The major benchmarks have stumbled in June, but the bull market appears to live on. Even better, rising corporate profit estimates are pulling valuations down from historically rich levels.
The forward price-to-earnings ratio, or P/E ratio, on the S&P 500 currently stands at 20, according to Yardeni Research. That's down from 23.5 just a couple of months ago. Meanwhile, the index's price-earnings-to-growth (PEG) ratio, which measures how fast stocks are rising relative to their growth prospects, has fallen to less than 0.9. In early 2026, it was well above 1.4. By that measure, stocks are about 35% cheaper than they were in February.
Not too long ago, finding outsized gains in Wall Street's top S&P 500 stocks was a challenge. But with equities offering more attractive valuations, a long list of index names appears poised for serious outperformance.
True, uncertainty abounds. Geopolitical instability has global markets on edge. Perhaps most troubling, higher energy prices are fueling inflation, and that's putting the Federal Reserve in a tight spot. Markets were expecting two cuts to the short-term federal funds rate at the beginning of 2026. Now, they're not so sure.
A better-than-expected May jobs report and the hottest inflation reading in three years make a rate cut anytime soon seem increasingly unlikely.
Nevertheless, estimates for operating earnings, also known as mother's milk for stocks, continue to march higher. Net margins are at multi-year highs, as well. And the technical picture is increasingly constructive.
"Momentum is still strong, and this bull market is alive and well," writes Ryan Detrick, chief market strategist at Carson Group. "Any weakness should be fairly contained, and we believe higher prices are still coming in 2026."
The bottom line is that although markets may be a bit choppy, the fundamental outlook for equities remains bright.
Analysts spy lots of big bargains
As long as a company's earnings prospects are rising faster than its share price, its stock can very much look like a bargain, and therefore a potential market beater. To get a sense of where to start digging for such finds, we screened the S&P 500 by implied upside to industry analysts' average price targets.
What we found: 25 stocks in the S&P 500 have implied upside of at least 45% over the next 12 months or so, according to data from S&P Global Market Intelligence.
But before we get to the S&P 500 stocks that could rally the most based on price targets, a caveat is in order.
Price targets are a blunt tool when it comes to sussing out cheap stocks. Committing capital based on a single data point is not an investment process.
It's also important to note that stocks with the most upside potential don't necessarily get consensus Buy recommendations from the very same analysts whose models spit out the target prices.
With that warning out of the way, if you're looking for widely traded stocks with the most upside potential, the names listed below aren't a bad place to start.
Company (Ticker) |
Price target |
Upside to price target |
Consensus rating score |
Consensus rating |
|---|---|---|---|---|
Charter Communications (CHTR) |
$243.69 |
80% |
2.90 |
Hold |
Intuit (INTU) |
$491.30 |
67% |
1.59 |
Buy |
Trimble (TRMB) |
$85.33 |
61% |
1.31 |
Strong Buy |
Boston Scientific (BSX) |
$78.17 |
60% |
1.48 |
Strong Buy |
DoorDash (DASH) |
$245.99 |
58% |
1.61 |
Buy |
Vistra (VST) |
$225.29 |
54% |
1.37 |
Strong Buy |
Tractor Supply (TSCO) |
$46.04 |
54% |
2.00 |
Buy |
NRG Energy (NRG) |
$199.47 |
53% |
1.59 |
Buy |
Insulet (PODD) |
$243.78 |
53% |
1.42 |
Strong Buy |
Zoetis (ZTS) |
$124.59 |
52% |
2.05 |
Buy |
Jack Henry & Associates (JKHY) |
$189.21 |
49% |
1.63 |
Buy |
Uber Technologies (UBER) |
$104.43 |
48% |
1.45 |
Strong Buy |
Leidos Holdings (LDOS) |
$183.27 |
48% |
2.24 |
Buy |
Global Payments (GPN) |
$94.62 |
48% |
2.36 |
Buy |
Veeva Systems (VEEV) |
$248.29 |
48% |
1.90 |
Buy |
Coinbase Global (COIN) |
$229.74 |
48% |
2.00 |
Buy |
Universal Health Services (UHS) |
$215.76 |
47% |
2.35 |
Buy |
Fidelity National Information Services (FIS) |
$58.76 |
47% |
1.96 |
Buy |
Expand Energy (EXE) |
$130.04 |
46% |
1.58 |
Buy |
Constellation Energy (CEG) |
$368.43 |
46% |
1.48 |
Strong Buy |
Axon Enterprise (AXON) |
$662.04 |
46% |
1.60 |
Buy |
Salesforce (CRM) |
$254.99 |
45% |
1.65 |
Buy |
T-Mobile US (TMUS) |
$260.81 |
45% |
1.61 |
Buy |
Newmont (NEM) |
$141.93 |
45% |
1.64 |
Buy |
CoStar Group (CSGP) |
$48.85 |
45% |
1.76 |
Buy |
Data as of June 10, courtesy of S&P Global Market Intelligence.
