American Superconductor Corporation (AMSC)
Entry: Unlock
Price target: 26.00-27.00
Second PT: Unlock
American Superconductor Corp. provides large-scale power solutions to enhance power grid efficiency and reduce wind energy costs. Its Grid segment helps electric utilities and renewable energy projects connect, transmit, and distribute power more efficiently, reliably, and affordably. Meanwhile, its Wind segment supports manufacturers in producing wind turbines with greater power output, improved reliability, and enhanced cost-effectiveness.
One key reason the stock earned a spot on our watchlist is its superconductor business, which is expected to drive sales growth in the coming years. Superconductors have the potential to replace traditional wiring materials like copper and aluminum by enabling lossless, high-efficiency electricity transmission. Because they have no electrical resistance, they prevent energy loss and heat buildup, unlike conventional conductors (Data Center Dynamics).
The data center industry is projected to grow at a compound annual growth rate (CAGR) of 11.7% from 2025 to 2032, driven by increasing demand for cloud computing and data storage. This growth requires immense energy, a challenge that was a major concern last year and remains so today. Companies like American Superconductor could play a role in solving this issue, especially given their long history dating back to 1987, during which they have worked directly with the U.S. Navy.
AMSC has yet to report its fourth-quarter earnings for 2024. However, in the first three quarters, revenue grew by 33%, 60%, and 56%, respectively, while the company’s net income turned profitable. The recent correction in the stock, driven by the broader market sell-off, has brought it to an attractive entry level—potentially for a pre-earnings run-up or even a longer-term hold if the company provides strong projections for 2025.
Please note that this may take beyond this week to come around to price targets.
Arista Networks (ANET)
Entry: Unlock
Price target: 97.00-98.00
Second PT: Unlock
Arista Networks is expected to nearly double its annual revenue over the next three years as demand for the company’s products and services surges. The company develops, markets, and sells cloud networking solutions, including EOS (a suite of network applications) and Gigabit Ethernet switching and routing platforms—primarily designed for data centers.
Some of Arista Networks’ largest clients include Meta and Microsoft, both of which are projected to invest hundreds of billions of dollars in data center development. When building data centers and purchasing large numbers of GPUs, a reliable networking solution is essential—an area where Arista Networks offers competitive solutions. For comparison, Nvidia provides its own networking solutions, which saw triple-digit revenue growth last year. Arista’s Etherlink AI platforms serve as an alternative for clients looking for non-Nvidia options.
In terms of financial performance, ANET’s revenue grew by 19% in 2024, with fourth-quarter growth reaching 25%. Annual revenue is projected to rise from $7 billion to $8.34 billion this year, then jump significantly to nearly $12 billion by 2027. This positions ANET as an attractive growth stock in a promising industry over the next few years, particularly if the company continues to release innovative networking hardware. The recent pullback from its highs presents a potential entry opportunity for investors looking to capitalize on this growth.
Please note that this may take beyond this week to come around to price targets.
Rigetti Computing (RGTI) (High risk)
Entry: Unlock
Price target: 13.40-13.50
Second PT: Unlock
(Using this analysis for multiple quantum stocks). Is the quantum trade back? Quantum stocks surged last week after D-Wave Quantum reported better-than-expected quarterly earnings. Excitement around quantum computing began late last year, sparked by Google’s introduction of *Willow*, a state-of-the-art quantum processor that has been in development for a decade. The chip’s computational speed is so fast that it has fueled speculation about the possibility of a multiverse, aligning with the idea that quantum computation occurs across parallel universes. While this is, of course, purely speculative, it highlights just how groundbreaking the technology is.
Microsoft also introduced its own version of a quantum processor, further demonstrating how big tech companies see opportunities beyond artificial intelligence—or perhaps in conjunction with it, as the two technologies could work hand in hand. Google and Microsoft have a significant advantage over smaller emerging players in the space, primarily due to their massive financial resources. Meanwhile, smaller companies such as QBTS, QUBT, IONQ, and RGTI are operating with minimal revenue while investing heavily in developing groundbreaking technologies in hopes of becoming the next major player.
With this in mind, it’s important to note that these companies are still in an early, high-risk, high-reward stage. Investors interested in this sector must stay informed about industry developments and company-specific updates.
Please note that this may take beyond this week to come around to price targets.
You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information.
You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information.
You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information.
You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information.
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The stocks posted above are the preliminary stocks and set ups we’ll be watching this week. All price points are subject to change based on market performance and sector health. Please do your own research and analysis on these companies/charts before taking on any set ups. Trade at your own risk and as always, good luck!