Market noise is relentless. Financial headlines scream about the same handful of stocks while important opportunities—the kind that can meaningfully impact your portfolio—often fly completely under the radar.
That’s exactly why we publish this watchlist each week.
While most investors are distracted by mainstream narratives, we’re digging through earnings transcripts, analyzing technical setups, and monitoring institutional money flows to identify companies at potential inflection points. Our focus isn’t on what’s already priced in, but rather on what the market hasn’t fully appreciated yet.
Each week, we spotlight three stocks that merit your attention. We focus on opportunities where timing, valuation, and catalysts align to create potentially favorable entry points.
Our rigorous analysis goes beyond surface-level metrics to identify opportunities that most retail investors don’t have time to uncover. Each pick comes with clear reasoning, specific triggers to watch for, and a compelling risk-reward profile designed to help you make more informed investment decisions.
Here’s what caught our eye this week:
Ferrari (RACE)
Ferrari represents one of the world’s most prestigious luxury brands, combining exceptional craftsmanship with deliberate scarcity to create an investment opportunity that transcends traditional automotive metrics. Trading with a $90 billion market capitalization, the Italian supercar manufacturer has achieved remarkable financial consistency through its “deprivation marketing” strategy, purposefully limiting production to just 13,752 vehicles in 2024 to maintain exclusivity and pricing power. What makes Ferrari particularly compelling is its extraordinary customer loyalty and pricing elasticity – 81% of new car buyers are existing customers, with nearly half owning multiple Ferraris, while vehicle prices range from $200,000 to over $4 million for fully customized supercars like the F80.
The company’s financial performance demonstrates the power of controlled scarcity combined with relentless innovation. Ferrari has achieved five consecutive years of double-digit revenue growth, with annual shipments increasing 79% since 2015 while revenue has surged 134% to 6.7 billion euros. More impressively, adjusted EBITDA has soared 242% over this period, reaching a remarkable 38.3% margin in 2024, while adjusted net profit has nearly quadrupled. This isn’t merely an automaker but a technology company where engineers comprise two-thirds of the workforce and the company invests approximately 45% of operating cash flow in capital expenditures and technology development partnerships.
Ferrari’s positioning for future growth extends beyond traditional automotive boundaries through strategic diversification and demographic expansion. The brand successfully attracts younger affluent customers, with 40% of buyers now under 40 years old, while expanding revenue streams through racing events, sponsorships, theme parks, museums, and luxury experiences that generated 17% growth in 2024. The upcoming launch of Ferrari’s first fully electric vehicle in three months, combined with hybrid models already comprising 51% of sales, positions the company to capture evolving luxury consumer preferences. For investors seeking exposure to a recession-resistant luxury brand with pricing power, technological innovation, and expanding addressable markets, Ferrari offers a unique combination of exclusivity, operational excellence, and shareholder-friendly capital allocation that returned nearly all of its 1.2 billion euros in free cash flow to investors through dividends and buybacks.
Alphabet (GOOGL)
Alphabet presents a compelling contrarian opportunity as one of the most undervalued large-cap technology stocks, trading at a significant discount to both peers and the broader market despite delivering strong operational performance. Trading at around $185 per share with a forward price-to-earnings ratio below 19, the Google parent company trades at a substantial discount to the S&P 500’s 23.7x multiple and well below other major technology companies. What makes this valuation disconnect particularly intriguing is the stark contrast between market pessimism and actual business results – Alphabet delivered 12% revenue growth and 49% earnings per share growth in Q1, performance metrics that would typically command premium valuations if achieved by competitors.
The market’s primary concern centers on potential artificial intelligence disruption of Google Search, with fears that generative AI tools could erode the search engine’s dominance and advertising revenue. While Google’s search market share did fall below 90% for the first time since 2015, this decline hasn’t materialized in financial results. Google Search revenue grew 10% year-over-year in Q1, demonstrating the resilience of the business model despite competitive pressures. The company has proactively addressed AI competition by implementing AI search overviews that provide generative AI-powered summaries of search results, potentially satisfying most users’ AI needs while keeping them within Google’s ecosystem.
The upcoming Q2 earnings announcement on July 23 represents a critical catalyst that could drive significant stock appreciation if Google Search continues demonstrating resilience. Each quarter of sustained growth would further validate the thesis that mainstream consumers will continue relying on Google’s refined search experience rather than migrating to standalone generative AI tools. The market appears to suffer from confirmation bias, where technology professionals who have adopted AI alternatives assume broader consumer behavior will follow similar patterns. For value-oriented investors seeking exposure to artificial intelligence through an established technology leader trading at a discount, Alphabet’s combination of strong fundamentals, defensive market position, and compressed valuation creates an asymmetric risk-reward opportunity that could deliver substantial returns as bearish sentiment eventually aligns with actual business performance.
Amprius Technologies (AMPX)
Amprius Technologies has emerged as a high-conviction play on the expanding drone and defense technology markets, with shares surging over 187% year-to-date as the company benefits from the Trump administration’s strategic emphasis on domestic drone production capabilities. The lithium-ion battery manufacturer specializes in advanced battery systems for drones and high-altitude pseudo satellites (HAPS), positioning itself at the intersection of defense modernization and emerging commercial drone applications. What makes Amprius particularly compelling is its strategic positioning as a critical supplier to key players building next-generation drone systems for military and commercial applications, with the company’s advanced battery technology providing performance advantages that have outweighed concerns about its China-based manufacturing network.
The regulatory and policy environment has created powerful tailwinds for Amprius’s business prospects. President Trump’s “Unleashing American Drone Dominance” executive order in June established domestic drone production as a strategic national priority, creating substantial demand for companies capable of supporting indigenous manufacturing capabilities. Amprius appears well-positioned to convert ongoing customer evaluations into large purchase orders as defense contractors and commercial drone manufacturers seek reliable domestic supply chains for critical battery components. The company’s technological advantages in lithium-ion battery performance have enabled it to maintain customer relationships despite geopolitical concerns about supply chain security.
Strategic manufacturing diversification provides Amprius with additional competitive advantages and risk mitigation. The company’s manufacturing capacity in South Korea and potential European operations offer pathways to address tariff concerns while serving Western-friendly military customers who prioritize supply chain security. This geographic diversification strategy becomes increasingly valuable as defense contractors face pressure to minimize dependence on China-based suppliers for critical components. For growth investors seeking exposure to the intersection of defense spending, drone technology adoption, and advanced battery systems, Amprius offers a high-risk, high-reward opportunity to participate in what appears to be the early stages of a significant industry transformation driven by both national security priorities and commercial drone market expansion.