Buy-rated laggards with out-of-consensus estimates for 2024 – GS

According to a Goldman Sachs report, prior year’s lagging stocks tend to become leaders in the first quarter of the following year.

This year’s laggards feature healthcare, financial and industrial sectors, with lower returns, lower quality, and inexpensive valuation and high growth.

As analysts expect earnings revisions to drive price performance, GS highlighted in its report buy-rated stocks with earnings estimates by GS analysts that are above consensus expectations for the fourth quarter.

Buy-rated laggards with at least 10% upside to price target with GS estimates above consensus for 2024:

• The Mosaic Co. (MOS) – GS estimate for 2024 EBITDA $2,909B, +17% higher than Wall Street consensus
• CF Industries Holdings (CF) – GS '24 EBITDA est $2,993B, +17% higher
• ANGI HomeServices Inc. (ANGI) – GS '24 EBITDA est $149M, +15%
• Clear Secure Inc. (YOU) – GS '24 EBITDA est $132M, +15%
• Shoals Technologies (SHLS) – GS '24 EBITDA est $231M, +9%
• Green Plains Inc. (GPRE) – GS '24 EBITDA est $295M, +9%
• Payoneer Global (PAYO) – GS '24 EBITDA est $251M, +9%
• Chesapeake Energy Corp. (CHK) – GS '24 EBITDA est $2,756B, +8%
• Archer-Daniels-Midland (ADM) – GS '24 EBITDA est $6,017B, +8%
• Target Corp. (TGT) – GS '24 EPS est $9.75, +7%
• Darling Ingredients Inc. (DAR) – GS '24 EBITDA est $1,798B, +7%
• Lincoln National Corp. (LNC) – GS '24 EPS est $7.65, +6%
• Bath & Body Works Inc. (BBWI) – GS '24 EPS est $3.46, +5%
• Affiliated Managers Group (AMG) – GS '24 EPS est $21.18, +5%
• Deere & Co. (DE) – GS '24 EPS est $28.98, +3%
• PayPal Holdings (PYPL) – GS '24 EPS $5.68, +2%
• Trimble Inc. (TRMB) – GS '24 EPS est $2.79, +2%

Also, these are sell-rated stocks where GS analysts see downside to price target, compared to consensus estimates:

• Canadian Solar Inc. (CSIQ) – GS '24 EBITDA est $549M, -25%
• Comstock Resources Inc. (CRK) – GS '24 EBITDA est $1,225B, -8%
• Foot Locker Inc. (FL) – GS '24 EPS est $1.85, -8%
• Jack Henry & Associates Inc. (JKHY) – GS '24 EBITDA est $716M, -4%
• APA Corp. (APA) – GS '24 EBITDA est $5,354B, -3%
• Hormel Foods Corp. (HRL) – GS '24 EBITDA $1,387B, -3%
• Amcor Plc. (AMCR) – GS '24 EBITDA est $2,042B, -2%