Wall Street has set ambitious price targets for the stocks in this article. While this suggests attractive upside potential, it’s important to remain skeptical because analysts face institutional pressures that can sometimes lead to overly optimistic forecasts.
At StockStory, we look beyond the headlines with our independent analysis to determine whether these bullish calls are justified. Keeping that in mind, here is one stock where Wall Street’s positive outlook is supported by strong fundamentals and two where its enthusiasm might be excessive.
Two Stocks to Sell:
AMN Healthcare Services (AMN)
Consensus Price Target: $20.71 (19% implied return)
With a network of thousands of healthcare professionals ranging from nurses to physicians to executives, AMN Healthcare (NYSE:AMN) provides healthcare workforce solutions including temporary staffing, permanent placement, and technology platforms for hospitals and healthcare facilities across the United States.
Why Should You Sell AMN?
- Declining travelers on assignment over the past two years suggest it might have to lower prices to accelerate growth
- Falling earnings per share over the last five years has some investors worried as stock prices ultimately follow EPS over the long term
- Diminishing returns on capital suggest its earlier profit pools are drying up
At $17.40 per share, AMN Healthcare Services trades at 22x forward P/E. Dive into our free research report to see why there are better opportunities than AMN.
TD SYNNEX (SNX)
Consensus Price Target: $178.36 (17.3% implied return)
Serving as the crucial middleman in the technology supply chain, TD SYNNEX (NYSE:SNX) is a global technology distributor that connects thousands of IT manufacturers with resellers, helping businesses access hardware, software, and technology solutions.
Why Are We Cautious About SNX?
- Annual sales growth of 1.3% over the last two years lagged behind its business services peers as its large revenue base made it difficult to generate incremental demand
- Earnings per share were flat over the last five years while its revenue grew, showing its incremental sales were less profitable
- Lacking free cash flow generation means it has few chances to reinvest for growth, repurchase shares, or distribute capital
TD SYNNEX is trading at $152.04 per share, or 10.6x forward P/E. To fully understand why you should be careful with SNX, check out our full research report (it’s free for active Edge members).
One Stock to Watch:
LSI (LYTS)
Consensus Price Target: $27.67 (51.4% implied return)
Enhancing commercial environments, LSI (NASDAQ:LYTS) provides lighting and display solutions for businesses and retailers.
Why Are We Fans of LYTS?
- Annual revenue growth of 15.6% over the past five years was outstanding, reflecting market share gains this cycle
- Operating profits increased over the last five years as the company gained some leverage on its fixed costs and became more efficient
- Earnings growth has massively outpaced its peers over the last five years as its EPS has compounded at 50.7% annually
LSI’s stock price of $18.27 implies a valuation ratio of 14.5x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free for active Edge members.
High-Quality Stocks for All Market Conditions
Your portfolio can’t afford to be based on yesterday’s story. The risk in a handful of heavily crowded stocks is rising daily.
The names generating the next wave of massive growth are right here in our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 244% over the last five years (as of June 30, 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today
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