In this article, we discuss the 5 stocks that analysts are upgrading. If you want to read our detailed analysis of these stocks, go directly to Analysts Are Upgrading These 10 Stocks.
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5. ZoomInfo Technologies Inc. (NASDAQ:ZI)
Number of Hedge Fund Holders: 35
ZoomInfo Technologies Inc. (NASDAQ:ZI) is ranked fifth on our list of 10 stocks that analysts are upgrading. The company markets a cloud-based market intelligence platform for sales and marketing teams across the world. It operates from Washington.
On September 17, investment advisory Barclays upgraded ZoomInfo Technologies Inc. (NASDAQ:ZI) stock to Overweight from Equal Weight and raised the price target to $83 from $66, citing attractive valuation based on 2023 estimates for the firm.
Out of the hedge funds being tracked by Insider Monkey, Chicago-based investment firm Citadel Investment Group is a leading shareholder in ZoomInfo Technologies Inc. (NASDAQ:ZI) with 2.6 million shares worth more than $136 million.
4. Five9, Inc. (NASDAQ:FIVN)
Number of Hedge Fund Holders: 45
Five9, Inc. (NASDAQ:FIVN) is a California-based company that provides cloud software for contact centers globally. It is placed fourth on our list of 10 stocks that analysts are upgrading.
On September 17, investment advisory Piper Sandler upgraded Five9, Inc. (NASDAQ:FIVN) stock to Overweight from Neutral but lowered the price target to $200 from $203, noting that the risk/reward setup for the firm was attractive ahead of the shareholder vote on a takeover bid.
At the end of the second quarter of 2021, 45 hedge funds in the database of Insider Monkey held stakes worth $2.1 billion in Five9, Inc. (NASDAQ:FIVN), the same as in the preceding quarter worth $1.6 billion.
In its Q1 2021 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and Five9, Inc. (NASDAQ:FIVN) was one of them. Here is what the fund said:
“Five9 is a cloud-based contact center as a service software provider that is replacing aging on-premise legacy solutions that dominate the installed base. Companies are being forced to modernize and cloud penetration is still low; Five9 is positioned to benefit and should see further growth driven by its cross-selling add-on modules and an AI product that generates high revenue.”
3. UiPath Inc. (NYSE:PATH)
Number of Hedge Fund Holders: 46
UiPath Inc. (NYSE:PATH) is a New York-based company that markets an automation platform robotic process automation solutions in the US and Japan. It is ranked third on our list of 10 stocks that analysts are upgrading.
On September 17, investment advisory Barclays upgraded UiPath Inc. (NYSE:PATH) stock to Overweight from Equal Weight and raised the price target to $71 from $70, underlining relative value in the share on a growth-adjusted basis.
At the end of the second quarter of 2021, 46 hedge funds in the database of Insider Monkey held stakes worth $3.4 billion in UiPath Inc. (NYSE:PATH).
In its Q1 2021 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and UiPath Inc. (NYSE:PATH) was one of them. Here is what the fund said:
“We participated in the IPO of UiPath, a developer of software for robotic process automation that uses AI, natural language processing and design to streamline complex processes across a variety of technology environments. The company is an industry leader with a superior solution for leveraging software to optimize workloads. Organizations around the world are beginning to understand the power of automation, with momentum picking up toward fully automating business processes, a $60 billion market today that could grow to $200 billion or more by 2030. UiPath has a unique pricing model, broad partner ecosystem and thoughtful management team supporting one of the strongest growth profiles in technology. Risks we are watching include a partial cloud transition ahead and increased competition from larger software platforms over time.”
2. SVB Financial Group (NASDAQ:SIVB)
Number of Hedge Fund Holders: 49
SVB Financial Group (NASDAQ:SIVB) is placed second on our list of 10 stocks that analysts are upgrading. The company provides an array of financial services and is headquartered in California.
On September 17, investment advisory Wedbush upgraded SVB Financial Group (NASDAQ:SIVB) stock to Outperform from Neutral and raised the price target to $700 from $600, noting that the firm had delivered several blowout quarters by emphasizing on innovation.
At the end of the second quarter of 2021, 49 hedge funds in the database of Insider Monkey held stakes worth $1 billion in SVB Financial Group (NASDAQ:SIVB), the same as in the previous quarter worth $1.2 billion.
In its Q1 2021 investor letter, Artisan Partners, an asset management firm, highlighted a few stocks and SVB Financial Group (NASDAQ:SIVB) was one of them. Here is what the fund said:
“Among our top contributors was SVB Financial. SVB Financial Group is a leading provider of banking services to the innovation economy across the US and in key international markets. Headquartered in Silicon Valley, SVB offers financial products to clients in the technology, life science/health care and private equity/venture capital. Total client funds increased 51% to $243 billion in 2020—one of the company’s strongest years—as investors seek differentiated returns in innovative private companies. SVB’s high level of client service and long experience in the industry give it not only a historical data and knowledge advantage, but also a reputational edge. We believe this enables the company to quickly bring products to market and make speedy underwriting decisions. Given SVB’s strong profit growth comes at a time when net interest margins are depressed, we believe shares are priced attractively and added to our position.”
1. American Express Company (NYSE:AXP)
Number of Hedge Fund Holders: 52
American Express Company (NYSE:AXP) is ranked first on our list of 10 stocks that analysts are upgrading. The company provides payments solutions and operates from New York.
On September 16, investment advisory Bank of America upgraded American Express Company (NYSE:AXP) stock to Neutral from Underperform with a price target of $169, underlining that the risk/reward on the stock had turned “more balanced” after recent underperformance.
Out of the hedge funds being tracked by Insider Monkey, Washington-based firm Fisher Asset Management is a leading shareholder in American Express Company (NYSE:AXP) with 15.3 million shares worth more than $2.5 billion.
In its Q2 2021 investor letter, ClearBridge Investments, an asset management firm, highlighted a few stocks and American Express Company (NYSE:AXP) was one of them. Here is what the fund said:
“In financials, American Express has done an excellent job demonstrating the resiliency of its franchise in the midst of a global pandemic that drove a 60% decline in its core travel and entertainment business. The company’s spend-centric model has been helped by fiscal stimulus ensuring a flush consumer, while management continues to execute well by adding millions of new consumer and small and medium business accounts, which should benefit the franchise over the medium to long term. We remain optimistic regarding the company’s prospects as travel and entertainment activity rebounds, adding to our position in the quarter.”
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