Wall Street’s bearish price targets for the stocks in this article signal serious concerns. Such forecasts are uncommon in an industry where maintaining cordial corporate relationships often trumps delivering the hard truth.

At StockStory, we look beyond the headlines with our independent analysis to determine whether these bearish calls are justified. That said, here are three stocks where Wall Street’s pessimism is creating a buying opportunity.

Watts Water Technologies (WTS)

Consensus Price Target: $292.88 (2.3% implied return)

Founded in 1874, Watts Water (NYSE: WTS) specializes in manufacturing water products and systems for residential, commercial, and industrial applications globally.

Why Is WTS a Top Pick?

1. Annual revenue growth of 9.3% over the last five years beat the sector average and underscores the unique value of its offerings
2. Superior product capabilities and pricing power result in a best-in-class gross margin of 45.9%
3. Share repurchases have amplified shareholder returns as its annual earnings per share growth of 21.8% exceeded its revenue gains over the last five years

Watts Water Technologies’s stock price of $286.36 implies a valuation ratio of 25.5x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.

Raymond James (RJF)

Consensus Price Target: $182.45 (8.4% implied return)

Founded in 1962 and headquartered in St. Petersburg, Florida, Raymond James Financial (NYSE: RJF) is a diversified financial services company that provides wealth management, investment banking, asset management, and banking services to individuals and institutions.

Why Do We Love RJF?

1. Annual revenue growth of 12% over the last five years beat the sector average and underscores the unique value of its offerings
2. Share buybacks propelled its annual earnings per share growth to 21.2%, which outperformed its revenue gains over the last five years
3. Balance sheet strength has increased this cycle as its 14.4% annual tangible book value per share growth over the last two years was exceptional

Raymond James is trading at $168.37 per share, or 13.8x forward P/E. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free.

EVERTEC (EVTC)

Consensus Price Target: $32.80 (9.3% implied return)

Operating one of Latin America's leading PIN debit networks called ATH, EVERTEC (NYSE: EVTC) is a payment transaction processor and financial technology provider that enables merchants and financial institutions across Latin America and the Caribbean to accept and process electronic payments.

Why Are We Backing EVTC?

1. Annual revenue growth of 16.8% over the past two years was outstanding, reflecting market share gains this cycle
2. Earnings per share have grown by 12.5% annually over the last five years, slightly higher than the industry average
3. ROE punches in at 30.8%, illustrating management’s expertise in identifying profitable investments

At $30.01 per share, EVERTEC trades at 8.1x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.

Stocks We Like Even More

Check out the high-quality names we’ve flagged in our Top 5 Growth Stocks for this month. 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-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.