Wall Street is overwhelmingly bullish on the stocks in this article, with price targets suggesting significant upside potential. However, it’s worth remembering that analysts rarely issue sell ratings, partly because their firms often seek other business from the same companies they cover.
At StockStory, we look beyond the headlines with our independent analysis to determine whether these bullish calls are justified. Keeping that in mind, here is one stock where Wall Street’s excitement appears well-founded and two where its enthusiasm might be excessive.
Two Stocks to Sell:
Skillz (SKLZ)
Consensus Price Target: $6 (38.7% implied return)
Taking a new twist at video gaming, Skillz (NYSE: SKLZ) offers developers a platform to create and distribute mobile games where players can pay fees to compete for cash prizes.
Why Are We Out on SKLZ?
- Intense competition is diverting traffic from its platform as its paying monthly active users fell by 15% annually
- Persistent EBITDA margin losses suggest the business manages its expenses poorly
- Cash-burning history makes us doubt the long-term viability of its business model
Skillz is trading at $4.33 per share, or 0.7x forward price-to-gross profit. To fully understand why you should be careful with SKLZ, check out our full research report (it’s free for active Edge members).
Privia Health (PRVA)
Consensus Price Target: $31.26 (31.8% implied return)
Operating in 13 states and the District of Columbia with over 4,300 providers serving more than 4.8 million patients, Privia Health (NASDAQ: PRVA) is a technology-driven company that helps physicians optimize their practices, improve patient experiences, and transition to value-based care models.
Why Does PRVA Give Us Pause?
- Smaller revenue base of $2.04 billion means it hasn’t achieved the economies of scale that some industry juggernauts enjoy
- Lacking free cash flow generation means it has few chances to reinvest for growth, repurchase shares, or distribute capital
- Negative returns on capital show management lost money while trying to expand the business
At $23.72 per share, Privia Health trades at 25.7x forward P/E. Read our free research report to see why you should think twice about including PRVA in your portfolio.
One Stock to Watch:
iRhythm (IRTC)
Consensus Price Target: $218.60 (23.2% implied return)
Pioneering the shift from bulky, short-term heart monitors to sleek, wire-free patches, iRhythm Technologies (NASDAQ: IRTC) provides wearable cardiac monitoring devices and AI-powered analysis services that help physicians detect and diagnose heart rhythm disorders.
Why Do We Like IRTC?
- Market share has increased this cycle as its 23.4% annual revenue growth over the last five years was exceptional
- Adjusted operating profits and efficiency rose over the last five years as it benefited from some fixed cost leverage
- Free cash flow turned positive over the last five years, indicating the company has achieved financial self-sustainability
iRhythm’s stock price of $177.39 implies a valuation ratio of 66.5x forward EV-to-EBITDA. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free for active Edge members .
Stocks We Like Even More
The market’s up big this year - but there’s a catch. Just 4 stocks account for half the S&P 500’s entire gain. That kind of concentration makes investors nervous, and for good reason. While everyone piles into the same crowded names, smart investors are hunting quality where no one’s looking - and paying a fraction of the price. Check out the high-quality names we’ve flagged in our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 244% over the last five years (as of June 30, 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today.
