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.
Luckily for you, we at StockStory have no conflicts of interest - our sole job is to help you find genuinely promising companies. That said, here is one stock where Wall Street’s excitement appears well-founded and two where analysts may be overlooking some important risks.
Two Stocks to Sell:
Appian (APPN)
Consensus Price Target: $41.60 (18% implied return)
Powering billions of transactions daily since its founding in 1999, Appian (NASDAQ: APPN) provides a low-code platform that helps businesses automate complex processes and operationalize artificial intelligence without extensive programming knowledge.
Why Does APPN Give Us Pause?
- 14.6% annual revenue growth over the last two years was slower than its software peers
- Customer acquisition costs take a while to recoup, making it difficult to justify sales and marketing investments that could increase revenue
- Capital intensity will likely ramp up in the next year as its free cash flow margin is expected to contract by 6 percentage points
Appian’s stock price of $35.27 implies a valuation ratio of 3.4x forward price-to-sales. Dive into our free research report to see why there are better opportunities than APPN.
PVH (PVH)
Consensus Price Target: $98.17 (44.1% implied return)
Founded in 1881 by a husband and wife duo, PVH (NYSE: PVH) is a global fashion conglomerate with iconic brands like Calvin Klein and Tommy Hilfiger.
Why Do We Steer Clear of PVH?
- Constant currency revenue growth has disappointed over the past two years and shows demand was soft
- Ability to fund investments or reward shareholders with increased buybacks or dividends is restricted by its weak free cash flow margin of 6.6% for the last two years
- Diminishing returns on capital from an already low starting point show that neither management’s prior nor current bets are going as planned
PVH is trading at $68.13 per share, or 5.6x forward P/E. If you’re considering PVH for your portfolio, see our FREE research report to learn more.
One Stock to Watch:
BioMarin Pharmaceutical (BMRN)
Consensus Price Target: $89.74 (49.6% implied return)
Pioneering treatments for conditions that often had no previous therapeutic options, BioMarin Pharmaceutical (NASDAQ: BMRN) develops and commercializes therapies that address the root causes of rare genetic disorders, particularly those affecting children.
Why Are We Positive On BMRN?
- Annual revenue growth of 15.7% over the last two years beat the sector average and underscores the unique value of its offerings
- Performance over the past five years was turbocharged by share buybacks, which enabled its earnings per share to grow faster than its revenue
- Free cash flow margin increased by 17 percentage points over the last five years, giving the company more capital to invest or return to shareholders
At $60.00 per share, BioMarin Pharmaceutical trades at 13.9x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.
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-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today.
