In this article, we will take a look at the 10 Stocks Analysts Are Upgrading Today.
The easing of the US-China trade war is the catalyst driving equity markets higher after weeks of heightened volatility. Major US indices are once again back into positive territory after recouping all the losses accrued in the aftermath of the U.S. waging a ferocious trade war in the race to settle a long-running trade deficit.
“And just like that, the markets’ twin fears — a tariff-induced recession and sticky inflation — have been greatly assuaged,” said Chris Zaccarelli, chief investment officer at Northlight Asset Management. “We’re still concerned that high valuations and market concentration remain risks to much higher stock prices this year, but in the short run, markets should love this data and continue yesterday’s (China-trade) celebration.”
The Magnificent Seven club members added over $800 billion in market value in the aftermath of the U.S. and China pausing most tariffs on each other’s goods. As trade tensions between the two greatest economies in the world threatened to disrupt supply chains and harm some of the top U.S. enterprises, technology equities, including semiconductor companies and smartphone manufacturers, were impacted significantly.
However, after negotiations between the United States and China resulted in a brief halt to “reciprocal” duties, investors exhaled with relief. A 90-day tariff delay agreed to by the United States and China relieved Wall Street.
“With US/China clearly on an accelerated path for a broader deal we believe new highs for the market and tech stocks are now on the table in 2025 as investors will likely focus on the next steps in these trade discussions which will happen over the coming months. This morning is a huge win for the bulls and a best case scenario post this weekend in our view,” Daniel Ives, global head of technology research at Wedbush Securities, said in a note on Monday.
Adding to the gains following tariff relief was softer-than-expected inflation data that affirmed the case for a Federal Reserve interest rate cut in June. In April, the consumer price index, a broad indicator of the expenses of goods and services across the U.S. economy, rose 2.3% annually. According to a Dow Jones poll of economists, last month’s inflation rate was projected to stay at 2.4% year over year. The much lower inflation level amid a waging tariff war has heightened the case for the U.S. central bank to cut rates, which works in favor of equities.
Consequently, analysts on Wall Street have been aggressive in upgrading stocks initially battered by concerns of the long-term impact of a vicious U.S.-China trade war. With the 90-day truce, awaiting further negotiations, analysts expect heightened trading activities between the two nations, which is a positive for business.
Our Methodology
We sifted through financial media reports to compile a list of 10 stocks analysts are upgrading today, on May 13. We then settled on the top 10 stocks that have received an analyst upgrade and ranked them in ascending order based on their upside potential.
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 Stocks Analysts Are Upgrading Today
10. Insulet Corporation (NASDAQ:PODD)
Stock Upgrade: Peer Perform to Outperform
Stock Price Target: $350
Stock Upside Potential as of May 13: 11.46%
Insulet Corporation (NASDAQ:PODD) is a medical devices company that develops, manufactures, and sells insulin delivery systems for people with insulin-dependent diabetes. It offers Omnipod platform products comprising the Omnipod 5 automated insulin delivery system, which includes a proprietary AID algorithm embedded in the pod that integrates with a third-party. The company delivered solid first quarter 2025 results, characterized by a 69% earnings per share increase to $1.02
Revenues, on the other hand, were up 28% to $569 million, prompting the medical device maker to raise its second quarter and full year 2025 revenue guidance. Consequently, Insulet expects quarterly sales to rise by an average of 17% over the next four quarters with full-year revenues increasing by 30%.
The better-than-expected quarterly results and guidance underscore growing demand for Insulet products in revolutionizing diabetes management. Likewise, analysts at Wolfe Research have upgraded Insulet Corporation (NASDAQ:PODD) to ‘Outperform’ from ‘Peer Perform’ and set the price target at $350. According to the firm, Insulet is well positioned to achieve high market penetration rates in the type 1 diabetes sector, which could see it secure a market share of between 40% and 50%.
