In this article, we will look at the 12 Most Promising Future Stocks According to Wall Street Analysts.
On August 18, Katie Stockton, Fairlead Strategies founder and managing partner, appeared on CNBC’s ‘Squawk Box’ to talk about the latest market trends and what the summer rally might mean.
She stated that there has been a persistent uptrend, with the market seeing a breakout in June to new highs. From a technical perspective, there is nothing bearish about new highs.
However, she is skeptical, thinking about sustainability like everybody else. She also added that the breakout did foster additional upside momentum.
READ ALSO: 10 Best Stocks to Invest in For the Long Term and 13 Most Buzzing Stocks to Invest in Right Now.
Stockton further stated that while breadth hasn’t been great, it hasn’t been terrible either, not being wholly related to the mega caps. While there are still giant contributors to the gains this year, breadth has been decent on the whole, and earnings served as a positive catalyst, according to her.
With these trends in view, let’s look at the most promising future stocks according to Wall Street analysts.
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Our Methodology
We sifted through stock screeners, financial media reports, and ETFs to compile a list of the most promising future stocks and then chose the top 12 with the highest analyst upside potential. We also added the number of hedge fund holders as of Q1 2025, sourcing the hedge fund sentiment data from Insider Monkey’s database. The list is ordered in ascending order of analyst upside.
Note: All data was recorded on August 18.
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).
12 Most Promising Future Stocks According to Wall Street Analysts
12. Archer Aviation Inc. (NYSE:ACHR)
Analyst Upside: 31.98%
Number of Hedge Fund Holders: 33
Archer Aviation Inc. (NYSE:ACHR) is one of the most promising future stocks according to Wall Street analysts. On August 18, Archer Aviation Inc. (NYSE:ACHR) announced the successful completion of its Midnight aircraft’s longest piloted flight to date. The aircraft flew around 55 miles in 31 minutes at speeds exceeding 126 mph.
Management stated that the flight was conducted at the company’s flight test facility in Salinas, California, in front of Mike Leskinen, Executive Vice President and CFO of United Airlines. Leskinen led the early investment by United Airlines in Archer Aviation Inc. (NYSE:ACHR).
Mike Leskinen stated:
“I’ve been a longtime supporter of bringing sustainable forms of aviation to market. Congratulations to the Archer team on achieving this milestone flight—I was impressed by how quiet the aircraft was.”
The feat marks a significant milestone for Archer Aviation Inc. (NYSE:ACHR), supporting its envelope expansion program as it makes strides toward FAA certification in the US and near-term commercialization in the UAE.
Headquartered in San Jose, CA, and founded in 2018, Archer Aviation Inc. (NYSE:ACHR) develops electric vertical take-off and landing (eVTOL) aircraft.
11. Aurora Innovation, Inc. (NASDAQ:AUR)
Analyst Upside: 86.34%
Number of Hedge Fund Holders: 33
Aurora Innovation, Inc. (NASDAQ:AUR) is one of the most promising future stocks according to Wall Street analysts. On August 3, Evercore ISI analyst Chris McNally maintained a Hold rating on Aurora Innovation, Inc. (NASDAQ:AUR) and set a price target of $8.00.
The rating update came after Aurora Innovation, Inc. (NASDAQ:AUR) announced a notable expansion of its commercial operations on July 30, exceeding driverless miles at the end of June, beginning driverless commercial operations at night, recently expanding its driverless fleet to three trucks, and opening its Phoenix terminal.
Aurora Innovation, Inc. (NASDAQ:AUR) announced that it expanded its driverless operations on the Dallas-to-Houston lane, including nighttime driving in its operations.
The initiative marks more than a doubling in the company’s truck utilization potential, considerably reducing delivery times for long-haul routes and paving the way for profitability for autonomous trucking.
Aurora Innovation, Inc. (NASDAQ:AUR) designs and develops automobile software and hardware, and provides data services. The company also offers the Aurora Driver, an innovative self-driving freight technology that allows a vehicle to drive itself.
