On July 3, Scott Wren, Wells Fargo senior global market strategist, and Adam Crisafulli, Vital Knowledge founder, joined ‘Closing Bell Overtime’ on CNBC to talk about the current market conditions. In a discussion regarding his notes on the “top 5 portfolio ideas for the balance of 2025,” Wren explained that Wells Fargo Investment Institute’s strategy involved sticking with quality, given that the market had come a long way and stocks were currently rich. They were actively trimming positions in sectors that had performed well recently, such as the consumer discretionary and industrial sectors.
Wren noted that clients were either holding cash in anticipation of a market pullback or reallocating funds into favored sectors, such as tech. He elaborated on the momentum trade and stated that while it had carried the market, the market’s breadth had not been good in recent months, which typically signals an impending pullback. Therefore, they were being patient instead of just jumping in. Their primary portfolio goal was to prepare for downside volatility by sticking with quality bonds in the 3 to 7-year intermediate part of the curve, large-cap US stocks (S&P 500), and US mid-caps. They sought to avoid overexposure to emerging markets or developed international markets.
That being said, we’re here with a list of the 16 most promising stocks according to Wall Street analysts.
An overhead view of a bustling stock exchange, with brokers and traders exchanging stocks.
Methodology
We sifted through the Finviz stock screener to compile a list of the top stocks that had the highest analysts’ upside potential. We then selected the 16 stocks with an upside potential of over 25% as of July 7. The stocks are ranked in ascending order of their upside potential. We’ve also added the hedge fund sentiment for each stock, as of Q1 2025, which was sourced from Insider Monkey’s 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. 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).
16 Most Promising Stocks According to Wall Street Analysts
16. Riot Platform Inc. (NASDAQ:RIOT)
Number of Hedge Fund Holders: 35
Average Upside Potential as of July 7: 31.52%
Riot Platform Inc. (NASDAQ:RIOT) is one of the most promising stocks according to Wall Street analysts. Earlier in May, Riot Platforms announced that it expanded its credit facility with Coinbase Credit, which is a subsidiary of Coinbase Global Inc. (NASDAQ:COIN). The existing $100 million credit facility has been upsized to a total commitment of up to $200 million. This aims to diversify Riot’s financing sources and potentially lower its cost of capital.
Key terms, including the interest rate, remain identical to the previous facility. Borrowed amounts will bear interest at an annual rate equal to the greater of the federal funds rate (upper limit) or 3.25%, plus an additional 4.50%. The credit facility has a maturity of 364 days from the effective date, with an option for a 364-day extension subject to Coinbase’s approval. The loan is secured by a portion of Riot’s Bitcoin holdings.
The expansion of the credit facility comes in the middle of the recent shifts for Riot Platforms, which include its removal from several major indices as of June 28. However, the company also reported an increase in Bitcoin production for May 2025 and mined 514 Bitcoin, which is an 11% increase from the past month.
Riot Platform Inc. (NASDAQ:RIOT) operates as a Bitcoin mining company in the US. Coinbase Global Inc. (NASDAQ:COIN) operates a platform for crypto assets in the US and internationally.
15. Teva Pharmaceutical Industries Limited (NYSE:TEVA)
Number of Hedge Fund Holders: 64
Average Upside Potential as of July 7: 35.45%
Teva Pharmaceutical Industries Limited (NYSE:TEVA) is one of the most promising stocks according to Wall Street analysts. On June 16, Teva Pharmaceutical announced a collaboration agreement with China-based Shanghai Fosun Pharmaceutical Group Co., Ltd. (better known as Fosun Pharma) to co-develop TEV-56278, which is an investigational anti-PD1-IL2 ATTENUKINE therapy.
The partnership will accelerate clinical data generation for TEV-56278, which is currently in a Phase 1 study for various forms of cancer, such as melanoma. TEV-56278 is an internally developed Teva product and is an anti-PD-1 antibody-cytokine fusion protein that uses Teva’s proprietary ATTENUKINE technology.
Its novel mechanism of action is designed to selectively deliver interleukin-2 (IL-2) to PD-1-expressing T cells within the tumor microenvironment. Under the terms of the agreement, Fosun Pharma has been granted an exclusive license to develop, manufacture, and commercialize TEV-56278 in mainland China, the Hong Kong SAR, Macau SAR, Taiwan region, and select Southeast Asian countries.
Teva Pharmaceutical Industries Limited (NYSE:TEVA) develops, manufactures, markets, and distributes generic & other medicines and biopharmaceutical products internationally. Fosun Pharma is a global healthcare company in pharmaceuticals, medical devices & diagnostics, and healthcare services.
