Investors watch Wall Street for signals about potential movement in stocks, and an upgrade from analysts is one important marker of shifting fundamentals. Analyst upgrades come in response to a variety of internal and external factors, and an upgrade does not necessarily mean that a company is likely to also have upside in its near future—nor even that it may be a strong choice for many investors at all. However, in a choppy market, investors may assign more value to analyst ratings overall.
Below are three stocks that have recently seen ratings upgrades that could still have room to run for investors just getting on board. They range across sectors, market capitalizations, and along other lines to provide built-in diversification for investors seeking inspiration for their portfolios.
