When Wall Street turns bearish on a stock, it’s worth paying attention. These calls stand out because analysts rarely issue grim ratings on companies for fear their firms will lose out in other business lines such as M&A advisory.
Whatever the consensus opinion may be, our team at StockStory cuts through the noise by conducting independent analysis to determine a company’s long-term prospects. That said, here is one stock poised to prove Wall Street wrong and two where the outlook is warranted.
Two Stocks to Sell:
Workday (WDAY)
Consensus Price Target: $180.58 (-9.1% implied return)
Born from the vision of PeopleSoft founders after Oracle's hostile takeover of their previous company, Workday (NASDAQ:WDAY) provides cloud-based software for financial management, human resources, planning, and analytics to help organizations manage their business operations.
Why Do We Think Twice About WDAY?
- Sales trends were unexciting over the last two years as its 14.1% annual growth was below the typical software company
- Estimated sales growth of 10.9% for the next 12 months implies demand will slow from its two-year trend
- Operating margin improvement of 5.9 percentage points over the last year demonstrates its ability to scale efficiently
At $198.71 per share, Workday trades at 4.4x forward price-to-sales. If you’re considering WDAY for your portfolio, see our FREE research report to learn more.
Lake City Bank (LKFN)
Consensus Price Target: $66.50 (10.7% implied return)
Dating back to 1872 and deeply rooted in Indiana's communities, Lakeland Financial Corporation (NASDAQ:LKFN) operates Lake City Bank, providing commercial and consumer banking services throughout Northern and Central Indiana.
Why Does LKFN Fall Short?
- Annual revenue growth of 5% over the last five years was below our standards for the banking sector
- Muted 5.8% annual net interest income growth over the last five years shows its demand lagged behind its banking peers
- Incremental sales over the last five years were less profitable as its 3.3% annual earnings per share growth lagged its revenue gains
Lake City Bank’s stock price of $60.06 implies a valuation ratio of 1.9x forward P/B. Dive into our free research report to see why there are better opportunities than LKFN.
One Stock to Watch:
WEX (WEX)
Consensus Price Target: $192.40 (-1.5% implied return)
Originally founded in 1983 as Wright Express to serve the fleet card market, WEX (NYSE:WEX) provides payment processing and business solutions across fleet management, employee benefits, and corporate payments sectors.
Why Could WEX Be a Winner?
- Share repurchases have increased shareholder returns as its annual earnings per share growth of 20.6% exceeded its revenue gains over the last five years
- Industry-leading 18.2% return on equity demonstrates management’s skill in finding high-return investments
WEX is trading at $195.38 per share, or 9.4x forward P/E. Is now the right time to buy? See for yourself in our full research report, it’s free.
Stocks We Like Even More
ONE MORE THING: Top 6 Stocks for This Week. This market is separating quality stocks from expensive ones fast. AI is taking down whole sectors with no warning. In a rotation this fast, you need more than a list of good companies.
Our AI system flagged Palantir before it ran 1,662% between October 2022 and February 2026. AppLovin before it ran 753% between February 2024 and February 2026. Nvidia before it ran 1,178% between January 2023 and February 2026. Each week it produces 6 new names that pass the same tests. Get Our Top 6 Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+214% between June 2020 and June 2025). Find your next big winner with StockStory today.