At present, the markets are moving sideways as optimism and caution balance each other. Valuations are elevated near record highs, limiting upside, while mixed economic data and uncertain Federal Reserve timing keep investors from turning fully bullish. Earnings have been solid but not catalytic, and sector rotation is creating uneven performance beneath the surface. The result is a stable but selective market with modest, uneven gains. In such a situation, retail investors face considerable challenges in picking the right stocks and generating robust returns.
One way to cut short this task is to follow brokers’ recommendations. In this regard, stocks such as Insulet Corporation PODD, Sandisk Corporation SNDK and O-I Glass, Inc. OI are worth betting on.
Brokers develop informed perspectives on companies through direct engagement with senior management, detailed analysis of public disclosures and active participation in earnings calls. Their broad sector knowledge allows them to evaluate a company’s fundamentals within the wider economic and competitive landscape, offering valuable context on potential stock performance.
However, a broker’s upgrade is only one input, not a decision-making anchor. Sustainable long-term returns require investors to weigh multiple factors, including financial strength, valuation, industry dynamics and personal risk tolerance, rather than relying solely on broker recommendations.
Selecting the Winning Strategy
We have a screening strategy that may help you identify potential winners.
Broker Rating Upgrades (Four Weeks) of 1% or More: The screen selects stocks that have witnessed broker rating upgrades of 1% or more over the past four weeks.
Current Price Greater Than $5: The stocks must trade above $5.
Average 20-Day Volume Greater Than 100,000: A large trading volume guarantees that the stock is easily tradable.
Zacks Rank Equal to #1 (Strong Buy) or 2 (Buy): Despite good or bad market conditions, stocks with a Zacks Rank #1 or 2 have a proven record of success. You can see the complete list of today’s Zacks #1 Rank stocks here.
VGM Score of A or B: Our research shows that stocks with a VGM Score of A or B, when combined with a Zacks Rank #1 or 2, offer the best upside potential.
3 Stocks With Upgraded Broker Ratings to Consider
Acton, MA-based Insulet is the leading developer, manufacturer and marketer of the Omnipod Insulin Management System. The system is equipped with a self-adhesive, small and lightweight disposable tubeless Omnipod device along with the wireless and handheld Personal Diabetes Manager (PDM).
PODD’s 2025 earnings are expected to soar 50.9% year over year. Insulet, which currently carries a Zacks Rank #2, has witnessed a 4% upward revision in broker ratings over the past four weeks.
Sandisk, based in Milpitas, CA, develops, manufactures and sells data storage devices and solutions globally. SNDK sells its products to computer manufacturers and original equipment manufacturers, data centers, private cloud customers, cloud service providers, resellers, distributors and retailers.
Sandisk’s fiscal 2026 earnings are projected to surge 308% on a year-over-year basis. SNDK, sporting a Zacks Rank #1 at present, has witnessed a 5.6% upward revision in broker ratings over the past four weeks.
Based in Perrysburg, OH, O-I Glass is the largest manufacturer of glass containers in the world. OI has 69 glass manufacturing plants spread over 19 countries.
O-I Glass’ 2025 earnings are expected to jump 96.3% year over year. OI, currently carrying a Zacks Rank #2, has witnessed a 10% upward revision in broker ratings over the past four weeks.
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Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
Disclosure: Performance information for Zacks’ portfolios and strategies are available at: https://www.zacks.com/performance
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O-I Glass, Inc. (OI): Free Stock Analysis Report Sandisk Corporation (SNDK): Free Stock Analysis Report Insulet Corporation (PODD): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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