1 Unpopular Stock That Deserves a Second Chance and 2 We Question

Wall Street has issued downbeat forecasts for the stocks in this article. These predictions are rare - financial institutions typically hesitate to say bad things about a company because it can jeopardize their other revenue-generating business lines like M&A advisory.

At StockStory, we look beyond the headlines with our independent analysis to determine whether these bearish calls are justified. Keeping that in mind, here is one stock where Wall Street’s pessimism is creating a buying opportunity and two where the skepticism is well-placed.

Two Stocks to Sell:

Hayward (HAYW)

Consensus Price Target: $17.21 (8.1% implied return)

Credited with introducing the first variable-speed pool pump, Hayward (NYSE:HAYW) makes residential and commercial pool equipment and accessories.

Why Are We Cautious About HAYW?

1. Sales trends were unexciting over the last five years as its 2% annual growth was below the typical industrials company
2. Earnings per share have dipped by 9.6% annually over the past four years, which is concerning because stock prices follow EPS over the long term
3. Capital intensity has ramped up over the last five years as its free cash flow margin decreased by 8.9 percentage points

At $15.93 per share, Hayward trades at 18.4x forward P/E. Check out our free in-depth research report to learn more about why HAYW doesn’t pass our bar.

ManpowerGroup (MAN)

Consensus Price Target: $36.39 (-6% implied return)

Founded during the post-World War II economic boom when businesses needed temporary workers, ManpowerGroup (NYSE:MAN) connects millions of people to employment opportunities through its global network of staffing, recruitment, and workforce management services.

Why Is MAN Risky?

1. Sales were flat over the last two years, indicating it’s failed to expand this cycle
2. Earnings per share fell by 17.5% annually over the last five years while its revenue was flat, showing each sale was less profitable
3. Waning returns on capital from an already weak starting point displays the inefficacy of management’s past and current investment decisions

ManpowerGroup’s stock price of $38.71 implies a valuation ratio of 9.8x forward P/E. Dive into our free research report to see why there are better opportunities than MAN.

One Stock to Watch:

PJT (PJT)

Consensus Price Target: $171 (8.9% implied return)

Spun off from Blackstone in 2015 and founded by former Morgan Stanley executive Paul J. Taubman, PJT Partners (NYSE:PJT) is an advisory-focused investment bank that provides strategic advice, restructuring services, and fundraising solutions to corporations, boards, and investment firms.

Why Should PJT Be on Your Watchlist?

1. Annual revenue growth of 18.7% over the last two years was superb and indicates its market share increased during this cycle
2. Performance over the past two years shows its incremental sales were extremely profitable, as its annual earnings per share growth of 42% outpaced its revenue gains
3. Market-beating return on equity illustrates that management has a knack for investing in profitable ventures

PJT is trading at $157.05 per share, or 21x forward P/E. Is now the time to initiate a position? See for yourself in our comprehensive research report, it’s free.

Stocks We Like Even More

ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time.

Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE.

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 Exlservice (+354% five-year return). Find your next big winner with StockStory today.