In this article, we will take a look at some of the best stocks with the highest upside potential.
The saying that “what is big today once began as something small” isn’t something new. For investors, identifying an undervalued stock is half the challenge; the other half lies in having the conviction to act promptly and invest before the stock gains momentum.
In the case of companies, many trade at attractive valuations, but it’s critical to spot those with clear catalysts, including strong earnings growth, commitment to innovation, and industry tailwinds.
Many analysts back high-quality stocks, which are stocks whose true value isn’t fully reflected in today’s price. Generally, value investing delivers superior returns, usually more pronounced in relatively smaller companies.
As highlighted by Joyce Weng and Ian Butler,
“The macroeconomic environment has also turned in Value’s favour. Inflation and interest rates are rising, and Value investing tends to outperform in periods of rising inflation and growth.”
Our Methodology
We have compiled a list of the 10 best stocks with the highest upside potential. In selecting stocks using Finviz’s stock screener, we have filtered for a target price that is 50% or above, positive next 5-year EPS growth, and an analyst recommendation of “Strong Buy.” We have ranked these stocks in ascending order of their upside potential, according to the one-year estimates by Yahoo Finance.
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. Mach Natural Resources LP (NYSE:MNR)
Upside Potential as of September 11, 2025: 52.4%
In the first quarter, Raymond James Financial Inc. raised its position in Mach Natural Resources LP (NYSE:MNR) by 8.6% through the purchase of 25,778 shares. According to the recent disclosure with the SEC, the global financial services firm now owns 324,291 shares of the company’s stock worth $5,043,000.
During the latest earnings call, the management highlighted the company’s sustained focus on four pillars: ensuring financial resilience, disciplined execution, continued investments, and delivering high cash returns. Through its commitment to these strategic anchors, Mach Natural Resources LP (NYSE:MNR) can achieve the unachievable.
As cited by the CEO & Director, Tom L. Ward,
“We project increasing our natural gas volumes to 70% post the Sabinal and IKAV acquisitions, and for the first time since our inception, project natural gas to be at least 50% of our revenue stream starting in 2026.”
Mach Natural Resources LP (NYSE:MNR) is an Oklahoma-based independent upstream oil and gas company that acquires, develops, and produces oil, natural gas, and natural gas liquids. Incorporated in 2023, the company emphasizes improving lives by tackling energy poverty.
9. Crescent Energy Company (NYSE:CRGY)
Upside Potential as of September 11, 2025: 70.1%
During the first quarter, Alyeska Investment Group L.P. lifted its stake in Crescent Energy Company (NYSE:CRGY) by 452.3%. With the purchase of 1,298,155 shares, the firm owns 0.62% of the company, translating to an investment worth $17,817,000.
The debt-free acquisition of Vital Energy is an interesting step, as the resulting business will become a new player among the top ten independent companies in its market. According to some estimates, the net output from the enterprise could be as high as 397 Mboe per day, with 258 Mboe per day contribution from Crescent Energy Company (NYSE:CRGY). While targeting three critical regions: Permian Basin, Eagle Ford Basin, and Uinta Basin, the venture will offer investors a chance to capitalize on stable production and thus provide financial solidity.
But that’s not it. Apart from immediate cost savings of between $90 million and $100 million, management expects long-term synergies of $150 million to $215 million on an annual run-rate basis. This collaboration is a testament to the bright future of Crescent Energy Company (NYSE:CRGY).
Crescent Energy Company (NYSE:CRGY) is a Texas-based energy company that explores and produces crude oil, natural gas, and natural gas liquids. Founded in 2011, the company is dedicated to investing in energy assets.
8. Qfin Holdings, Inc. (NASDAQ:QFIN)
Upside Potential as of September 11, 2025: 74.3%
In the first quarter, Kadensa Capital Ltd increased its position in Qfin Holdings, Inc. (NASDAQ:QFIN) through the purchase of 132,769 shares, valued at $5,963,000. The asset management firm now owns nearly 0.08% of the company.
The stock is famous for three things: growth, value, and long-term potential. We have previously seen how Qfin Holdings, Inc. (NASDAQ:QFIN) has delivered consistent profitability and strong growth, with no quarter has let investors down. The company’s business model is what keeps everything interesting. Through its commitment to offering online loans to young Chinese professionals without requiring collateral, the company has captured a significant market share.
From the use of AI, ML, and big data to evaluate the financial ability of their borrowers to pay back the loan to utilizing advanced technology to mitigate risks and expand rapidly, Qfin Holdings, Inc. (NASDAQ:QFIN) is one of the most underrated fintech stocks. With the stock trading far lower than its value, investors shouldn’t delay acquiring it.
Qfin Holdings, Inc. (NASDAQ:QFIN) is a Chinese AI-driven credit-tech platform that provides credit-driven services and platform services. Incorporated in 2016, the company serves a diverse clientele, including financial institutions, consumers, and micro- and small-enterprises.
