Top Wall Street analysts pick these stocks for robust growth potential

Global stock markets continue to be volatile, influenced by the news around wavering tariffs and trade tensions. While the Trump administration’s relaxation of certain tariffs could provide some relief, the ongoing uncertainties and macro challenges might continue to weigh on investor sentiment.

Given this scenario, investors can take cues from the recommendations of top analysts and pick some attractive stocks that have the ability to thrive despite short-term headwinds.

With that in mind, here are three stocks favored by the Street’s top pros, according to TipRanks, a platform that ranks analysts based on their past performance.

First on this week’s list is financial services company Charles Schwab (SCHW), which offers a wide range of brokerage, banking, and advisory services through its operating subsidiaries. On April 17, the company announced better-than-expected revenue and earnings for the first quarter of 2025.

Following the upbeat results and a positive conference call, TD Cowen analyst William Katz raised his 2024-2026 earnings estimates. He also reaffirmed a buy rating on Charles Schwab stock and increased his price target to $95 from $88, saying, “SCHW remains our top pick.”

Katz noted that management’s commentary was essentially bullish, highlighting positives like solid momentum in new business trends/demographics and operating leverage. He added that April started on a robust note for the company, thanks to strong trading, continued rise in client cash, relatively durable client margin balances, and likely solid net new assets (NNAs).

The analyst believes that despite positive EPS revisions and ongoing market volatility, his model is still conservative when it comes to key drivers like NNAs/client cash.

Katz sees the possibility for additional P/E multiple expansion, driven by robust/more consistent management execution, favorable organic growth dynamics, notable operating leverage, and rapid improvement in balance sheet flexibility.

Katz ranks No. 323 among more than 9,400 analysts tracked by TipRanks. His ratings have been profitable 58% of the time, delivering an average return of 10.2%. See Charles Schwab Financials on TipRanks.

Next up is streaming giant Netflix (NFLX), which recently posted a significant earnings beat for the first quarter of 2025. Higher-than-expected subscriptions and ad dollars helped boost revenue and earnings in the quarter.

Impressed by the Q1 print, JPMorgan analyst Doug Anmuth reiterated a buy rating on NFLX stock and raised the price target to $1,150 from $1,025. “NFLX continues to play offense in its business, while the stock remains defensive in the uncertain environment,” said the analyst.

Anmuth noted that on the offensive side, Netflix offered solid content in Q1 2025, with “Adolescence” and three films breaking into the streaming platform’s all-time most popular list. He added that the company is strategically raising prices, including the recently announced increase in France and the upcoming hikes in the U.S. and U.K. Another positive highlighted by Anmuth was the rise in Netflix’s advertising business, supported by growing user scale and monetization.

On the defensive side, the analyst pointed out Netflix’s subscription-based model, low churn, strong engagement and high entertainment value. Its low-priced ad tier ($7.99/month in the U.S.) also makes the service very accessible. While Netflix is not directly hit by tariffs, Anmuth noted that the company’s shareholder letter and interview highlighted its commitment to international programming and production in Latin America, Asia, Europe, and the U.K.

Overall, Anmuth is bullish on Netflix stock due to several positives, including the expectation of double-digit revenue growth in 2025 and 2026, a continued rise in operating margin despite growth investments, and a dominant position in the streaming space.

Anmuth ranks No. 81 among more than 9,400 analysts tracked by TipRanks. His ratings have been successful 59% of the time, delivering an average return of 18.3%. See Netflix Hedge Fund Trading Activity on TipRanks.

Finally, let’s look at Verra Mobility (VRRM), a provider of smart transportation solutions like integrated technology to help customers manage tolls, violations, and vehicle registrations and school zone traffic cameras.

Recently, Baird analyst David Koning upgraded Verra Mobility stock to buy from hold with a price target of $27. The analyst highlighted the company’s solid market position. He finds a tough macro environment as a good time to upgrade the stock, because he views “high-quality companies as less pressured by investors during tougher/uncertain times.”

While Koning acknowledged the potential impact of macro pressures on travel volumes, he is bullish on Verra Mobility due to its strong moat. Specifically, the analyst noted the solid position of the company’s Commercial unit via its rental vehicle toll transponders and the moat in its Government unit through products like speed/red light/school zone cameras.

Additionally, Koning emphasized the renewal of the New York City (NYC) contract, which accounts for nearly 16% of Verra Mobility’s total revenue. The analyst also thinks that states/municipalities may require more cameras during a challenging macro environment to drive more ticket revenue.

Koning expects Verra’s EPS estimates to be largely intact in a market where the earnings estimates of many companies could be lowered. At a valuation of 15x the 2026 EPS estimate, the analyst finds Verra stock attractive, given that it is a high-moat business.

Koning ranks No. 232 among more than 9,400 analysts tracked by TipRanks. His ratings have been profitable 55% of the time, delivering an average return of 13.2%. See Verra Mobility Ownership Structure on TipRanks.