Market noise is everywhere. Financial headlines focus on the same handful of stocks while important opportunities – the kind that can meaningfully impact your portfolio – often fly under the radar.
That’s exactly why we publish this watchlist each week.
While most investors get distracted by mainstream stories, we’re digging through earnings reports, analyzing technical setups, and monitoring where institutional money is flowing to identify companies at potential turning points. Our focus isn’t on what’s already priced in, but rather on what the market hasn’t fully recognized yet.
Each week, we spotlight three stocks that deserve your attention. We look for opportunities where timing, valuation, and potential catalysts align to create favorable entry points.
Here’s what caught our eye this week:
CoreWeave (CRWV)
CoreWeave presents a high-conviction play on artificial intelligence cloud computing following Citi’s recent upgrade to “Buy” from “Neutral” with a $160 price target that implies 55% upside from recent levels. Despite more than doubling since its IPO in late March, the stock has tumbled nearly 37% over the past month due to investor skepticism about the company’s $9 billion acquisition of Core Scientific, creating what analyst Tyler Radke views as an attractive re-entry opportunity.
What makes CoreWeave particularly compelling is its deep partnership with Microsoft, which accounted for 72% of Q1 2025 revenue, positioning the company to benefit directly from the tech giant’s strong quarterly figures that signal AI demand remains robust.
Citi’s upgrade reflects increased confidence in the durability of AI demand following Microsoft’s stronger-than-expected performance:
- Radke noted “much stronger fundamental view on the demand picture”
- Microsoft beat expectations and raised Azure guidance
- Increased capex with upside to finance leases
- Greater confidence about durability of AI demand and CoreWeave’s market position
CoreWeave shares popped more than 13% in premarket trading following the upgrade, while Microsoft traded 8% higher.
However, investors must acknowledge significant risks and mixed Wall Street sentiment:
- Radke’s upgrade puts him in the minority on Wall Street
- 17 of 24 analysts covering the stock rate it a hold
- Three others have an underperform rating
- Just four analysts rate CoreWeave as a buy or strong buy
- Customer concentration and competitive positioning remain key concerns
The company operates in the artificial intelligence cloud computing space, where the ability to move up the stack and diversify beyond infrastructure services will be crucial for long-term success.
Generac Holdings (GNRC)
Generac Holdings has emerged as Bank of America’s latest “under-the-radar AI data center play” following the company’s strategic entry into the backup generator market for artificial intelligence infrastructure. Bank of America raised its stock price target to $221, indicating 21% upside from the previous close of $181, while analyst Dimple Gosai called the data center market “the most needle-moving opportunity in decades” for Generac management.
What makes Generac particularly compelling is its positioning to address a critical supply shortage:
- Tech sector facing a backup generator deficit of 5,000 units in 2026
- Companies rapidly building out data centers
- This represents one of the top two bottlenecks for the industry after transformers
The company has already made significant progress capturing this opportunity:
- Booked a backlog of $150 million with shipments ramping up in second half of 2025
- Engaging in discussions with customers planning out to 2029
- Bank of America forecasts $350 million of data center revenue for Generac in 2026
- Sales ramping to $500 million in 2027 before hitting capacity
This growth trajectory reflects the massive infrastructure investments required to support data center buildout, where tech companies are urgently working to fill the gap in backup generator supply.
Generac’s strategic positioning comes at a critical time when data centers require sophisticated backup power solutions. The company’s advanced battery technology has provided performance advantages, while strategic manufacturing diversification offers additional competitive advantages and risk mitigation.
The company’s manufacturing capacity provides pathways to address supply chain concerns while serving customers who prioritize reliable backup power systems.
Intuitive Surgical (ISRG)
Intuitive Surgical represents a compelling growth opportunity in the expanding robotic surgery market, maintaining its pioneering leadership position through continuous innovation and a robust recurring revenue model. Trading around $483.30 per share with a $173 billion market cap, the medical technology leader has built an impressive moat around its da Vinci surgical system, which has been transforming minimally invasive procedures for over two decades.
What makes Intuitive Surgical particularly attractive is its diversified revenue stream structure:
- Most significant portion comes from recurring instruments and accessories business
- Generates revenue with each surgery performed using specialized single-use tools
- Not dependent on million-dollar-plus system sales alone
The company’s financial performance shows the power of its razor-and-blade business model:
- Revenue growth for first half of 2025 totaled $4.69 billion (20% increase from $3.9 billion in H1 2024)
- Net income reached $1.4 billion, up 27% year-over-year
- Newly launched da Vinci 5 platform has achieved significant adoption
- Over 100,000 procedures performed since initial U.S. approval in early 2024
- System now broadly available in U.S. with limited launches beginning in Europe and Japan
The da Vinci system’s competitive advantages extend far beyond traditional surgical tools:
- Enhanced precision and improved patient outcomes
- Provides surgeons with enhanced dexterity, precision, and control during minimally invasive procedures
- Wider range of motion than human hand and wrist
- Translates surgeon movements into precise instrument actions within patient’s body
- Particularly helpful for complex procedures in confined spaces
- Improves surgery outcomes, shortens recovery time, and reduces adverse complications
The systems are used across multiple specialties including thoracic, gynecologic, and general surgeries, providing broad market exposure within the healthcare sector.
With the average consensus 12-month price target from analysts suggesting approximately 20% potential upside from current share prices, Intuitive Surgical offers exposure to a healthcare technology leader benefiting from both technological innovation and the structural shift toward minimally invasive surgical procedures.