Consider Acquiring These Stocks Expected to Exceed Earnings Estimates, According to Piper Sandler

Buy these stocks likely to beat earnings estimates, per Piper Sandler

Earnings Season Insights: What to Watch for in Q1 Reports

As we enter the heart of the first-quarter earnings season, investors are all eyes on Wall Street, eager to decipher how leading companies will perform amidst an environment characterized by market volatility and political uncertainty. Here at Extreme Investor Network, we strive to provide our readers with not just the latest information but also unique insights to help them navigate these tumultuous times.

Key Players to Watch

This week, major players including Netflix, American Express, UnitedHealth, D.R. Horton, and Charles Schwab are set to report their earnings. However, amidst the usual flurry of analyses, it’s important to focus on companies that may exceed investor expectations, especially given the current economic climate. Analysts from Piper Sandler have flagged a few stocks that could outperform their estimates this earnings season, and we’d like to delve deeper into some of these picks, providing you with additional value and insights.

1. Medtronic (MDT): A Cut Above the Rest

Medtronic is a standout name in the health-care technology sector that has witnessed a nearly 5% uptick this year alone. Citi analyst Joanne Wuensch recently upgraded Medtronic to a ‘buy’, changing the outlook significantly. The upcoming fiscal year 2026 guidance set to be announced in May could serve as a major catalyst for the stock. With rising interest in renal denervation technologies, Medtronic’s push into this market makes it a compelling option for investors seeking growth.

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Wuensch has a price target of $107—a substantial 30% increase from Tuesday’s closing price. By capitalizing on growth opportunities and maintaining its leadership in medical innovation, Medtronic could emerge as a lucrative investment.

2. Ross Stores (ROST): Thriving in Challenges

In the retail space, off-price retailer Ross Stores is another intriguing pick. Despite a 7% dip this year, Wells Fargo’s Ike Boruchow has given the stock a much-needed upgrade to ‘overweight’. This decision stems from Ross’s inherently defensive business model, making it a less volatile option in a fluctuating market.

Boruchow’s revised price target is set at $150—a 6% premium from Tuesday’s close. Investors should note that while Ross is contending with market pressures, its strong valuation and strategies to meet or exceed earnings forecasts could provide upside potential as we progress through the year.

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3. Northrop Grumman (NOC): Defense Sector Resilience

As geopolitical tensions continue to influence stock performance, defense companies like Northrop Grumman are reaping the benefits. With shares up 15% this year, RBC Capital Markets upgraded the stock to ‘outperform’ status. The B-21 Raider, a next-generation strategic bomber currently in development, could serve as a substantial growth driver for the company.

Analyst Ken Herbert set a new price target of $575, suggesting an 8% increase. As government spending in defense sectors rises, Northrop Grumman stands positioned to capitalize on evolving military priorities, making it a must-watch stock in the upcoming earnings report.

4. Other Noteworthy Mentions

Additional stocks highlighted by Piper Sandler include tech giant Microsoft, reliable cleaning products maker Clorox, and retail heavyweight Walmart. Each of these companies has unique growth stories and resilience strategies that may resonate well with investors looking to navigate uncertain markets.

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Join Us at the New York Stock Exchange

In these unpredictable times, having access to comprehensive insights and expert analysis is essential. That’s why we’re thrilled to invite you to our exclusive CNBC Pro LIVE event at the historic New York Stock Exchange on Thursday, June 12. This event will provide invaluable networking opportunities and interactive clinics led by investment pros.

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At Extreme Investor Network, we are dedicated to providing you with unique insights and actionable strategies during critical market periods. Stay tuned for more updates and analyses as earnings season unfolds!