Navigating the stock market can be a high-stakes game. Choose incorrectly, and your portfolio might suffer. But the right choices? They could be your ticket to financial triumph. With thousands of stocks to choose from, pinpointing those poised for success is no small feat. It’s a daunting task, requiring hours of market analysis and company research – time that many people simply don’t have.
That’s where we come in. Each week, we delve deep into the market’s vast array of options, sifting through countless possibilities to bring you a select few. These are not just any stocks; they are carefully chosen based on solid research, current market trends, and potential for noteworthy growth.
This week, we’ve honed in on three stocks that stand out from the crowd. Our picks go beyond the mainstream; they’re strategic selections, crafted for significant impact in both the immediate future and over the long haul.
Read on and discover the full watchlist and unveil these exceptional stock picks.
Xometry (XMTR): AI-Driven Growth in the Manufacturing Sector
Xometry is carving out a niche as a leader in AI-powered industrial marketplaces, and recent developments make it a compelling pick for 2025. The company specializes in on-demand manufacturing of industrial parts, using cutting-edge technologies like 3D printing. Its AI-driven instant quoting engine sets it apart, streamlining the process for customers while driving efficiency and scalability.
The company’s stock has already outperformed in recent months, climbing more than 25% in the past month and an impressive 196% over the past six months. This momentum is backed by a promising outlook. Xometry expects to close 2024 with 17% revenue growth and aims to accelerate to 19% growth in 2025. What’s more, the company projects positive adjusted EBITDA this year, with incremental margins of about 20% going forward—a clear sign of improved execution under CFO James Miln.
What’s driving this optimism? Xometry is perfectly positioned to capitalize on key macro trends, including supply chain uncertainties, tariff pressures, and an increasing focus on onshoring. These dynamics, coupled with Xometry’s own growth initiatives in enterprise solutions, international expansion, and innovative AI tools, give it multiple avenues for success.
At its current price, there’s still room for upside. JPMorgan recently raised its price target to $45, suggesting a 21% gain from current levels. With strong tailwinds and robust execution, Xometry is a growth story worth watching closely as we head into 2025.
SolarEdge Technologies (SEDG): A Promising Turnaround in Clean Energy
SolarEdge Technologies has had a rough 2024, with shares tumbling more than 86% due to sluggish residential solar demand and persistent high-interest rates. However, this battered clean energy stock is starting to show signs of recovery, and 2025 could mark a critical inflection point for the company.
Recently, SolarEdge made some decisive moves to streamline its operations and improve its focus, including shuttering its energy storage division and announcing a 12% workforce reduction. These steps, while tough, signal a strategic shift that could position the company for better profitability in the years ahead. Investors seem to be taking note—shares are up nearly 16% in the past month.
What’s particularly compelling about SolarEdge is its valuation. Current market sentiment appears to have overreacted to risks associated with the incoming U.S. administration’s policies on clean energy. But the fundamentals of the solar sector remain strong, and SolarEdge’s leadership in innovative solar technology puts it in a good position to capitalize on this growth.
Goldman Sachs recently upgraded the stock to a buy, raising its price target to $19—a 54% upside from current levels. While volatility may persist in the first half of 2025, SolarEdge is shaping up to be a notable turnaround story, and investors willing to ride out the near-term bumps could be rewarded.
TechnipFMC (FTI): A Leader in Subsea Innovation
TechnipFMC has quietly established itself as a standout player in the subsea oil and gas market, and now could be the perfect time to take a closer look. With a market cap of $13 billion and a stock that has already climbed more than 50% this year, the company is capitalizing on a growing demand for subsea fossil fuel extraction equipment.
What sets TechnipFMC apart is its unique ability to offer fully integrated, turnkey solutions to its customers—something no other company in the sector can match. This approach significantly reduces project lead times, a crucial factor in an industry where delays can cost millions. These streamlined processes position TechnipFMC as a go-to provider for companies racing to secure subsea manufacturing capacity, giving it a competitive edge in landing new contracts.
Goldman Sachs recently initiated coverage on the stock with a bullish $38 price target, indicating over 20% upside from its current level of $30.88. That optimism is well-founded, as TechnipFMC’s reputation for efficiency and innovation aligns perfectly with the growing urgency in the subsea space.
While the energy market is cyclical by nature, TechnipFMC’s focus on cutting-edge solutions and strong industry relationships could make it a standout performer in 2025 and beyond. For investors looking to capitalize on the recovery in the oil and gas sector, TechnipFMC’s unique positioning makes it a compelling addition to your watchlist.
