Top Stocks With Growth Potential To Buy Now

7 min read
2 views
Aug 23, 2025

Looking for stocks with big upside? UBS reveals top picks in tech, finance, and more that are outperforming but still have room to grow. Which ones made the list? Click to find out!

Financial market analysis from 23/08/2025. Market conditions may have changed since publication.

Have you ever watched a stock soar and wished you’d jumped in earlier? It’s a feeling every investor knows well—spotting a winner after it’s already made headlines. But what if you could catch the next big mover before it peaks? As the dust settles on earnings season, some stocks are still flashing green, signaling untapped potential. Analysts at a major financial institution recently shared insights on outperformers that haven’t yet hit their ceiling, and I’m diving into their findings to uncover what makes these picks so compelling.

Why Some Stocks Still Have Room to Grow

The stock market is a wild ride—sometimes it feels like you’re chasing a runaway train. But even after a strong rally, certain companies stand out, not just for their past gains but for their future promise. Analysts screened for stocks that have beaten the market over the past three months while showing positive revisions in cash flow return on investment. This metric, a fancy way of measuring how efficiently a company generates cash, points to businesses with strong fundamentals and growth potential. The result? A list of names across sectors like technology, finance, and consumer goods that are worth a closer look.


Tech Titans Leading the Charge

Technology stocks are often the rockstars of the market, and one chipmaker, in particular, has been stealing the show. This company, a leader in semiconductors, has seen its stock climb nearly 28% in the past three months, outpacing the broader market’s 11% gain. Over six months, it’s up an impressive 35%. What’s driving this surge? It’s all about demand for cutting-edge chips powering everything from AI to smartphones.

The semiconductor industry is the backbone of modern technology, and this company is at the forefront of innovation.

– Industry analyst

Analysts are overwhelmingly bullish, with most giving it a buy rating. Their price targets suggest there’s still about 7% upside left, which, for a stock already on fire, is no small feat. I’ve always found tech stocks like this one fascinating—they’re not just about numbers; they’re about shaping the future. If you’re looking to ride the wave of innovation, this name deserves a spot on your watchlist.

Financials: The Dark Horse of Growth

Finance might not sound as sexy as tech, but don’t sleep on this sector. It led the pack in the recent analysis, making up 22% of the top-performing stocks. Why? Strong balance sheets, rising interest rates, and improving cash flows are giving banks and financial firms a leg up. One standout in this group has shown consistent outperformance, with a price return that’s beaten the market by over 5% in the past 13 weeks.

What’s intriguing about financials is their resilience. Even in choppy markets, these companies churn out steady cash flows, making them a safe bet for investors who want growth without the rollercoaster. Personally, I think the sector’s ability to adapt to economic shifts makes it a hidden gem for long-term portfolios.

  • Strong cash flows: Financial firms are generating consistent returns.
  • Market outperformance: Beating the broader index by a solid margin.
  • Valuation appeal: Still trading at levels that suggest room for growth.

Consumer Goods: A Steady Performer

Ever wonder why some brands just keep winning? A major beverage company caught analysts’ attention with a 15% gain over the past three months, outpacing the market’s performance. While its year-to-date returns are slightly in the red, its recent momentum suggests it’s turning a corner. This company’s ability to innovate—think new flavors or healthier options—keeps it relevant in a competitive space.

Its price return relative to the market sits at 5.4% over the past 13 weeks, and analysts see more upside ahead. I’ve always admired brands that can stay timeless yet adapt to changing consumer tastes. This one’s a classic example, and it’s worth considering for a diversified portfolio.


Biotech: The Wild Card with Big Potential

Biotech can be a gamble, but when it pays off, it’s huge. One Anglo-Swedish biotech firm has been a standout, with its U.S.-listed shares up 23% this year, compared to the market’s 10% gain. In the past month alone, it’s jumped 15%, leaving its European peers in the dust. Analysts are buzzing about its pipeline of innovative drugs, and their price targets point to a potential 25% upside.

Biotech is a high-risk, high-reward space, but this company’s pipeline makes it a compelling pick.

