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Goldman Sachs updates U.S. Conviction List, adds five stocks

EditorRachael Rajan
Published 03/06/2024, 13:08
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On Monday, Goldman Sachs (NYSE:GS) adjusted its US Conviction List, a curated selection of stocks the firm believes will outperform.

The firm added Edwards LifeSciences (NYSE:EW), Enphase Energy (NASDAQ:ENPH), Sempra Energy (NYSE:NYSE:SRE), Teradyne (NASDAQ:TER), and Brixmor Property Group (NYSE:NYSE:BRX) to the list. Concurrently, First Solar (NASDAQ:FSLR), Southern Company (NYSE:NYSE:SO), Target Corporation (NYSE:NYSE:TGT), and Simon Property Group (NYSE:NYSE:SPG) were removed.

The update marks the one-year anniversary of the Directors Cut List, and in celebration, Goldman Sachs provided brief overviews of all the stocks currently included. The firm also reviewed the hit rate performance, which measures the success of their stock selections over the past year. Additionally, the analysts reflected on the stock selection process and shared insights from lessons learned during this period.

InvestingPro Insights

Following the addition of Edwards LifeSciences (NYSE:EW) to Goldman Sachs' US Conviction List, a look at the latest metrics from InvestingPro reveals a company with a robust financial stance. Edwards LifeSciences is currently trading at a high earnings multiple with a P/E ratio of 36.76, indicating investor confidence in its future growth potential. This aligns with the firm's high Price / Book multiple of 7.36, reflecting a premium that market participants are willing to pay for its book value. Moreover, the company's revenue has grown by 11.68% over the last twelve months as of Q1 2023, showcasing its ability to expand its top-line figures amidst market challenges.

Two pertinent InvestingPro Tips for Edwards LifeSciences include the observation that the stock generally trades with low price volatility, offering a degree of stability in a portfolio. Additionally, it's notable that analysts predict the company will be profitable this year, which is supported by its profitability over the last twelve months. For investors seeking further insights, there are 12 additional InvestingPro Tips available, which can be explored for a deeper analysis of Edwards LifeSciences' financial health and market performance. Interested readers can uncover these insights by visiting InvestingPro and using coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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