Goldman Sachs updates US Conviction List for June

Goldman Sachs on Monday updated its popular ‘US Conviction List - Director’s Cut,’ adding five stocks to its curated selection of Buy-rated stocks from its US coverage.

The five names added in the June update include Edwards Lifesciences Corp (NYSE:EW), Enphase Energy (NASDAQ:ENPH), Sempra Energy (NYSE:SRE), Teradyne (NASDAQ:TER), and Brixmor Property (NYSE:BRX) Group.

For Edwards Lifesciences, the firm's bullishness is based on the company's successful transition in its product cycle and the potential to expand the market for its Transcatheter Aortic Valve Replacement (TAVR) product line. The growth is expected to come from treating a broader patient demographic, including younger, asymptomatic patients.

“Look for new products and an expanded TAM to drive accelerating top-line growth in 2025 and put sales and EPS estimates 2-8% above Factset consensus in 2025-2027E,” analysts wrote in the note.

Enphase Energy's inclusion comes as Goldman foresees a revenue rebound, especially from the critical California market. The firm notes that a previous inventory de-stocking cycle, influenced by regulation, is coming to an end.

“Additionally, the company’s still nascent home battery segment is poised to benefit from changing residential electricity economics that make it more profitable to store electricity at home than sell it back to the grid at certain times of day,” Goldman’s note states.

Meanwhile, the firm’s analysts are also optimistic about Sempra Energy's growth prospects as its Texas utility, Oncor, is expected to benefit from the state's business, infrastructure, and population expansion.

Analysts also highlight the company’s capital expenditure growth outlook and a solid Liquified Natural Gas (LNG) pipeline, which are anticipated to support expansion in its regulated utilities.

Lastly, automatic test equipment (ATE) designer Teradyne made its way to Goldman’s Conviction List as analysts expect to see a sales inflection point, mainly due to depleted inventory levels and a forthcoming positive earnings cycle.

The firm also cites potential earnings tailwinds from a recovery in sales to a major client, new product initiatives, “and a cyclical recovery in its Robots business (10% of sales) should also provide tailwinds for earnings,” analysts noted.

While these five stocks have been added, First Solar (NASDAQ:FSLR), Southern Company (NYSE:SO), Target Corporation (NYSE:TGT) and Simon Property Group (NYSE:SPG) were the names removed as part of the June update.

Begin trading today! Create an account by completing our form

Privacy Notice

At One Financial Markets we are committed to safeguarding your privacy.

Please see our Privacy Policy for details about what information is collected from you and why it is collected. We do not sell your information or use it other than as described in the Policy.

Please note that it is in our legitimate business interest to send you certain marketing emails from time to time. However, if you would prefer not to receive these you can opt-out by ticking the box below.

Alternatively, you can use the unsubscribe link at the bottom of the Demo account confirmation email or any subsequent emails we send.

By completing the form and downloading the platform you agree with the use of your personal information as detailed in the Policy.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71.4% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Back to top

Office network

One Financial Markets is the trading name of Axi Financial Services (UK) Ltd, a company registered in England with company number 6050593. Axi Financial Services (UK) Ltd is authorised and regulated by the Financial Conduct Authority in the UK (under firm reference number 466201)

The information on this site is not directed at residents of the United States, Belgium, Poland or any particular country outside the UK and is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

www.onefinancialmarkets.com is owned and operated by Axi Financial Services (UK) Ltd.

Award winning broker
We have been presented with a number of awards that recognise the quality of our service and dedication to our clients :

Best FSA Regulated Broker
Saudi Money Expo

Best Education Product
Saudi Money Expo

Best Broker - Online Trading
IAIR Awards

Best Institutional Broker
Saudi Money Expo

Best FX Services Broker
CN Forex

Top International
FX Broker 2015

Saudi Money Expo

Broker of the Year
Online Trading – Middle East

IAIR Awards

Best Forex
Customer Service 2018

JFEX Awards

We accept the following payment methods: