1 of Wall Street’s Favorite Stock to Target This Week and 2 We Avoid

AZO Cover Image

Wall Street is overwhelmingly bullish on the stocks in this article, with price targets suggesting significant upside potential. However, it’s worth remembering that analysts rarely issue sell ratings, partly because their firms often seek other business from the same companies they cover.

At StockStory, we look beyond the headlines with our independent analysis to determine whether these bullish calls are justified. That said, here is one stock likely to meet or exceed Wall Street’s lofty expectations and two where its enthusiasm might be excessive.

Two Stocks to Sell:

Wabash (WNC)

Consensus Price Target: $12 (58.4% implied return)

With its first trailer reportedly built on two sawhorses, Wabash (NYSE: WNC) offers semi trailers, liquid transportation containers, truck bodies, and equipment for moving goods.

Why Do We Avoid WNC?

  1. Product roadmap and go-to-market strategy need to be reconsidered as its backlog has averaged 36.2% declines over the past two years
  2. Earnings per share have dipped by 39.2% annually over the past five years, which is concerning because stock prices follow EPS over the long term

Wabash’s stock price of $7.58 implies a valuation ratio of 4.6x forward EV-to-EBITDA. To fully understand why you should be careful with WNC, check out our full research report (it’s free for active Edge members).

CRA (CRAI)

Consensus Price Target: $249.50 (38% implied return)

Often retained for high-stakes matters with multibillion-dollar implications, CRA International (NASDAQ: CRAI) provides economic, financial, and management consulting services to corporations, law firms, and government agencies for litigation, regulatory proceedings, and business strategy.

Why Does CRAI Worry Us?

  1. Smaller revenue base of $731.1 million means it hasn’t achieved the economies of scale that some industry juggernauts enjoy
  2. Estimated sales growth of 2.7% for the next 12 months implies demand will slow from its two-year trend
  3. 9.5 percentage point decline in its free cash flow margin over the last five years reflects the company’s increased investments to defend its market position

CRA is trading at $180.84 per share, or 20.8x forward P/E. Dive into our free research report to see why there are better opportunities than CRAI.

One Stock to Buy:

AutoZone (AZO)

Consensus Price Target: $4,576 (18.7% implied return)

Aiming to be a one-stop shop for the DIY customer, AutoZone (NYSE: AZO) is an auto parts and accessories retailer that sells everything from car batteries to windshield wiper fluid to brake pads.

Why Is AZO a Good Business?

  1. Same-store sales growth lends it the confidence to gradually expand its store base so it can reach more customers
  2. Unique assortment of products and pricing power are reflected in its best-in-class gross margin of 52.9%
  3. Highly efficient business model is illustrated by its impressive 19.8% operating margin

At $3,856 per share, AutoZone trades at 24.9x forward P/E. Is now the right time to buy? See for yourself in our comprehensive research report, it’s free for active Edge members .

Stocks We Like Even More

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-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today for free.

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.

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