5 Stocks With Upgraded Broker Ratings Worth Investing in Now

Core Viewpoint - The current economic environment, characterized by low consumer confidence and labor market weakness, is leading to expectations of earlier rate cuts, although Federal Reserve officials maintain a high-rate stance for a longer period. This backdrop complicates independent stock selection and return generation [1]. Group 1: Stock Recommendations - Stocks such as Medpace Holdings, Inc. (MEDP), American Axle & Manufacturing Holdings, Inc. (AXL), Diebold Nixdorf, Incorporated (DBD), Euronet Worldwide, Inc. (EEFT), and Omnicom Group Inc. (OMC) are highlighted as potential investment opportunities [1]. - Medpace's earnings estimates for 2024 have been revised upward by 6.6% over the past 30 days, with a broker rating upgrade of 16.7% in the last four weeks, and it holds a Zacks Rank of 1 [4]. - American Axle & Manufacturing's 2024 earnings estimates have seen a 26.7% upward revision in the past 30 days, with a broker rating upgrade of 12.5% and a Zacks Rank of 2 [5]. - Diebold Nixdorf's 2024 earnings estimates have jumped 47% upward over the past 30 days, with a 50% upward revision in broker ratings and a Zacks Rank of 1 [6]. - Euronet's 2024 earnings estimates have been revised upward by 2% in the past month, with an 11.1% broker rating upgrade and a Zacks Rank of 2 [6]. - Omnicom's 2024 earnings estimates have been revised upward by 1.4% over the past 30 days, with an 18.2% broker rating upgrade and a Zacks Rank of 2 [7]. Group 2: Broker Insights - Brokers have a deeper insight into company operations as they communicate directly with top management and assess publicly available documents [2]. - They evaluate company fundamentals against the current economic backdrop to predict stock performance [2]. - While broker upgrades can be reliable, a comprehensive investment portfolio should consider multiple factors beyond just broker recommendations [2]. Group 3: Screening Strategy - A screening strategy is proposed to identify potential winning stocks, including criteria such as broker rating upgrades of 1% or more in the last four weeks, current price above $5, average 20-day volume greater than 100,000, Zacks Rank of 1 or 2, and VGM Score of A or B [3].