Wall Street stocks are getting a lot of attention right now as top analysts point to three companies with strong upside potential. Microsoft, Booking Holdings, and DoorDash have been identified by leading Wall Street analysts who see significant growth opportunities, even with recent market volatility and concerns about AI valuations weighing on investor sentiment. These Wall Street stocks received buy ratings from some of the Street’s top-ranked analysts, and each one offers something different for investors looking at the current market.
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Top Analyst Stock Picks Spotlight AI Growth, Market Upside, and Strong Forecasts
1. Microsoft Leads AI Revolution With Strong Cloud Growth
Microsoft stock received a buy rating along with a $600 price target from Baird analyst William Power, who recently initiated coverage on the tech giant. The company actually reported better-than-expected fiscal first quarter results last month, and revenue from the Azure cloud business was growing by 40%, which is pretty impressive when you think about it.
Power stated:
“Microsoft is leading the AI revolution with infrastructure and applications, aided by its OpenAI relationship, providing an end-to-end AI platform for enterprises and consumers alike.”
The analyst noted that Microsoft’s partnership with ChatGPT parent OpenAI is seen as a key differentiator, helping it run AI at scale and speed. After a commitment to invest $13 billion, Microsoft stock got an even bigger boost when the company recently announced an incremental $250 billion Azure investment over several years. That’s a massive amount of capital being deployed into AI infrastructure.
The impressive growth in Microsoft’s total revenue and Azure business in the September quarter was discussed by Power, with the cloud business now constituting 60% of the overall top line. He also highlighted the strength in the company’s core applications, including Microsoft 365, LinkedIn and Dynamics. Power noted that Microsoft’s revenue growth in Q1 FY26 was accompanied by a solid operating margin of 49% and free cash flow margin of 33%. These strong margins are ensuring continued double-digit EPS growth, he said.
Power believes in Microsoft’s near- and long-term potential, despite any immediate pressure stemming from AI capital spending concerns. He ranks No. 287 among more than 10,100 analysts tracked by TipRanks, and his ratings have been successful 57% of the time, delivering an average return of 17%.
2. Booking Stock Upgraded on Travel Demand and Market Share Gains
Wedbush analyst Scott Devitt upgraded online travel agent Booking Holdings stock to buy from hold and set a $6,000 price target for the company. The Priceline and Kayak owner posted impressive third-quarter results, with double-digit gains in gross bookings and revenue that caught the attention of Wall Street analysts.
Impressed by the Q3 performance and attractive valuation, Devitt had this to say:
“Booking remains the best-positioned OTA in our view.”
The analyst noted several positives, from the company’s scale and diversification to solid liquidity to free cash flow conversion. Devitt also noted management’s impressive history of successfully executing major strategic initiatives. He highlighted Booking Holdings’ widening market share in alternative lodging while optimizing costs and driving efficiencies. The company’s cost savings are being reinvested in growth initiatives to achieve longer-term targets, he said.
Additionally, Devitt discussed Booking stock’s impressive growth across key metrics in the third quarter amid better-than-anticipated global travel demand. Third-quarter gross bookings growth of 14% actually surpassed management’s guidance by 400 basis points, the analyst said. As a result, Devitt raised his 2025 gross bookings growth estimate by 100 basis points from his prior forecast, to 11.5%. Further, he expects the company to report adjusted EBITDA of $9.8 billion, reflecting year-over-year margin expansion of about 180 basis points.
Devitt ranks No. 660 among more than 10,100 analysts tracked by TipRanks. His ratings have been profitable 50% of the time, delivering an average return of 12.3%.
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3. DoorDash Stock Presents Entry Opportunity Despite Near-Term Margin Pressure
Devitt also upgraded his rating for food delivery platform DoorDash stock to buy from hold with a $260 price target. The company’s shares took a hit when DoorDash announced mixed third-quarter results and said it expects to spend “several hundred million dollars” on new initiatives and development in 2026.
Devitt believes that the pullback in DoorDash stock shares presents an attractive risk/reward opportunity, with the stock now trading at about 17.7x his 2027 adjusted EBITDA estimate. The Wedbush analyst noted that the post earnings selloff was mainly due to concerns about the level of capital spending and pressured profit margins.
Devitt admits that the higher level of spending will hurt near-term margins, but argues that DoorDash warrants such investments in growth initiatives because they’ll expand the company’s addressable market and bolster its product offerings. Specifically, Devitt highlighted that management plans to direct incremental investments toward three key areas:
“(1) creating a cohesive global tech platform, (2) building new verticals and products, and (3) scaling geographic expansion.”
Overall, Devitt is bullish on DoorDash stock, believing it has held a dominant position in the U.S. food delivery sector. Moreover, he noted the company’s solid execution across strategic initiatives as management pushes for long-term sustainable growth.
These three Wall Street stocks represent what top analysts see as opportunities in the current market environment. Even with concerns about valuations and spending levels, the analysts believe Microsoft stock, Booking stock, and DoorDash stock each offer solid upside potential for investors willing to look past near-term volatility.