3 Unpopular Stocks with Open Questions

Wall Street has issued downbeat forecasts for the stocks in this article. These predictions are rare - financial institutions typically hesitate to say bad things about a company because it can jeopardize their other revenue-generating business lines like 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. Keeping that in mind, here are three stocks where the skepticism is well-placed and some better opportunities to consider.

Masco (MAS)

Consensus Price Target: $80.32 (6.8% implied return)

Headquartered just outside of Detroit, MI, Masco (NYSE:MAS) designs and manufactures home-building products such as glass shower doors, decorative lighting, bathtubs, and faucets.

Why Are We Out on MAS?

1. Absence of organic revenue growth over the past two years suggests it may have to lean into acquisitions to drive its expansion
2. Earnings per share were flat over the last two years and fell short of the peer group average
3. Waning returns on capital imply its previous profit engines are losing steam

At $75.18 per share, Masco trades at 17.9x forward P/E. If you’re considering MAS for your portfolio, see our FREE research report to learn more.

United Parcel Service (UPS)

Consensus Price Target: $113.18 (-3.5% implied return)

Trademarking its recognizable UPS Brown color, UPS (NYSE:UPS) offers package delivery, supply chain management, and freight forwarding services.

Why Do We Steer Clear of UPS?

1. Customers postponed purchases of its products and services this cycle as its revenue declined by 1.3% annually over the last two years
2. Capital intensity has ramped up over the last five years as its free cash flow margin decreased by 5.7 percentage points
3. Diminishing returns on capital suggest its earlier profit pools are drying up

United Parcel Service is trading at $117.34 per share, or 16.4x forward P/E. To fully understand why you should be careful with UPS, check out our full research report (it’s free).

Sherwin-Williams (SHW)

Consensus Price Target: $387.43 (7.6% implied return)

Widely known for its success in the paint industry, Sherwin-Williams (NYSE:SHW) is a manufacturer of paints, coatings, and related products.

Why Does SHW Fall Short?

1. Annual sales growth of 1.1% over the last two years lagged behind its industrials peers as its large revenue base made it difficult to generate incremental demand
2. Projected sales growth of 4.2% for the next 12 months suggests sluggish demand
3. Earnings growth over the last two years fell short of the peer group average as its EPS only increased by 5.2% annually

Sherwin-Williams’s stock price of $360.20 implies a valuation ratio of 30x forward P/E. Check out our free in-depth research report to learn more about why SHW doesn’t pass our bar.

Stocks We Like More

Your portfolio can’t afford to be based on yesterday’s story. The risk in a handful of heavily crowded stocks is rising daily.

The names generating the next wave of massive growth are right here in our Top 5 Strong Momentum Stocks for this week. 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-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.