VKTX

3 Stocks With the Potential to Surpass Analyst Expectations for 2024

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Many investors look to analysts’ expectations to guide their movements each quarter. Typically, those investors can reasonably use estimates as a reference. However, some stocks rise above and beyond those expectations with breakthrough products, exciting partnerships/deals and incredible quarterly performances.

Stocks with such potential give investors a golden opportunity to buy at a lower price but enjoy considerable returns after a company’s performance blows away any and all estimates. We have gathered the three stocks to buy, destined for tremendous growth and most likely to beat analyst expectations this year.

Let’s learn more about each company’s exciting products set to be released this year, propelling these stocks’ 2024 performances to skyrocket.

Viking Therapeutics (VKTX)

An image of a tablet with 'therapeutics' on the screen, a stethoscope and face mask around it

Source: ra2 studio/Shutterstock

Viking Therapeutics (NASDAQ:VKTX) is capitalizing on one of the hottest trends right now to propel its stock higher. The company’s new obesity drug, VK2735, has made great strides, passing clinical trials and getting closer and closer to approval and release.

The drug’s impressive results and nearly certain popularity amidst a trendy weight-loss market have attracted the attention of many investors. The announcement of the drug’s results and data from phase 2 trials sent the stock flying. Viking plans to release an oral version of the drug to appeal to a broader consumer market.

Competitors like Novo Nordisk (NYSE:NVO) and Eli Lilly (NYSE:LLY) compete to conquer the same massive market. However, the VK2735 has had some of the most promising results of similar products, with a 15 mg dose contributing to a 14% reduction in body weight from baseline to week 13.

The promising results are only one of the things that set Viking apart from its peers. Viking Therapeutics is a more promising stock that will beat analyst estimates because it is still only in the clinical phases. With no products approved, Viking gives investors a better chance to take advantage of its tremendous growth and easily surpass estimates.

Shopify (SHOP)

Shopify (SHOP) on the phone display.

Source: Burdun Iliya / Shutterstock.com

Shopify (NYSE:SHOP) is an e-commerce giant that offers one of the most extensive lists of services for online stores. Despite its appealing demand in today’s tech-driven and online shopping world, Shopify has seen quite a lot of volatility in recent years.

However, Shopify should not be underestimated. In 2023, Shopify reported a gross merchandise volume of $235.9 billion and an astonishing revenue of $7.1 billion, representing 20% and 26% increases from the previous year, respectively.

The numbers are impressive year over year, but particularly impressive when you consider Shopify’s long-term performance. Shopify has taken off since 2019 and has not looked back since. Most of that is attributable to the growing demand for e-commerce services, but competitors haven’t seen nearly as much growth as Shopify.

That growth has undoubtedly garnered optimistic estimates from analysts, but not many stocks have the potential to explode like Shopify. The company continues releasing new and better services while optimizing its platform and securing new customers.

Salesforce (CRM)

lose up of Salesforce (CRM) logo displayed on one of their towers in downtown San Francisco. Salesforce layoffs

Source: Sundry Photography / Shutterstock.com

Salesforce (NYSE:CRM) is a leading software for customer relationship management and automated marketing platforms. The company has soared over the last few years, with a continuously growing arsenal of applications it invests heavily in.

With stock prices hitting all-time highs this year, Salesforce has a better outlook than ever. In fiscal 2024, Salesforce reported an 11% year-over-year increase in revenue and a Remaining Performance Obligation of $27.6 billion. That number equaled almost 80% of the company’s total revenue for the year.

Salesforce is already set for intense revenue growth, with an outlook of 8% to 9%, for fiscal 2025. It has never been better positioned to exceed analyst expectations. Salesforce creates that possibility by exceeding its CRM peers in potential unexpected growth.

The unexpected growth potential comes from Salesforce’s continuing efforts to expand its available platforms through acquisitions and investments. For example, earlier this year, Salesforce acquired Spiff, an incentive compensation management (ICM) software.

The move created another jump in Salesforce’s stock and showed the company’s undeniable potential to surpass any expectations for this year.

On the date of publication, Joel Lim did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Joel Lim is a finance freelance writer who writes content for several companies like LTSE and Realtor, along with financial publications, including Mises Institute and Foundation for Economic Education.

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The post 3 Stocks With the Potential to Surpass Analyst Expectations for 2024 appeared first on InvestorPlace.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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