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3 Unpopular Stocks That Deserve Some Love
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 are three stocks where Wall Street’s pessimism is creating a buying opportunity.
Northwest Pipe (NWPX)
Consensus Price Target: $64 (3.1% implied return)
Playing a large role in the Integrated Pipeline (IPL) project in Texas to deliver ~350 million gallons of water per day, Northwest Pipe (NASDAQ:NWPX) is a manufacturer of pipeline systems for water infrastructure.
Why Does NWPX Stand Out?
- Impressive 12.5% annual revenue growth over the last five years indicates it’s winning market share this cycle
- Share buybacks catapulted its annual earnings per share growth to 19.9%, which outperformed its revenue gains over the last two years
- Free cash flow margin jumped by 13.7 percentage points over the last five years, giving the company more resources to pursue growth initiatives, repurchase shares, or pay dividends
Northwest Pipe’s stock price of $62.10 implies a valuation ratio of 16.7x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free for active Edge members.
Intuitive Surgical (ISRG)
Consensus Price Target: $599.60 (5.8% implied return)
Pioneering minimally invasive surgery since its first da Vinci system was FDA-cleared in 2000, Intuitive Surgical (NASDAQ:ISRG) develops and manufactures robotic-assisted surgical systems that enable minimally invasive procedures across various medical specialties.
Why Is ISRG Interesting?
- Products are seeing elevated demand as its system placement averaged 12.7% growth over the past two years
- Estimated revenue growth of 14.2% for the next 12 months implies its momentum over the last two years will continue
- Earnings growth has trumped its peers over the last five years as its EPS has compounded at 20.9% annually
Intuitive Surgical is trading at $566.51 per share, or 61x forward P/E. Is now the right time to buy? See for yourself in our in-depth research report, it’s free for active Edge members.
RLI (RLI)
Consensus Price Target: $66.50 (3.9% implied return)
Founded in 1965 and named after its original focus on "replacement lens insurance" for contact lens wearers, RLI (NYSE:RLI) is a specialty insurance company that underwrites property, casualty, and surety products through wholesale brokers, independent agents, and carrier partnerships.
Why Is RLI on Our Radar?
- Annual revenue growth of 13.7% over the past five years was outstanding, reflecting market share gains this cycle
- Market penetration was impressive this cycle as its net premiums earned expanded by 13.3% annually over the last two years
- Stellar return on equity showcases management’s ability to surface highly profitable business ventures
At $63.98 per share, RLI trades at 3.2x forward P/B. Is now a good time to buy? Find out in our full research report, it’s free for active Edge members.
High-Quality Stocks for All Market Conditions
If your portfolio success hinges on just 4 stocks, your wealth is built on fragile ground. You have a small window to secure high-quality assets before the market widens and these prices disappear.
Don’t wait for the next volatility shock. Check out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 244% over the last five years (as of June 30, 2025).
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-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today.