Earlier on July 17, Sharmin Mossavar-Rahmani, Goldman Sachs CIO of wealth management, joined ‘Squawk Box’ on CNBC to discuss the latest market trends, what to expect in H2 2025, the state of the economy, impact of tariffs, and more. She expects earnings to continue to surprise to the upside. Mossavar-Rahmani noted that while only 8% of companies have reported so far, the consensus earnings estimates are too low, as they project a slight decrease in EPS, which is an event that occurs very rarely. She added that even during recessions, EPS typically increases sequentially. She argued that this pessimism sets a low bar, which is generally positive for the stock market.
Mossavar-Rahmani also confirmed that growth expectations have been downgraded from over 2% to around 1.5%, so the slowdown, expected in H2, is priced into the market. She doesn’t see a 1.5% growth rate as a problem, but rather a positive that will lead to less inflationary pressure. She likened the current situation with tariffs to the debate over whether COVID-related inflation was transitory or persistent. She explained that it takes time to separate the noise from the economic data. She noted that the average tariff rate started the year at about 2.5% but has risen to around 14%, with an expectation to end up between 15% and 20%. She stated that Goldman Sachs’s research suggests that the cost of these tariffs will be distributed: 20% absorbed by producers, 40% by US businesses, and 40% by consumers, which is a number that could eventually reach 70% for consumers, thereby creating some inflation.
That being said, we’re here with a list of the 11 best upside stocks to invest in now.
A portfolio manager studying various stocks and other securities on a tablet.
Our Methodology
We first sifted through different stock screeners to compile a list of the best stocks with analysts’ upside potential of over 35%, as of August 11. We then selected the 11 stocks that were the most popular among elite hedge funds and that analysts were bullish on. The stocks are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q1 2025.
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).
11 Best Upside Stocks to Invest in Now
11. HubSpot Inc. (NYSE:HUBS)
Average Upside Potential as of August 11: 60.77%
Number of Hedge Fund Holders: 61
HubSpot Inc. (NYSE:HUBS) is one of the best upside stocks to invest in now. On August 7, FormAssembly, which is a data collection platform, announced the release of its new HubSpot Connector. The integration allows HubSpot users to build dynamic and secure web forms and directly route collected data into the HubSpot CRM.
The connector is designed to simplify complex data workflows, improve lead capture, and increase data accuracy by automating the flow of information. It offers real-time integration with both standard and custom objects within HubSpot, as well as advanced routing capabilities. FormAssembly’s expertise in secure and scalable data capture is now extended to the HubSpot ecosystem to make compliant data collection more accessible across different platforms.
The forms can be created using a drag-and-drop tool and can be multi-page, branded, and equipped with features like conditional logic, pre-fill, and save and resume functionality. Responses can be routed to multiple destinations, including HubSpot, and can trigger other workflows upon submission. The connector is versatile and can support various use cases in marketing, sales, and support.
HubSpot Inc. (NYSE:HUBS) provides a cloud-based customer relationship management/CRM platform for businesses in the Americas, Europe, and the Asia Pacific. The company’s CRM platform includes Marketing Hub, Sales Hub, Service Hub, and Content Hub.
10. Revolution Medicines Inc. (NASDAQ:RVMD)
Average Upside Potential as of August 11: 107.49%
Number of Hedge Fund Holders: 61
Revolution Medicines Inc. (NASDAQ:RVMD) is one of the best upside stocks to invest in now. Earlier on July 23, Revolution Medicines announced that the US FDA granted Breakthrough Therapy Designation to elironrasib (RMC-6291), its RAS(-ON) G12C-selective inhibitor. The designation is for treating adult patients with KRAS G12C-mutated locally advanced or metastatic non-small cell lung cancer/NSCLC who have already undergone chemotherapy and immunotherapy but have not yet been treated with a KRAS G12C inhibitor.
The designation aims to expedite the development and review of the drug, which addresses a significant unmet medical need. It was based on promising data from the Phase 1 RMC-6291-001 clinical trial. In the trial, elironrasib monotherapy showed competitive antitumor activity, a compelling objective response rate, and progression-free survival in patients with advanced KRAS G12C solid tumors.
Elironrasib is an innovative inhibitor that selectively binds to the oncogenic RAS(-ON) form of the RAS G12C variant. This variant is a driver in ~12% of NSCLC cases. Revolution Medicines is currently exploring elironrasib as a monotherapy and in combination with other treatments. KRAS mutations are found in nearly 30% of NSCLC cases, with KRAS G12C being the most common subtype. Currently, there are no fully FDA-approved RAS-targeted inhibitors for patients with KRAS G12C NSCLC.
Revolution Medicines Inc. (NASDAQ:RVMD) is a clinical-stage precision oncology company that develops novel targeted therapies for RAS-addicted cancers.
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