of the Best Stocks to Buy Before the Next Bull Run.
On April 22, Morgan Stanley lowered the price target on the stock from $270 to $255, while maintaining an Overweight rating on the shares. Earlier, on April 21, Jefferies analyst Tycho Peterson raised the price target on Danaher Corporation to $245 from $240 and maintained a Buy rating.
The ratings come after the company’s FQ1 2026 earnings were released on April 21. During the quarter, the company posted $5.95 billion in revenue, reflecting 3.66% year-over-year growth but falling short of the consensus by $41.51 million. On the bright side, the GAAP EPS came in at $1.45 and topped expectations by $0.03.
Analysts at Morgan Stanley noted that they made changes to their valuation model following the Q1 results and the latest guidance from the company. Danaher expects second-quarter revenue to increase in the low single-digit percentage, while for the full year, revenue is expected to grow by 3% to 6%.
On the other hand, Jefferies analyst Tycho Peterson noted Q1 results to be solid and mentioned that headwinds are abating for the company at a time when its valuation is not too demanding.
Danaher Corporation is a global life sciences and diagnostics company operating through three segments: Biotechnology, Life Sciences, and Diagnostics.
3. Capital One Financial Corporation (NYSE:COF)
Upside Potential: 34.18%
Number of Hedge Fund Holders: 136
Capital One Financial Corporation (NYSE:COF) is one of the Best Stocks to Buy Before the Next Bull Run. The stock has declined more than 22% on a year-to-date basis, but Wall Street expects more than 34% upside from the current level.
Recently, on April 23, Truist analyst Brian Foran lowered the firm’s price target on Capital One Financial Corporation from $275 to $255, while maintaining a Buy rating on the shares. The rating comes after the company missed estimates during its fiscal Q1 2026 released on April 21. The company posted $15.23 billion in revenue, reflecting 52.3% year-over-year growth, but missed expectations by $134.1 million. Moreover, the GAAP EPS of $3.34 also missed estimates by $0.48.
Truist noted that they are reducing the firm’s earnings estimates by 2% to account for higher expenses. Moreover, the firm’s forward earnings multiple was also lowered from 10 times to 9.5 times.
Capital One Financial Corporation is a technology-based financial services company.
2. Uber Technologies, Inc. (NYSE:UBER)
Upside Potential: 41.11%
Number of Hedge Fund Holders: 147
Uber Technologies, Inc. (NYSE:UBER) has declined more than 10% on a year-to-date basis, but the Street expects more than 41% upside from the current level. The company also ranks among our Best Stocks to Buy Before the Next Bull Run.
Recently, on May 4, Bank of America Securities reiterated a Buy rating on Uber Technologies, Inc. with a price target of $103. On the same day, Evercore ISI also reiterated a Buy rating on the stock with a price target of $150.
BofA noted that the firm remains optimistic on the autonomous vehicle pipeline and highlighted that the mobility and delivery segment of the company continues to show healthy booking trends. The firm expects the ramp-up in US autonomous vehicles to lead the stock higher in the second half of 2026. Moreover, BofA also anticipated higher merchant fee revenue, which can lift the EBITDA and provide opportunities to invest in growth.
Uber Technologies, Inc. is a global transportation technology company that focuses on ride-hailing, courier services, food delivery, and freight transport.
1. Mastercard Incorporated (NYSE:MA)
Upside Potential: 34.22%
Number of Hedge Fund Holders: 150
Mastercard Incorporated (NYSE:MA) is one of the Best Stocks to Buy Before the Next Bull Run. The stock is down more than 10% on a year-to-date basis, but the Street expects more than 34% upside from the current level.
Recently, on May 1, Macquarie analyst Paul Golding lowered the price target on Mastercard Incorporated from $675 to $665, while maintaining a Buy rating on the shares. The firm noted that they still remain optimistic on the stock and that the price target reduction reflects the macroeconomic impact of the conflict in the Middle East. The firm highlighted Mastercard’s FQ1 2026 earnings as encouraging, as it exceeded expectations. Macquarie noted that consumers remain solid, while AI, Crypto, and value-added services are key drivers of growth.
Mastercard Incorporated posted FQ1 2026 results on April 30. The company posted $8.4 billion in revenue, reflecting 15.83% year-over-year growth and topped the consensus by $142.6 million. Moreover, the GAAP EPS of $4.35 also exceeded the expectations by $0.06.
Mastercard Incorporated operates one of the world’s largest electronic payment networks, connecting consumers, merchants, financial institutions, governments, and businesses to facilitate digital transactions globally. Headquartered in Purchase, New York, the company’s origins date to the late 1960s, while Mastercard Incorporated was formally established in 1978.
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