9. Caterpillar Inc. (NYSE:CAT)
Stock Upgrade: Neutral to Outperform
Stock Price Target: $395
Stock Upside Potential as of May 13: 12.21%
Caterpillar Inc. (NYSE:CAT) is an industrial company that manufactures and sells construction and mining equipment, off-highway diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives. While the company has been under pressure amid the vicious US-China trade war, it has received some reprieve from the two nations, laying out a framework for a trade deal and suspending some tariffs.
Consequently, Baird analysts have upgraded Caterpillar Inc. (NYSE:CAT) to an ‘Outperform’ and lifted the price target to $395. The upgrade comes on the US easing tariffs on China, one of the company’s key markets. Likewise, analysts at Baird expect the easing of tariffs to make 2025 a ‘trough’ year for the company’s earnings, allowing the stock to bounce back and catch up with the S&P 500 after underperforming by about 15% over the past year.
Caterpillar Inc. (NYSE:CAT) delivered disappointing first-quarter results with revenues declining 10% year-over-year to $14.25 billion. On a per share basis, earnings came in at $4.20, missing estimates of $4.30. As the macroeconomic outlook becomes more definite, lower tariffs on China will limit the negative impact on Caterpillar’s expenses and provide enhanced visibility for customers looking to invest/deploy resources.
8. Valero Energy Corporation (NYSE:VLO)
Stock Upgrade: Neutral to Buy
Stock Price Target: $154
Stock Upside Potential as of May 13: 14.07%
Valero Energy Corporation (NYSE:VLO) is a multinational fuel producer and marketer known for refining, marketing, and transporting fuels and petrochemical products. It is the world’s largest independent refiner and a leading producer of low-carbon transportation fuels. While the overall energy sector has been under pressure due to oil prices plunging, the company has held steady with a 12% year-to-date gain.
Similarly, Goldman Sachs upgraded Valero Energy Corporation (NYSE:VLO) to a ‘Buy’ from ‘Neutral’ and increased the price target to $154 from $127. According to analysts, Valero is well positioned to benefit from limited refining capacity additions and improving crude differentials on the return of OPEC+ supply. Likewise, the company earnings are projected to increase from $7.50 a share this year to over $12.50 by 2027.
Valero Energy Corporation (NYSE:VLO) delivered mixed first-quarter 2025 results as revenues declined 4.7% year-over-year to $30.3 billion but beat Wall Street estimates by 6.3%. While adjusted earnings per share fell 76.8% year-over-year to $0.89, it still topped analysts’ estimates of $9.43. Additionally, the company reaffirmed its commitment to returning value to shareholders by hiking its quarterly dividend by 5.6%, affirming why it is one of the top energy stocks.
7. Aon plc (NYSE:AON)
Stock Upgrade: Neutral to Buy
Stock Price Target: $408
Stock Upside Potential as of May 13: 14.97%
Aon plc (NYSE:AON) is a financial services company that offers a range of risk and human capital solutions. It provides commercial risk solutions, including retail brokerage, specialty solutions, global risk consulting, and captive management. While the company delivered disappointing first-quarter 2025 results, Goldman Sachs is confident of its long-term prospects and growth metrics.
Goldman Sachs analyst Robert Cox upgraded Aon plc (NYSE:AON) from a ‘Neutral’ to a ‘Buy’ with a $408 price target. The upgrade affirms growing confidence that the professional services company can perform well in a challenging macroenvironment. The upgrade also comes on AON, reaffirming its 2025 guidance.
Aon plc (NYSE:AON) expects organic growth in the mid-single digits or greater. Free cash flow is also expected to grow by double-digit percentage points at the back of an expansion in operating margin. In the first quarter, revenue totaled $4.73 billion, missing estimates of $4.86 billion but higher than the $4.07 billion delivered last year. Total expenses increased to $3.27 billion from $2.61 billion a year ago, attributed to the NFP acquisition.
6. First Solar, Inc. (NASDAQ:FSLR)
Stock Upgrade: Peer Perform to Outperform
Stock Price Target: $221
Stock Upside Potential as of May 13: 15.70%
First Solar, Inc. (NASDAQ:FSLR) is a solar technology company providing photovoltaic (PV) solar energy solutions. It manufactures and sells PV solar modules with a thin-film semiconductor technology that provides a lower-carbon alternative to conventional crystalline silicon PV solar modules. The company’s outlook received a significant boost after an early draft of the Republican tax and spending bill turned out not to be as bad for renewable energy as initially feared.
