We recently compiled a list of the 11 Stocks That Will Bounce Back According To Analysts. In this article, we are going to take a look at where Crinetics Pharmaceuticals, Inc. (NASDAQ:CRNX) stands against the other stocks that will bounce back.
Major US indexes finished in the green on Wednesday, May 7, after a volatile session as investors reacted to updates from the Federal Reserve and new trade developments. The S&P 500 rose by 0.43%, while the tech-heavy Nasdaq added 0.27%. The blue-chip Dow Jones Industrial Average increased by 0.7%
READ ALSO: 11 Best Stocks Under $15 to Buy According to Hedge Funds and 10 Most Profitable Cheap Stocks to Buy Now.
As anticipated, the Federal Open Market Committee decided to keep its benchmark overnight borrowing rate unchanged in a range between 4.25% to 4.5%, where it has been since December.
In its post-meeting statement, the Fed pointed out that the risks of both higher unemployment and higher inflation have risen. The Fed also said that uncertainty about the economic outlook has grown and that it will keep watching new data closely before making any changes. This announcement coincides with growing concerns about a global trade war that could send prices higher. This could make it difficult for the central bank to achieve its goal of bringing inflation down to 2%.
During the post-decision press conference, Fed Chair Jerome Powell stated that if the recently announced large increases in tariffs remain in place, they could slow economic growth, push inflation up in the long run, and increase unemployment.
Bloomberg reported on Wednesday that the Trump administration aims to end trade restrictions on AI. This helped boost some AI and tech stocks. However, earlier on Wednesday, President Trump told reporters that he is not ready to lower tariffs on China as a condition to start trade talks. This statement by the US President came ahead of meetings set to take place this weekend between US and Chinese officials in Switzerland to discuss trade issues.
Methodology
To compile our list of the 11 stocks that will bounce back according to analysts, we looked for stocks that have lost at least 30% year-to-date as of May 5, 2025. Next, we focused on the top stocks that analysts believe have the most potential for growth. To find stocks that will bounce back, we narrowed down our selection by looking for stocks that analysts believe will gain at least twice as much as they have lost year-to-date. Finally, we ranked the 11 stocks that will bounce back based on their average price target upside potential according to analysts as of May 5, 2025.
Additionally, we mentioned the hedge fund sentiment surrounding each stock, which was taken from Insider Monkey’s Q4 2024 database of more than 1,000 elite hedge funds.
Why do we care about what hedge funds do? 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).
A doctor and a patient discussing the success of the clinical trial for a new nonpeptide somatostatin receptor agonist.
Crinetics Pharmaceuticals, Inc. (NASDAQ:CRNX)
Year-to-Date Performance: -34.72%
Average Price Target Upside Potential According to Analysts: 113.97%
Number of Hedge Fund Holders: 41
Crinetics Pharmaceuticals, Inc. (NASDAQ:CRNX) is a clinical-stage pharmaceutical company that focuses on discovering, developing, and commercializing new therapies for endocrine diseases and endocrine-related tumors. CRNX ranks among stocks that will bounce back according to analysts.
The company is actively working to make its therapies accessible worldwide and support its global growth. Paltusotine, which is Crinetics Pharmaceuticals, Inc.’s (NASDAQ:CRNX) lead development candidate, is the first investigational once-daily, oral medicine that is in clinical development for acromegaly and carcinoid syndrome associated with neuroendocrine tumors. In March 2025, Crinetics Pharmaceuticals, Inc. (NASDAQ:CRNX) reported that the European Medicines Agency (EMA) validated the Marketing Authorization Application (MAA) for paltusotine for the proposed treatment and long-term maintenance therapy of acromegaly. The application will now be reviewed by the Committee for Medicinal Products for Human Use (CHMP). Previously, the EMA had granted paltusotine Orphan Drug Designation (ODD) for the treatment of acromegaly in February 2025. In the US, the Food and Drug Administration (FDA) has also accepted the New Drug Application (NDA) by Crinetics Pharmaceuticals, Inc. (NASDAQ:CRNX) for paltusotine, with a decision expected by September 25, 2025.
Overall, CRNX ranks 6th on our list of stocks that will bounce back according to analysts. While we acknowledge the potential of CRNX as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than CRNX but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
Disclosure: None. This article is originally published at Insider Monkey.
