Market Analysts Urge Selectivity in Stock Picks

StockStory and other market commentators warn that Wall Street bullish price targets often deserve skepticism and recommend greater selectivity in stock picks. They flag red flags such as falling organic sales, cash burn or inefficient cash deployment, shrinking returns on invested capital, weak margins and elevated leverage. Specific companies called out for operational or growth concerns include Driven Brands, AT&T, Bally’s, Clarus, ManpowerGroup, Applied Materials, OneWater Marine, Levi’s and Universal Technical Institute. Several cash-heavy or net-cash firms also drew scrutiny — including Paycom, Procore, Korn Ferry, Kratos and The Real Brokerage — where modest billings growth or deteriorating margins temper enthusiasm despite strong balance sheets. By contrast, analysts and guests highlighted higher-upside or durable stories such as Lyft for improving monetization, AMD for rapid revenue and EPS growth, and investor Tom Hulick recommended Broadcom and Eli Lilly as long-term AI-chip and GLP‑1-related holdings. The takeaway is to pair independent fundamental analysis with caution around consensus price targets and to prioritize durable growth, improving margins, manageable leverage and sensible valuations.