Likewise, Wolfe Research upgraded First Solar, Inc. (NASDAQ:FSLR) to ‘Outperform’ from ‘Peer Perform’ and set a new price target of $221. The upgrade comes amid growing confidence that First Solar will be one of the beneficiaries of the Inflation Reduction Act and anti-China sentiment. A confirmation that the 45X tax credit for renewables is unlikely to be repeated also bolstered the company’s outlook.
In a research note to investors, Wolfe Research pointed out that the political climate and legislative actions are increasingly creating a favorable environment for First Solar, Inc. (NASDAQ:FSLR) and other renewable energy companies.
“We’re upgrading FSLR on better clarity on 45X credits for the first time since election year politics started in early 2024. We have been wary of IRA risks for 18 months on FSLR and view the House Ways & Means slight shortening of 45X credits as a relief,” Wolfe analysts wrote in a note Monday.
5. Coinbase Global, Inc. (NASDAQ:COIN)
Stock Upgrade: Neutral to Buy
Stock Price Target: $300
Stock Upside Potential as of May 13: 17.18%
Coinbase Global, Inc. (NASDAQ:COIN) is a financial services company that operates a cryptocurrency exchange and manages digital assets. It offers consumers the primary financial account in the crypto economy, a brokerage platform with a liquidity pool across the crypto marketplace for institutions. On May 13, Monness, Crespi, Hardt & Co., Inc. upgraded the stock to a ‘Buy’ from a ‘Neutral’ and reiterated a $300 price target.
With the upgrade, the firm insists that Coinbase Global, Inc.’s (NASDAQ:COIN) Q2 guidance of $600 million to $680 million in subscription and services revenue is conservative. The firm is optimistic that the company will generate more revenues given the strength of the underlying assets, especially Ethereum and Solana.
The upgrade also comes on Coinbase Global, Inc. (NASDAQ:COIN), receiving its biggest validation following its inclusion into the S&P 500. With the inclusion, it became the first crypto company to join the index, affirming the integration of cryptocurrencies and traditional finance. The inclusion is expected to be a significant catalyst given the heightened institutional demand and support that the stock is likely to receive.
“There’s some validation here. We have Coinbase’s inclusion in the S&P reinforces the idea that crypto isn’t just a niche market,” said Kristin Smith, who heads the crypto advocacy group Blockchain Association.
4. Ryan Specialty Holdings, Inc. (NYSE:RYAN)
Stock Upgrade: Neutral to Buy
Stock Price Target: $81
Stock Upside Potential as of May 13: 19.11%
Ryan Specialty Holdings, Inc. (NYSE:RYAN) provides specialty products and solutions for insurance brokers, agents, and carriers. It offers distribution, underwriting, product development, administration, and risk management services as a wholesale broker and a managing underwriter.
Goldman Sachs upgraded Ryan Specialty Holdings, Inc. (NYSE:RYAN) from a ‘Neutral’ to a ‘Buy’ on growing optimism about its organic growth prospects, revenue expansion, and margin improvement. In addition, the investment bank hiked the price target to $81 from $74, citing the company’s track record in outperforming peers on growth and profitability.
Ryan Specialty Holdings, Inc. (NYSE:RYAN) boasts a 22.53% revenue growth over the last 12 months and a compounded annual growth rate of 26% over the last five years. The company delivered better-than-expected first-quarter 2025 results as earnings aligned with estimates of $0.39. Revenue totaled $690.2 million against $683.94 million expected.
3. Antero Resources Corporation (NYSE:AR)
Stock Upgrade: Neutral to Outperform
Stock Price Target: $49
Stock Upside Potential as of May 13: 19.31%
Antero Resources Corporation (NYSE:AR) is an independent oil and natural gas Company that develops, produces, explores, and acquires natural gas, natural gas liquids (NGLs), and oil properties. The stock has continued outperforming the overall sector despite oil prices plunging to multi-year lows.