– Market strategist

What makes this stock exciting is its ability to balance risk and reward. It’s not just about chasing trends; it’s about investing in companies that could change lives. If you’re willing to stomach some volatility, this biotech name could be a game-changer for your portfolio.

How to Spot Stocks with Staying Power

Finding stocks with room to run isn’t just about luck—it’s about strategy. Analysts used a few key criteria to identify these outperformers, and you can borrow their playbook. Here’s what to look for:

  1. Price performance: Stocks that have beaten the market by at least 5% over the past 13 weeks.
  2. Cash flow momentum: Positive revisions in cash flow return on investment signal strong fundamentals.
  3. Analyst sentiment: Look for stocks with strong buy or buy ratings from a majority of analysts.

These metrics aren’t just numbers—they tell a story about a company’s health and potential. I’ve found that combining data-driven analysis with a gut sense of market trends often leads to the best picks. It’s like finding the sweet spot between science and instinct.

Sector Breakdown: Where the Opportunities Lie

Not all sectors are created equal when it comes to growth. The recent analysis highlighted three that stand out:

SectorShare of Top PicksKey Strength
Financials22%Stable cash flows
Industrials20%Infrastructure demand
Technology16%Innovation-driven growth

Financials are the heavy hitters, thanks to their resilience and steady returns. Industrials are riding the wave of global infrastructure spending, while technology remains the engine of innovation. Each sector offers unique opportunities, so diversifying across them could be a smart move.


Why Timing Matters

The market’s recent rally, spurred by hints of a shift in monetary policy, has created a fertile ground for these stocks. But timing is everything. Jumping in too late could mean missing the bulk of the gains, while waiting too long might expose you to pullbacks. Analysts suggest focusing on stocks with supportive valuations—those that aren’t overpriced despite their strong performance.

Perhaps the most interesting aspect is how these stocks balance momentum with value. They’re not just riding a hot streak; they have the fundamentals to keep climbing. In my experience, that’s the kind of stock that can anchor a portfolio through turbulent times.

Building Your Portfolio with Confidence

Investing isn’t just about picking winners—it’s about building a portfolio that can weather storms and seize opportunities. The stocks highlighted here, from tech to biotech to consumer goods, offer a mix of growth and stability. But how do you decide which ones to add?

Start by assessing your risk tolerance. If you’re comfortable with volatility, biotech might be your jam. Prefer steady gains? Financials or consumer goods could be the way to go. I’ve always believed that a diversified portfolio is like a well-balanced meal—too much of one thing, and you’re missing out on flavor.

Diversification isn’t just a buzzword; it’s your safety net in a volatile market.

– Financial advisor

Next, keep an eye on market trends. Are interest rates rising? Is tech innovation accelerating? These factors can influence which sectors will shine. Finally, don’t ignore valuations. A stock with a sky-high price tag might be tempting, but one with room to grow at a reasonable price is often the smarter bet.

The Bigger Picture: Investing for the Long Haul

Investing is a marathon, not a sprint. The stocks highlighted here are more than just short-term plays—they’re companies with strong fundamentals and growth potential. Whether it’s a chipmaker powering the next tech revolution or a beverage brand that’s a household name, these names have stories that resonate.

What I find most exciting is how these companies reflect broader trends—innovation, resilience, and consumer loyalty. They’re not just stocks; they’re bets on the future. And while no investment is a sure thing, these picks offer a compelling mix of momentum and value.


Final Thoughts: Seizing the Opportunity

The market is full of opportunities, but it’s easy to get lost in the noise. The stocks highlighted here stand out for their ability to outperform while still offering room to grow. Whether you’re a seasoned investor or just dipping your toes in, these names are worth a look. After all, who doesn’t want to catch the next big winner before it hits the headlines?

So, what’s your next move? Will you dive into tech, bet on financials, or mix it up with a diversified approach? Whatever you choose, the key is to stay informed, stay strategic, and maybe—just maybe—trust your gut a little. Here’s to finding those stocks that keep climbing!

Money is like muck—not good unless it be spread.
— Francis Bacon
Author

Steven Soarez passionately shares his financial expertise to help everyone better understand and master investing. Contact us for collaboration opportunities or sponsored article inquiries.

Related Articles