Freedom Broker analysts have completely updated their list of the most promising stocks from 13 key sectors, according to their «Strategic Outlook» for the third quarter of 2025 (available from Oninvest). The list includes both technology giants like Alphabet and Xiaomi, as well as narrowly focused companies from the real estate and healthcare sectors: for example, a company that rents out warehouses.

Who made the list

- Alphabet (communications sector). Freedom Broker's price target for Google's parent company's stock is $210, suggesting it has upside potential of nearly 18% over the next 12 months. Alphabet receives most of its revenue from online advertising (search brings in 56% of total sales, YouTube another 11%) and through its Google Cloud business (also 11%). The online advertising market will grow at 10% a year, and Alphabet, which controls more than 90% of the search segment against competition and pressure from antitrust regulators, will remain the main beneficiary of that, Freedom Broker analysts say. The integration of AI into all key products and large-scale investments in infrastructure also strengthens its position and opens up the potential for long-term growth in both advertising and new segments, Freedom Broker believes.

- Visa (Financials). Target price is $403, upside potential from the July 1 close of 13.5%. Visa demonstrates stable financial results and is actively developing in digital technologies - from instant transfers to blockchain payments. The company already partners with issuers of stablecoins (the dollar analog in the cryptocurrency world)  like USDC and processes hundreds of millions of dollars worth of digital asset transactions. The potential of this infrastructure is comparable to the company's traditional payments business, Freedom Broker analysts said. After news that Amazon and other retail giants may issue their own stablecoins, Visa shares plunged 10%, but Freedom Broker called the drop «excessive» and saw it as a good opportunity to buy the securities on the downturn. 

- Salesforce (IT sector). Freedom Broker's target for shares of the developer of AI-based cloud software for marketers is $360 a share, implying upside of another third. Analysts called Salesforce «one of the main beneficiaries of digital transformation» and the stock «undervalued» compared to its peers. According to Freedom Broker, Salesforce's platform is already a key solution for sales, marketing, customer service and continues to strengthen its position with AI and Data Cloud integration. Salesforce can sustainably grow revenue and free cash flow by 9-10% per year, the broker predicts.

- Xiaomi (Chinese equities sector). The technology giant's depositary receipts have a growth potential of more than 20%, Freedom Broker believes. Analysts emphasize that the easing of trade relations between the U.S. and China reduces risks to consumer demand in the PRC and improves sales prospects for Xiaomi products - without pressure on prices and profits. In addition, China continues to support local manufacturers, which gives Xiaomi a chance to strengthen its position in the smartphone market. An additional incentive is the launch of its own SUV («urban SUV»), sales of which will start in the summer. The new model could become a growth driver in the electric car segment, Freedom Broker adds.

- General Motors (automotive industry). GM has leaped into second place in U.S. electric vehicle sales thanks to new Chevrolet, GMC and Cadillac models. In the first quarter, demand for GM's electric vehicles increased 94% year-over-year and market share reached 10.4%. The company continues to launch new electric vehicles in 2025 and remains a leader in the pickup truck and SUV segment, which supports revenue and cash flow. It's also investing $4 billion to expand manufacturing operations in the U.S., which helps ease pressure from Donald Trump's trade duties. GM stock has upside potential of 11%, according to Freedom Broker.

- Chevron Corporation (energy sector). Analysts' target of $165 suggests that shares of one of the largest U.S. oil and gas companies will rise by another 14%. According to Freedom Broker experts, it is worth betting on stable and diversified companies in conditions of instability, and Chevron is just such a company. Chevron is also actively buying back its shares from the market: in the first quarter of 2025, it spent almost $4 billion on buybacks, and for 2024 - $15.2 billion.

- Target Corporation (consumer staples sector). Freedom Broker's price target on the retailer's stock is $145, which implies a 43.5% upside. Target's shares have slipped to a five-year low amid deteriorating financial and operational performance, but from a fundamental perspective they look «grossly oversold,» analysts said. The stock's price-to-earnings multiple of 12 is the lowest in the sector, making it attractive to investors, they added.

- Macy's (secondary goods sector). According to Freedom Broker, the securities of one of the largest department store chains in the U.S. can grow by another 30% from current values. According to analysts, the drop in Macy's market value since the beginning of the year by a third is a good opportunity to buy the stock. Although the company's comparable sales declined 2% year-over-year in the first quarter of 2025, its key financial metrics beat analysts' expectations and the company's own forecasts. In addition, Macy's has consistently paid a dividend since 2003.

- First Solar (Renewable Energy Sector). Analysts believe that despite the sharp fall in shares of solar panel module manufacturer First Solar after news of a possible reduction in tax incentives in the US, the company may recover as early as the third quarter. They note the high volume of current orders, which allows the company to maintain stable revenues even if some projects are canceled. Freedom Broker's 2025 forecast for the company is for revenue growth of nearly 14% (to $4.8 billion), a 7.5% increase in earnings per share (to $13) and a 10.5% rise in the stock over the next year.

- Incyte Corporation (Healthcare Sector). Incyte is a growing and profitable biotech company with a focus on oncology and autoimmune diseases. Analysts expect it could exceed its revenue forecasts in the coming quarters due to sales of its key immune system disruption and inflammation drugs, Jakafi and Opzelura. The company's securities, Freedom Broker believes, are undervalued. It expects them to rise another 20% in the next 12 months.

- Leidos Holdings (industrial sector). Analysts at Freedom Broker note that Leidos  is one of the key providers of defense IT services and solutions to the U.S. Department of Defense, especially in the area of command and control systems. They expect demand for cybersecurity and defense IT services to grow. The company is also developing ground-based systems against drones and missiles that can be used, such as Israel's Iron Dome system. Freedom's target price of $170 implies an increase in the company's market value by another 5.5%.

- EastGroup Properties (Real Estate Sector). Analysts positively assess the prospects of EastGroup Properties as one of the leaders in the segment of industrial real estate in the United States. According to them, the format of EastGroup's work (small warehouses with quick change of tenants) allows the company to react quickly to market changes and reduces risks. Freedom Broker expects that due to stable cash flow, high utilization of facilities and active development, the company's securities may grow by another 13%.

- Idaho Strategic Resources (commodities sector). Quotes of this «undervalued» company at the intersection of two strategically important areas (gold mining and rare earth metals) can grow another quarter, according to Freedom Broker. According to analysts, the company is characterized by a strong financial position, positive cash flow and almost $10 million in cash with zero debt. It also has promising REM exploration targets, including Lemhi Pass, which is one of the largest deposits in the US.

 

This article was AI-translated and verified by a human editor

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