Likewise, analysts at Mizuho have upgraded Antero Resources Corporation (NYSE:AR) from a ‘Neutral’ to an ‘Outperform’ and hiked the price target to $49 from $47. The upgrade comes as the company delivered solid first-quarter 2025 results and adjusted its integrated oil models. Net income totaled $208 million and adjusted net income rose to $247 million. Adjusted EBITDAX surged 110% to $549 million, and operating cash flow climbed 75% to $458 million.
Even though the analyst firm expects a significant decline in oil prices, it also projects a significant improvement in gas and refining fundamentals, which should benefit Antero Resources over the next year. Mizuho has also raised its gas forecast for the US by 15%, convinced of an undersupplied market which should benefit Antero Resources Corporation (NYSE:AR). Additionally, the firm projects enhanced refining fundamentals given the tight inventory. Antero Resources also returned value to shareholders, repurchasing 2.7 million shares for $92 million.
2. Stanley Black & Decker, Inc. (NYSE:SWK)
Stock Upgrade: Equal Weight to Overweight
Stock Price Target: $90
Stock Upside Potential as of May 13: 23.28%
Stanley Black & Decker, Inc. (NYSE:SWK) provides hand tools, power tools, outdoor products, and related accessories for professional and consumer applications. It offers professional-grade corded and cordless electric power tools and equipment, including drills, impact wrenches, and drivers. Barclay’s analyst Julian Mitchell upgraded the stock to an ‘Overweight’ from ‘Equal Weight’ and hiked the price target to $90 from $69.
The upgrade includes revising the company’s earnings per share estimate to affirm a more optimistic outlook. Barclays expects Stanley Black and Decker to post an EPS of $5.76 in 2025, higher than the consensus estimate of $5.64 for fiscal 2025. The firm hiked the EPs estimate on expectations that the company will benefit from the improving US-China trade relations following the easing of trade tariffs.
According to Barclays, improving trade relations between the US and China should trigger organic sales growth of 4% and an adjusted operating margin expansion of over 100 basis points. Stanley Black and Decker had initially warned that it would have to raise prices of its tools as a mitigation against Trump’s tariffs. The company also expected the tariff war to affect its EPS by about 75 cents. However, with the Trump administration reaching a 90-day truce, Stanley Black & Decker, Inc.’s (NYSE:SWK) outlook has been boosted.
1. Argenx SE – ADR (NASDAQ:ARGX)
Stock Upgrade: Neutral to Outperform
Stock Price Target: $680
Stock Upside Potential as of May 13: 25.75%
Argenx SE – ADR (NASDAQ:ARGX) is a global immunology company that develops and commercializes novel antibody-based medicines for treating severe autoimmune diseases and cancer. It offers VYGART and VYGART HYTRULO to treat generalized myasthenia gravis (gMG), immune thrombocytopenia (ITP), and chronic inflammatory demyelinating polyneuropathy (CIDP). Robert W Baird upgraded the stock to an ‘Outperform’ from a ‘Neutral’ on expectations that its lead product, Vygart, is poised for long-term growth driven by volume.
The upgrade also comes on Argenx SE – ADR (NASDAQ:ARGX), delivering impressive first-quarter 2025 results. The company’s total product sales for VYGART and VYGART SC nearly doubled to $790 million compared to $398 million delivered the same quarter last year. Likewise, Argenx bounced to profitability with a profit of $169 million compared to a loss of $62 million for the same quarter the previous year.
While Vygart has been the catalyst behind the underlying growth, Argenx SE – ADR (NASDAQ:ARGX) is already advancing 10 phase 2 and 10 Phase 3 trials across efgartigimod, empasiprubart, and ARGX-11. It is part of an effort to expand into new therapeutic areas to unlock new growth opportunities. Robert W Baird expects a strong balance sheet to support long-term growth.
While we acknowledge the potential of Argenx SE – ADR (NASDAQ:ARGX) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than ARGX but that trades at less than 5 times its earnings check out our report about this cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
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