Goldman
Sachs
analysts
have
named
a
slew
of
stocks
that
could
see
upside
as
April
rolls
in.
The
firm
said
these
companies
are
well
positioned
as
the
second
quarter
gets
underway.
CNBC
Pro
combed
through
Goldman
Sachs’
research
to
find
the
firm’s
favorite
stocks
as
of
late.
The
names
listed
below
are
all
buy
rated.
They
include
United
Parcel
Service,
Nasdaq,
Arcos
Dorados
,
Global
Payments
and
Arista
Networks.
Arcos
Dorados
The
operator
of
McDonald’s
in
Latin
America
is
down
more
than
12%
in
2024,
but
the
dip
is
worth
buying,
according
to
Goldman
Sachs.
“We
view
Arcos
ongoing
sell-off
as
unmerited,
and
think
it
creates
a
unique
buying
opportunity
for
investors
willing
to
add
exposure
to
one
of
the
fastest-growing
retailers
in
Brazil,”
analyst
Thiago
Bortoluci
said.
Same-store
sales
are
robust,
and
Arcos
remains
a
share
gainer
in
many
parts
of
Brazil
where
competition
is
meager,
he
said.
In
addition,
store
openings
continue
apace,
he
added.
While
the
company’s
franchise
agreement
expires
in
2027,
the
firm
said
an
extension
could
lead
to
a
re-rating.
Even
the
stock
is
down
to
start
the
year,
it’s
too
compelling
to
ignore,
Bortoluci
said.
“With
[return
on
invested
capital]
close
to
all-time
highs,
accelerating
store
openings,
above-inflation
SSS,
and
a
relatively
easy
competitive
background,
we
see
2024
as
a
year
for
consistent
growth,
enhanced
leadership
position
and
higher
valuations,”
he
said.
Nasdaq
Several
positive
catalysts
are
brewing
for
the
index
and
global
markets
company,
according
to
analyst
Alexander
Blostein.
The
firm
upgraded
the
stock
to
buy
from
neutral
earlier
this
week,
saying
that
it’s
finally
at
an
inflection
point
as
growth
picks
up.
Blostein
said
he
sees
Nasdaq’s
“fin
tech
and
Index
revenues
driving
the
firm’s
valuation
multiple
higher
over
time.”
Buybacks
may
also
be
in
the
company’s
future,
the
firm
said.
“Given
NDAQ’s
ability
to
generate
excess
free
cash
flow
following
deleveraging
and
dividends,
we
believe
this
opens
up
a
significant
opportunity
to
execute
buybacks
starting
in
2025,”
Blostein
said.
Meanwhile,
shares
of
the
company
are
well
positioned
for
gains.
Nasdaq
is
up
8.5%
this
year.
“NDAQ
is
set
to
benefit
from
the
improving
market
backdrop,”
the
analyst
said.
UPS
The
shipping
giant’s
shares
are
primed
for
buying,
Goldman
said
earlier
this
week.
Analyst
Jordan
Alliger
came
away
from
the
company’s
recent
investor
meeting
feeling
confident
that
shares
have
plenty
of
room
to
run.
“Management
discussed
various
initiatives
on
market
penetration
and
productivity
with
their
impact
on
revenue
and
margin
growth
into
2026,”
he
said.
Alliger
acknowledged
that
the
stock
is
a
show-me
story,
but
said
investor
fears
over
growth
are
largely
overblown.
“That
said,
we
do
recognize
that
growth
had
been
challenged
over
the
past
couple
of
years,
and
UPS
will
likely
have
to
prove
re-acceleration
is
possible
for
the
markets
to
give
it
credit,”
he
wrote.
UPS
shares
are
down
more
than
5%
year
to
date.
“We
remain
Buy
rated
on
UPS
as
we
do
believe
volumes
will
ultimately
recover,
costs
will
moderate,
which
when
combined
with
productivity
savings
should
indeed
lift
margin,”
the
analyst
added.
Arista
Networks
“We
gain
confidence
in
our
above
consensus
ANET
revised
EPS
estimates.
…
As
the
leading
branded
provider
of
switches
to
US
hyperscalers,
ANET
is
well
positioned
to
capitalize
on
the
ongoing
growth
in
data,
the
continued
digital
transformation
driving
workloads
from
on-premise
to
public
and
hybrid-cloud,
and
the
growing
demand
for
higher
bandwidth,
faster
speed,
and
lower
latency.”
Read
more
about
this
call
here.
UPS
“That
said,
we
do
recognize
that
growth
had
been
challenged
over
the
past
couple
of
years,
and
UPS
will
likely
have
to
prove
re-acceleration
is
possible
for
the
markets
to
give
it
credit.
…
Management
discussed
various
initiatives
on
market
penetration
and
productivity
with
their
impact
on
revenue
and
margin
growth
into
2026.
…
We
remain
Buy
rated
on
UPS
as
we
do
believe
volumes
will
ultimately
recover,
costs
will
moderate,
which
when
combined
with
productivity
savings
should
indeed
lift
margin.”
Nasdaq
“Following
several
years
of
challenged
EPS
growth
we
see
NDAQ’s
earnings
trajectory
accelerating
to
~12%
in
2025
and
2026
with
a
shifting
mix
toward
higher-valued
Fin
Tech
and
Index
revenues
driving
the
firm’s
valuation
multiple
higher
over
time.
…
Given
NDAQ’s
ability
to
generate
excess
free
cash
flow
following
deleveraging
and
dividends,
we
believe
this
opens
up
a
significant
opportunity
to
execute
buybacks
starting
in
2025.
…
NDAQ
is
set
to
benefit
from
the
improving
market
backdrop.”
Arcos
Dorados
“We
view
Arcos
ongoing
sell-off
as
unmerited,
and
think
it
creates
a
unique
buying
opportunity
for
investors
willing
to
add
exposure
to
one
of
the
fastest-growing
retailers
in
Brazil.
With
ROICs
close
to
all-time
highs,
accelerating
store
openings,
above-inflation
SSS,
and
a
relatively
easy
competitive
background,
we
see
2024
as
a
year
for
consistent
growth,
enhanced
leadership
position
and
higher
valuations.”
Global
Payments
“We
hosted
an
investor
meeting
at
GPN’s
headquarters
in
Atlanta
with
CEO
Cameron
Bready
and
CFO
Josh
Whipple
…
Given
the
number
of
initiatives
at
play,
we
are
impressed
with
the
company’s
ability
to
maintain
its
mid
teens
earnings
growth
algorithm
at
the
same
time,
and
we
view
this
as
helpful
context
in
understanding
the
lower
margin
expansion
in
2024.”
