Stock Market Analysts Predict Strong Uptrend - Should You Invest Now?
In a recent report, Wells Fargo has identified 20 stocks with strong momentum, based on the Bloomberg Price/Momentum metric. As of late July 2025, these momentum stocks are showing generally positive performance, supported by improving market sentiment, particularly in the healthcare, technology, and financial sectors.
The banking giant reported an 8% increase in investment banking revenue, reflecting growing activity which benefits momentum stocks connected to these sectors.
Among the constituent stocks, some are reporting solid or improving earnings outlooks. For instance, W.W. Grainger, Inc. and RBC Bearings Inc. show earnings per share projections well above recent past results. Regeneron Pharmaceuticals, Inc. is projected to have strong earnings growth, consistent with momentum in healthcare. Moderna, Inc., despite recent earnings challenges, remains a key player in healthcare momentum.
Sector-wise, earnings growth forecasts for key sectors like technology and healthcare remain supportive of momentum continuation.
Looking ahead, the future outlook for these momentum stocks is cautiously optimistic, with expectations that continued dealmaking and capital markets activity will support further upward momentum. However, macroeconomic risks such as tariffs and inflation pressures could pose challenges to sustaining momentum.
In banking-related momentum stocks, recent performances have been strong, with expectations of buyback and dividend boosts to continue investor interest.
In summary, the momentum stocks identified by Wells Fargo are currently showing strong performance, supported by improving sector earnings and dealmaking activity. The healthcare, technology, and financial sectors stand out as key drivers. The future outlook remains positive but tempered by macroeconomic risks including tariffs and inflation. Earnings reports in the coming weeks will be critical to confirming whether momentum can be sustained into the second half of 2025.
Some other stocks identified by Wells Fargo include PVH, Dell, Elastic, Cloudflare, Blueprint, Acuity Brands, KKR, Ascendis, Nvidia, Immunovant, and XPO. While the exact full list of the 20 stocks was not found in the search results, available data on key names and sectors indicate a broadly favorable but cautious investment environment for these momentum stocks.
- The banking-related momentum stocks, such as those represented by PVH, Dell, and KKR, are witnessing strong performances, with expectations of buyback and dividend boosts to retain investor interest, stemming from the identified list of 20 stocks by Wells Fargo that are showing strong momentum in finance and investing.
- In the financial sector, amid the list of 20 identified momentum stocks by Wells Fargo, Moderna, Inc., despite recent earnings challenges, remains a significant player, owing to its contribution to healthcare momentum, offering a prospect for strong earnings growth in line with the sector's momentum.
