In this article, we will look at the 10 Stocks Expected to Bounce Back According to Analysts.
On June 22, Stephen Parker, JPMorgan Private Bank co-head of global investment strategy, appeared on a CNBC Television interview to discuss the latest market trends and his S&P 500 base and bullish case targets. Parker believes that the market gains and the bullish run are likely to continue. His base case for the S&P 500 is 7,800, while the bullish case suggests the index can reach 8,900 by the end of the year. Parker elaborated that most of the market runs we have seen until now have been driven by earnings, as even the most bullish earnings expectations have been consistently surpassed.
Parker believes that the earnings momentum is likely to continue throughout the year. He elaborated that his base case assumes lower multiples, and even if the multiples continue to stay where they are, the index can easily surpass 8,900 by the end of 2026. Parker noted that most of the growth has been driven by the technology sector and particularly the capital expenditure story. He highlighted that the market is expected to broaden out as 8 out of the 11 sectors of the S&P index are expected to deliver double-digit growth.
With that, let’s take a look at some of the Stocks Expected to Bounce Back According to Analysts.
Our Methodology
To curate the list of 10 Stocks Expected to Bounce Back According to Analysts, we used the Finviz stock screener, CNN, and Insider Monkey’s database as our sources. Using the screener, we aggregated a list of stocks that have declined more than 20% on a year-to-date basis, but Wall Street sees more than 30% upside. Next, we checked the stock performance and upside from CNN and ranked the stocks in ascending order of the number of hedge fund holders sourced from Insider Monkey’s hedge fund database.
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. Insider Monkey’s quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).
10 Stocks Expected to Bounce Back According to Analysts
10. SAP SE (NYSE:SAP)
Year-to-Date Decline: 34.48%
Upside Potential: 61.06%
Number of Hedge Fund Holders: 33
SAP SE (NYSE:SAP) has fallen more than 34% year-to-date, but the street expects more than 61% upside from the current level. Moreover, 82% of the 17 analysts covering the stock maintain a Buy rating on the shares. SAP SE (NYSE:SAP) ranks among our list of Stocks Expected to Bounce Back According to Analysts.
The share price fell on June 10, after Goldman Sachs trimmed its margin forecasts for SAP ahead of its Q2 results. The stock has fallen more than 8.85% since Goldman lowered margin forecasts. The bank cited higher hardware costs in the second half of 2026 as the main pressure point. Goldman lowered second-half 2026 gross margin estimates from 73.3% to 72.8% and also adjusted the full-year EBIT growth forecast to around 15%.
In addition, the firm also believes that the company’s two pending acquisitions, Dremio and Prior Labs, are expected to be mildly margin dilutive; however, the company believes that this will be offset by cost efficiencies in other businesses. Goldman left its cloud backlog growth assumptions largely unchanged, though it slightly raised its FY26 forecast after factoring in the recently closed Reltio acquisition. Analysts also flagged that a Middle Eastern customer is expected to scale back, adding some near-term pressure on cloud revenue.
Despite the caution, the firm has a Buy rating on the stock with a price target of $311.
SAP SE (NYSE:SAP) is a technology company that was founded in 1972 and is headquartered in Germany. The company primarily offers enterprise applications and business solutions.
9. Accenture plc (NYSE:ACN)
Year-to-Date Decline: 50.77%
Upside Potential: 45.34%
Number of Hedge Fund Holders: 64
Accenture plc (NYSE:ACN) has declined more than 50% year-to-date and around 34% since the start of June. While the share price has been hit due to sector-wide margin concerns, the stock plummeted further after management narrowed its full-year local-currency revenue growth forecast from a range of 3% – 5% to 3% – 4%.
Wall Street still expects the stock to rebound as the 12-month average analyst price target reflects more than 45% upside from the current level. As a result, Accenture plc (NYSE:ACN) ranks as one of the Stocks Expected to Bounce Back According to Analysts.
Recently, on June 15, Morgan Stanley downgraded the stock from Overweight to Equal Weight, cutting its price target sharply to $177 from $240. The analyst cited three key concerns. Firstly, the expected rationalization of AI spending hasn’t materialized in a way that benefits Accenture. Second, the interest rate environment is less supportive for client budget growth, making it harder for the company to expand its business. Lastly, the analyst expects the company’s future acquisitions to be increasingly expensive, adding another layer of financial pressure.
Accenture (NYSE:ACN) is a global professional services company specializing in strategy, consulting, technology, and digital transformation. Headquartered in Dublin, Ireland, the company provides services in cloud computing, artificial intelligence, security, and operations, helping organizations modernize systems and drive innovation across industries.
8. Constellation Energy Corporation (NASDAQ:CEG)
Year-to-Date Decline: 25.17%
Upside Potential: 34.09%
Number of Hedge Fund Holders: 79
Constellation Energy Corporation (NASDAQ:CEG) has fallen around 25% year-to-date. The Street expects the stock to rebound as the analysts’ 12-month average price target suggests more than 34.09% upside from the current level.
The bullish sentiment is based on the long-term strength of the company as it leverages a massive nuclear fleet to meet surging hyperscale data center power demand. Constellation Energy Corporation (NASDAQ:CEG) ranks among our Stocks Expected to Bounce Back According to Analysts.
Recently, on June 17, Bernstein initiated coverage of the stock with an Outperform rating and a $296 price target. The firm launched coverage across the power, clean energy, and LNG sectors.
Bernstein’s core thesis suggests that the United States is going through a generational shift in energy production, transmission, and consumption. Under this shift, the firm sees a clear role for each energy type as gas funds the transition, utilities build the necessary infrastructure, and clean energy is the ultimate end goal.
For Constellation specifically, Bernstein highlights its regulated operations as stable and effective, complemented by a growing renewable portfolio. This combination positions the company well within the broader energy transformation.
Constellation Energy Corporation (NASDAQ:CEG) is a leading energy supplier specializing in reliable, emissions-free energy for businesses, homes, and public sector customers.
7. Intuit Inc. (NASDAQ:INTU)
Year-to-Date Decline: 57.58%
Upside Potential: 67.23%
Number of Hedge Fund Holders: 92
The share price of Intuit Inc. (NASDAQ:INTU) has fallen more than 57% on a year-to-date basis. The primary factors are downward revision in TurboTax growth and concerns over AI disruption. However, the Street still expects more than 67% upside over the next 12 months, making it one of the Stocks Expected to Bounce Back According to Analysts.
Recently, on June 18, Stifel Financial downgraded Intuit Inc. (NASDAQ:INTU) from Buy to Hold and lowered the price target from $375 to $275. The firm remains concerned about the company’s future growth trajectory. It noted that Intuit is moving from aggressive price increases toward a value-based pricing model. This comes as a response to market-share losses and growing customer price sensitivity. Stifel believes this strategic pivot will force the company to reset its long-term growth expectations downward.
Analysts expect these changes to be formally announced at Intuit’s analyst day in September. Moreover, regarding TurboTax, Stifel forecasts the long-term growth target will be cut sharply to 4%-6% from the current 10%, as lower-income customers push back on price increases in the do-it-yourself tax-filing market. The firm also expects Global Business Solutions segment growth targets to be trimmed to 10% – 15%, down from 20%.
Intuit Inc. (NASDAQ:INTU) is a global financial technology platform behind TurboTax, Credit Karma, QuickBooks, Mailchimp, and Intuit Enterprise Suite, serving about 100 million customers worldwide.
6. Palantir Technologies Inc. (NASDAQ:PLTR)
Year-to-Date Decline: 23.47%
Upside Potential: 55.68%
Number of Hedge Fund Holders: 96
Palantir Technologies Inc. (NASDAQ:PLTR) is one of the Stocks Expected to Bounce Back According to Analysts. The stock has fallen around 23% year-to-date. However, Wall Street expects more than 55% upside from the current level.
Recently, on June 16, Wolfe Research upgraded Palantir Technologies Inc. (NASDAQ:PLTR) from Underperform to Peer Perform as it resumed coverage. The firm didn’t assign a price target. Wolfe noted that they like the fundamentals of Palantir and believe its AI Platform, ontology, and forward-deployed engineers give the company a unique ability to convert AI interest into real and scaled enterprise adoption. The firm noted that this is an area where most of its competitors have failed.
Wolfe also believes the company’s product is the best market fit for any enterprise software company. The firm only assigned a Hold rating despite the positive outlook, as it believes that Palantir’s current valuation already accounts for much of the improved margins and future growth.
Palantir Technologies Inc. (NASDAQ:PLTR) is a software company that develops and deploys data integration and analytics platforms for government agencies, defense organizations, and enterprise clients. Its notable products include Palantir Gotham, Foundry, and Apollo.
While we acknowledge the potential of PLTR 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 PLTR and that has 100x upside potential, check out our report about the cheapest AI stock.
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