Growth-focused investors examining opportunities with outsized earnings potential should consider four stocks spotlighted in WarrenAI's recent analysis. The screen identifies companies with EPS growth forecasts well above 250% and analyst price targets implying upside in the range of 50% to 76%.
How the list was formed
The group was chosen for a convergence of strong projected earnings momentum and meaningful room for share-price appreciation based on Wall Street targets. Below is a company-by-company breakdown of the metrics and the characterizations provided by WarrenAI.
CBIZ, Inc. (NYSE:CBZ)
CBIZ emerges as what WarrenAI calls an "underrated juggernaut," combining a 449.9% EPS growth forecast with 75.2% analyst upside potential. The company also posts 59.2% revenue growth and favorable financial-health scores in the model. WarrenAI describes CBIZ as a "quiet compounding machine" and notes that its forward PEG ratio suggests it may still be undervalued despite recent performance. The mix of elevated revenue growth and sizable target upside is characterized as "a textbook setup for a potential rerating."
Blue Owl Capital Inc. (NYSE:OWL)
Blue Owl stands out for an extraordinary EPS growth forecast of 1834.6% and a 65.9% analyst upside potential. Revenue growth of 25.0% is described as solid, but WarrenAI emphasizes that the dominant theme is "explosive earnings leverage" underpinned by "strong analyst conviction." The firm frames OWL as a case where operational leverage could produce outsized returns if earnings materialize as forecasted.
LendingTree, Inc. (NASDAQGS:TREE)
LendingTree is highlighted with a 252.1% EPS growth projection and 59.8% analyst upside potential, alongside 37.0% revenue growth. WarrenAI issues a caution on volatility, labeling TREE as "not for the faint-hearted" and pointing to its status as the riskiest of the four. The analysis suggests potentially outsized reward "if the turnaround sticks," but explicitly notes heightened volatility.
QuinStreet, Inc. (NASDAQGS:QNST)
QuinStreet is cited for a 1496.7% EPS growth forecast and 50.2% analyst upside potential, with revenue growth of 19.0%. WarrenAI frames QNST as a "turnaround story" where a "profitability inflection could surprise" investors. Like Blue Owl, QuinStreet's projected earnings growth exceeds 1000%, a phenomenon the analysis calls "extremely rare for established companies."
Common themes and cautions
- WarrenAI highlights the potential for "leverage on steroids" in names such as OWL and QNST, where execution against aggressive earnings forecasts could deliver exceptional returns.
- At the same time, the analysis flags volatility and execution risk, particularly for the riskiest option, LendingTree.
Additional note
The analysis invites investors curious about valuation to test specific names with a Fair Value calculator, noting it uses multiple industry valuation models to produce an estimate. For example, readers are prompted to evaluate whether QNST might be a bargain using that tool and to explore valuations across other stocks.