3 Top Ranked Stocks to Buy on This Dip (CELH, COMM, LRN)

By Ethan Feller | August 21, 2025, 12:57 PM

The market has finally given investors a small breather, with stocks experiencing their first real “micro-dip” in months. But make no mistake, this isn’t the end of the rally. In fact, it looks more like a healthy pause in what remains a powerful bull market. For long-term investors, these pauses are opportunities to add to great names at better prices.

One way to spot future leaders is to see which stocks hold up best during these brief corrections. Resilient stocks in downturns often emerge as the next wave of market winners. That’s exactly the kind of setup I look for when building my buy list.

My process is simple but effective: I focus on companies with top Zacks Ranks, backed by strong sales and earnings growth forecasts, and supported by solid technical momentum. Right now, three stocks stand out, Celsius (CELH),CommScope (COMM),and Stride (LRN). Each one checks the boxes for fundamental strength and market leadership, making them compelling buys on this dip.

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Celsius Stock Mounting a Comeback After Valuation Reset

Celsius, one of the fastest growing names in the energy drink market, has been on a rollercoaster ride. The stock went from Wall Street darling last summer to near “dumpster fire” sentiment earlier in 2025. A slowdown in orders from its key distributor, PepsiCo, and a surprise revenue shortfall in Q1 2024 rattled confidence and sparked a wave of selling. At one point, investors feared the growth story might be breaking down. But since February, the tide has turned. Shares have come roaring back, supported by a healthier, more sustainable valuation and reaffirmed by the same explosive growth rates that made Celsius so compelling in the first place.

Sales are expected to surge 75% this year, followed by another 25% in 2026, while analysts have steadily lifted their profit forecasts. The stock now carries a Zacks Rank #1 (Strong Buy) after earnings estimates were revised sharply higher — FY25 earnings are up 34.6%, and FY26 has been raised 18.1%. Long-term, earnings are projected to grow at an impressive 40.3% annually over the next three to five years.

Valuation, once the stock’s biggest overhang, looks more reasonable after the reset. Celsius trades at about 56.9x forward earnings, which is still rich, but notably below its historical average and not outlandish given its growth trajectory.

Earlier this month, Celsius smashed expectations again, sending shares gapping higher and igniting renewed momentum. Clearly, the market had turned too bearish, and investors are now scrambling to get back in. If growth continues at this pace, it wouldn’t be surprising to see Celsius reclaim its status as one of Wall Street’s favorite growth stories.

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CommScope is an Under-the-Radar AI Stock

CommScope may not be the first name investors think of when it comes to artificial intelligence, but the company is emerging as a quiet player in the buildout of data center and AI infrastructure. Still a small-cap, the stock has largely flown under the radar, yet its performance has been on fire. Importantly, it remains attractively valued. At just 12.1x forward earnings with earnings projected to grow 23.8% annually over the next three to five years, COMM carries a compelling PEG ratio of only 0.51.

The fundamentals are backed by strong analyst sentiment. CommScope holds a Zacks Rank #1 (Strong Buy) after a wave of estimate revisions: current quarter earnings forecasts have been raised 32%, next quarter by 54%, the full year by 47.7%, and FY26 by 42.6%. Those kinds of upward revisions often mark the beginning of sustained leadership.

Technicals add another bullish layer. Since gapping higher after its August earnings report, COMM has been consolidating into a tight bull flag pattern. A decisive move above $15.85 with would trigger a breakout, potentially setting the stage for another leg higher.

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Image Source: TradingView

Stride Shares Continues to Grind Higher

Stride is another under-the-radar name steadily gaining traction. Operating in the education space, the company benefits from an industry with strong business economics that often gets overlooked by investors. Education currently sits in the top 12% of the Zacks Industry Rank, and Stride represents one of the best operators in the group.

The stock holds a Zacks Rank #1 (Strong Buy) with analysts unanimously raising earnings estimates, by as much as 12% in the last month. Valuation remains reasonable at 19.2x forward earnings, while profits are expected to compound at a healthy 20% annual rate over the next three to five years.

Stride has also proven to be a model of consistency. Shares have compounded steadily with relatively low volatility over the past four years, making it a classic GARP (growth at a reasonable price) investment. Quiet but powerful, Stride continues to grind higher as one of the market’s overlooked winners.

TradingView

Image Source: TradingView

Should Investors Buy Shares in CELH, COMM and LRN?

Periods of market consolidation often separate the leaders from the laggards, and the three stocks highlighted here have shown they belong in the former camp. Celsius, CommScope, and Stride each combine strong fundamentals with favorable analyst sentiment and supportive technicals. With top Zacks Ranks and long-term growth stories intact, they stand out as compelling opportunities to buy on this dip.

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Stride, Inc. (LRN): Free Stock Analysis Report
 
CommScope Holding Company, Inc. (COMM): Free Stock Analysis Report
 
Celsius Holdings Inc. (CELH): Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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