Financial News
The top-rated strong-buy stocks on Marketbeat’s radar
Marketbeat.com provides numerous tools for investors to help them with due diligence, including analyst-tracking algorithms. The analyst-tracking algorithms screen for new coverage, price target revisions and rating changes, but that is just the tip of the iceberg. Marketbeat provides information on individual stocks, aggregates the information, and ranks stocks based on those ratings. This article highlights some top-rated strong-buy stocks on the platform today.
Before moving on, let's check in on what makes a top-rated strong-buy stock for this listing. Marketbeat ranks the top 100 stocks with the highest average rating for the preceding 12 months. The highest score is 4.0, which equates to 100% Strong Buy ratings. The lowest score is 1.0, equating to 100% Strong Sell ratings, and at least 5 ratings must be issued during the period. Between 1.0 and 4.0 are shades of nuance, so investors should be sure and perform due diligence before rushing into any name on this list.
Digital Bridge and high-tech assets
Digital Bridge (NYSE: DBRG) is the top-ranked stock on Marketbeat’s strong-buy list. It has a rating of 3.13 based on 8 analysts who have all issued at least one statement this year. They rate the stock at Buy, up from last year’s Hold and see it trading below fair value. The stock is trading near $16.60 compared to the analysts’ low-end range of $17.50. The consensus price target is down significantly compared to last year. Still, it has been steady and stable over the last 3 months, suggesting downward price target revisions are over, and it implies more than 30% upside.
Digital Bridge is a real estate firm focused on digital assets, including data centers, cell towers, small cells, edge computing and other tech-centric infrastructure. It is a real estate operating company or REOC and not a REIT. As such, it has no dividend requirements and chooses to reinvest its capital. The latest results testify to this strategy, with revenue growth accelerating to 60% and new deals being announced.
The price action in DBRG shares corrected significantly in 2022 but hit bottom and is now moving higher. The most recent action shows strengthening support at the 150-day moving and a growing potential for upward movement.
Analysts trust Wintrust Financial
Wintrust Financial (NYSE: WTFC) is the 2nd highest-rated stock on the Marketbeat platform in November. The holding company operates in 3 segments, providing banking and financial services to individuals, families, organizations, businesses and governments. It has a rating of 3.11 based on sentiment from 9 analysts. They rate the stock a Buy, which has been steady all year. The price target is down compared to last year but stabilized over the last quarter. The consensus offers about a 10% upside, and there is a dividend to consider.
Wintrust Financial is no high-yield trading at 8X earnings and paying nearly 1.9%, but it is a solid payout with a robust outlook for growth. The company pays less than 20% of earnings and has increased for 10 years with a mid-teen CAGR. That is expected to continue. Shares of the stock are aligned with the broad financial sector and moving higher within a range.
Atlas Energy Solutions Inc. makes money from sand
Atlas Energy Solutions (NYSE: AESI) is a proppant and oilfield services company operating in the Permian Basin. It is the leading provider of sand (proppant used to keep fractures open) and has a tremendous growth trajectory ahead of it. It is the 3rd top-rated stock on Marketbeat’s list, with a rating of 3.10 based on 10 analysts. They rate the stock a Buy, which has been steady since the IPO early in 2023. They see the stock trading well below the low end of the fair-value range, about 35%, and see it moving up 45% at the consensus.
The cherry on top is the dividend. This near-mid-cap name is already profitable and pays a solid dividend, about 3.5% in 2023, with shares near 7X earnings. The payout is about 20% of the expected earnings this year, and the company is performing in alignment with forecasts. Shares of the stock are down significantly from the post-IPO spike but trading near the floor and set up for a rebound.
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