7. BioMarin Pharmaceutical Inc. (NASDAQ:BMRN)
Upside Potential as of September 11, 2025: 74.3%
According to the announcement on September 8, 2025, BioMarin Pharmaceutical Inc. (NASDAQ:BMRN) presented new data from 14 studies at the American Society for Bone and Mineral Research 2025 (ASBMR) Annual Meeting in Seattle. The presentation also outlined the results of treatment with VOXZOGO (vosoritide), highlighting both anatomical improvements in spinal morphology and continued efficacy in children who received the medicine.
An evaluation of the double-blind and placebo-controlled Phase 2 CANOPY clinical study (111-206), conducted in children aged 5 or under with achondroplasia, analyzed the effect of VOXZOGO on spinal morphology, a factor that is a root of spinal stenosis, a serious complication of the condition, where clinical data is still inadequate.
If there’s one company that everyone has high hopes for, it’s BioMarin Pharmaceutical Inc. (NASDAQ:BMRN). Although the company delivered negative returns in the past, the future doesn’t quite appear the same, all thanks to the Inozyme acquisition, which is anticipated to secure what is often called “a first mover advantage.”
BioMarin Pharmaceutical Inc. (NASDAQ:BMRN) is a California-based biotechnology company that develops and commercializes therapies for life-threatening diseases. Incorporated in 1996, the company is dedicated to pursuing bold scientific endeavors.
6. BitFuFu Inc. (NASDAQ:FUFU)
Upside Potential as of September 11, 2025: 75.5%
During August, BitFuFu Inc. (NASDAQ:FUFU) increased its Bitcoin holdings to 1,899 BTC, representing a 115 BTC rise from the previous month. While boosting its fleet efficiency to 17.5 J/TH, the company enhanced its mining efficiency through the expansion of its self-owned hashrate to 5.0 EH/s.
These improvements not only underscore the company’s commitment to sustainable growth and operational efficiency but also generate long-term value for its shareholders. What makes the bullish thesis on BitFuFu Inc. (NASDAQ:FUFU) even stronger is its strategic investments in energy and asset tokenization. Many believe these will set the foundation for the company’s rebound in the times ahead.
If there’s one company that often goes unappreciated by investors, particularly in the bitcoin economy, it’s BitFuFu Inc. (NASDAQ:FUFU). We have seen how the company has made significant progress in its aim to achieve energy independence by managing its own natural gas in key areas, in contrast to other crypto miners that are exposed to market fluctuations. This alone distinguishes the company from its peers.
BitFuFu Inc. (NASDAQ:FUFU) is a Singapore-based digital asset mining solutions company operating in North America, Asia, and Europe, among others. The core offerings of the company include cloud-mining services, miner hosting services, and Bitcoin self-mining.
5. Vista Energy, S.A.B. de C.V. (NYSE:VIST)
Upside Potential as of September 11, 2025: 80.5%
Mirae Asset Global ETFs Holdings Ltd. has expanded its stake in Vista Energy, S.A.B. de C.V. (NYSE:VIST) by 13.9% in the first quarter. With the purchase of 109,483 shares, the firm now owns 896,300 shares of the company’s stock, valued at $41,732,000.
We already know that Vista Energy, S.A.B. de C.V. (NYSE:VIST) is a key player in Argentina’s Vaca Muerta basin, a basin which is anticipated to witness some of the fastest growth. Analysts believe that Vaca Muerta’s potential today is the same as the Permian Basin’s a decade ago. While representing one of the Milei administration’s major commitments, the project is one of the few long-term policies in Argentina.
Equally praiseworthy is the leadership behind Vista Energy, S.A.B. de C.V. (NYSE:VIST), led by its CEO and leading shareholder, Miguel Galuccio. Without such strong direction, the company wouldn’t have been able to acquire the Argentine subsidiary of Petronas (PEPASA) and complete the Aconcagua Energía purchase agreement through Tango Energy so smoothly.
Vista Energy, S.A.B. de C.V. (NYSE:VIST), headquartered in Mexico City, explores and produces oil and gas in Latin America. Founded in 2017, the company is committed to generating superior shareholder returns.
4. LexinFintech Holdings Ltd. (NASDAQ:LX)
Upside Potential as of September 11, 2025: 98.3%
According to the recent disclosure with the Securities and Exchange Commission, Nomura Holdings Inc. has increased its position in LexinFintech Holdings Ltd. (NASDAQ:LX) by a whopping 437.7% during the first quarter. Following the addition of 414,749 shares, the firm now owns 509,512 shares of the company’s stock, valued at $5,141,000.
