Citi’s Top Stock Picks with Strong Conviction for 2025

Maximizing Your Investment Potential: Top Stocks to Watch for 2025

As the new year approaches, savvy investors are beginning to strategize for the upcoming twelve months. With a promising performance in 2024 that saw all three major U.S. stock indexes posting considerable gains—over a 33% uptick in the tech-heavy Nasdaq Composite, more than 26% in the S&P 500, and around 15% in the Dow Jones Industrial Average—2025 is shaping up to be an exciting year for investing. At Extreme Investor Network, we believe it’s crucial to not only be aware of the market’s current trends but also to identify high-potential stocks that could significantly outperform their peers.

Citi’s Updated Focus List

In light of recent market dynamics, Citi has updated its list of “highest conviction” investment ideas for North America. This meticulously crafted list has delivered impressive returns of 26% over a three-month period and a staggering 37.5% over six months, highlighting the potential for strong investment opportunities in the current climate.

A Shift in Focus Toward Earnings Growth

Citi’s U.S. equities strategist, Scott Chronert, highlighted an emerging theme for 2025: earnings growth rate convergence. This suggests that investors should look beyond big-cap stocks to identify sculpted opportunities among smaller stocks for incremental alpha. This shift could be pivotal for your investment strategy as we move into the new year.

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Stocks to Watch

Here’s a closer look at some of the standout stocks on Citi’s updated list that investors should have on their radar as they craft their portfolios for 2025.

1. AT&T (T)

Despite experiencing a slight dip in December, AT&T has been a strong performer in 2024 with year-to-date gains of nearly 37%. Citi maintains a buy rating on the stock, anticipating that the shares will continue to rise, with a price target of $28—implying a potential upside of around 22%. Analyst Michael Rollins discusses the market’s underestimation of AT&T’s capabilities to maintain robust performance in its mobility segment while expanding its consumer wireline segment’s financial contributions. With growth forecasts for service revenue reaching 2.4% year-over-year and promising catalysts for multiple expansions, AT&T stands out as a compelling investment opportunity.

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2. Boston Scientific (BSX)

Boston Scientific’s shares have skyrocketed over 58% in 2024, and Citi is optimistic about its future. The company’s momentum, driven by critical product launches such as its pulsed-field ablation (PFA) solutions, positions it for continued growth. Analyst Joanne Wuensch predicts a potential upside to $107, marking a 17% increase from current levels. With expectations of double-digit revenue growth and earnings per share expansion, Boston Scientific epitomizes a strategic investment in the healthcare sector.

3. Take-Two Interactive (TTWO)

Gaming enthusiasts and investors alike should take note of Take-Two Interactive. With multiple high-profile releases scheduled for the coming quarters—most notably, the highly anticipated Grand Theft Auto VI—analyst Jason Bazinet envisions a ramp-up in growth momentum. The stock has already risen over 16% in 2024, and with a target price of $225, representing a potential increase of approximately 20%, this gaming giant offers promising prospects for both short-term and long-term investors.

Take Action: Build Your 2025 Portfolio Wisely

As you navigate the shifting market landscape, it’s essential to take a proactive approach to investing. At Extreme Investor Network, we encourage you to delve into these stocks and consider how they align with your investment strategy and financial goals.

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In a year poised for growth, identifying stocks that not only show past potential but also promise strong future performance is key. Whether you choose to explore AT&T’s telecommunications strategies, Boston Scientific’s innovations in healthcare technology, or the gaming world led by Take-Two Interactive, the opportunity for substantial returns is ripe for the picking.

Stay tuned to Extreme Investor Network as we continue to provide in-depth analysis, investment tips, and market insights tailored to help you thrive in the ever-evolving investment landscape. Together, let’s maximize your investment potential in 2025 and beyond!