With the rise in BNPL services, the outlook looks overwhelmingly positive for LexinFintech Holdings Ltd. (NASDAQ:LX). The economic appeal of BNPL, particularly in lower-income younger generations, is increasingly replacing traditional credit card transactions. Even if we consider the one-year return, the company has outperformed the market by an impressive 249.82%.
Additionally, LexinFintech Holdings Ltd. (NASDAQ:LX) has formed key relationships with merchants, lending partners, and registered clients. This, along with its focus on the underbanked user, positions the company well in the market.
LexinFintech Holdings Ltd. (NASDAQ:LX), founded in 2013, is a Chinese company that provides online direct sales and online consumer finance services. The core offerings of the company include Fenqile, Lehua Card, Maiya, and Juzi Licai.
3. Riley Exploration Permian, Inc. (NYSEAMERICAN:REPX)
Upside Potential as of September 11, 2025: 114.4%
According to a recent disclosure with the SEC, PDT Partners LLC has trimmed its stake in Riley Exploration Permian, Inc. (NYSEAMERICAN:REPX) by 34.2% during the first quarter. Following the sale of 8,681 shares, the hedge fund firm now owns 16,698 shares, which translates to an ownership of about 0.08%.
Just recently, Riley Exploration Permian, Inc. (NYSEAMERICAN:REPX) announced the completion of its Silverback acquisition, a step that will contribute to overall growth and market access. With management partially reversing its previous capex budget cuts, we can expect the company to rebuild its DUCs and alleviate its New Mexico gas takeaway situation.
If there’s one thing about Riley Exploration Permian, Inc. (NYSEAMERICAN:REPX) that is valued the most, it’s the fact that the company never ignores its shareholders. The company has mastered the skill of perfectly allocating its resources between investments and investors’ remuneration. A testament to this is the company’s approximately 6% dividend yield, amid the development of its midstream and power projects.
Riley Exploration Permian, Inc. (NYSEAMERICAN:REPX) is an Oklahoma-based independent oil and natural gas company that acquires, explores, and produces oil, natural gas, and natural gas liquids.
2. Telix Pharmaceuticals Limited (NASDAQ:TLX)
Upside Potential as of September 11, 2025: 138.8%
On September 10, 2025, Telix Pharmaceuticals Limited (NASDAQ:TLX) announced the dosing of the first patient in a Phase 3 clinical trial, designed to enhance the indications for Illuccix® and Gozellix® to incorporate prostate cancer diagnosis.
Biopsy of the Prostate Avoidance Stratification Study, or more commonly referred to as BiPASS, is the first registration-enabling study to assess whether the MRI and PSMA-PET imaging combination can actually enhance sensitivity and specificity in diagnosing prostate cancer. While enrolling 204 patients in Australia and the United States, Telix Pharmaceuticals Limited (NASDAQ:TLX) is committed to expanding on the research on the benefits of PSMA-PET and MRI.
As stated by Prof. Costello, Founder and Director, APC,
“Combining MRI and PSMA-PET imaging has the potential to improve both the patient experience and diagnostic accuracy. As such, being part of this study is very important to the APC and our patients.”
Telix Pharmaceuticals Limited (NASDAQ:TLX) is an Australian commercial-stage biopharmaceutical company that develops and commercializes therapeutic and diagnostic radiopharmaceuticals. Incepted in 2015, the company operates through three segments: Precision Medicine, Therapeutics, and Manufacturing Solutions.
1. Black Diamond Therapeutics, Inc. (NASDAQ:BDTX)
Upside Potential as of September 11, 2025: 193.4%
Guggenheim assumed coverage on Black Diamond Therapeutics, Inc. (NASDAQ:BDTX) with a “Buy” rating and a price target of $8.00, implying a surge of 146.5% from the current price. The analysts have high expectations for the company’s silevertinib Phase 2 data due in the second half of 2025.
Guggenheim believes silevertinib’s preclinical profile, which is designed for broad-spectrum mutation selectivity over wild-type EGFR, positions Black Diamond Therapeutics, Inc. (NASDAQ:BDTX) well to meet the set 50% objective response rate (ORR) and 10-month median progression-free survival (mPFS) metrics. Adding to this are strong second-line response rates after osimertinib treatment that could attract strategic partnerships in the future.
If we consider the company’s year-to-date return, Black Diamond Therapeutics, Inc. (NASDAQ:BDTX) has surpassed the market by nearly 40%. For what it’s worth, now is the time to take a position in the stock because when the stock rallies, it could rally hard.
Black Diamond Therapeutics, Inc. (NASDAQ:BDTX), headquartered in Cambridge, Massachusetts, is a 2014-formed clinical-stage oncology company that discovers and develops MasterKey therapies for people living with genetically defined tumors.
While we acknowledge the potential of BDTX 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 BDTX and that has 100x upside potential, check out our report about this cheapest AI stock.
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