The stocks that have led the market rally to record highs are still where investors should be, according to Piper Sandler. Heightened uncertainty from President Donald Trump ‘s new tariff policies , along with recent data points indicating a potentially softening economy, have riled markets in recent weeks. The S & P 500 , Nasdaq Composite and Dow Jones Industrial Average are all lower for the year. But going forward, Piper Sandler is optimistic that the bull market run will continue. In a Thursday note, Craig Johnson, the firm’s chief market technician, voiced his belief that the market hit an “intermediate-term bottom” on March 13. “Following a four-week losing streak that left U.S. equities in correction territory, we believe the weight of technical evidence now suggests an intermediate-term low may be in place, and stocks have room to run, resulting in a 14.25% upside to our 2025 SPX year-end price objective of 6,600,” he wrote. In the same note, Piper Sandler suggested investors may want to stick to the stocks that underperformed during the correction from February to March, but then became the best performing stocks from March 13 to March 24. “We believe now is a prime opportunity for investors to capitalize on beaten-down stocks that have confirmed longer-term support,” Johnson wrote. “Investors may want to take a closer look at these stocks, as they represent companies that investors have quickly returned to following the correction. This suggests that prior leadership, before the correction, has not changed.” Below are some of the stocks that pivoted from market laggards to leaders following the correction: One name on the list was cybersecurity stock CrowdStrike , which lost 26% between Feb. 19 and March 13. But subsequently, it rallied 12% from March 13 to March 24. On Tuesday, BTIG analyst Gray Powell upgraded CrowdStrike to a buy rating from neutral. Powell also initiated a price target of $431, representing approximately 16% upside from the stock’s value on Wednesday. “First, with the 7/19/2024 IT outage now eight months in the rearview mirror, we think CRWD has much better visibility on forecasts,” the analyst wrote. “More importantly, we see CRWD emerging as the cleanest platform play across the security software space.” Powell added that when it comes to CrowdStrike, a “premium valuation is warranted” due to the stock’s potential total revenue growth. Cruise operator Norwegian Cruise Line tumbled 31% from February to March, but subsequently gained 12% in the 11 days after. Earlier this month, Morgan Stanley upgraded shares to equal weight from underweight. “We await greater signs of stabilization before being more constructive outright,” wrote analyst Stephen Grambling. His $22 price target is nearly 9% above where shares of Norwegian Cruise closed on Wednesday afternoon. Other names on Piper Sandler’s list included Palantir Technologies , Tesla and United Airlines . Get Your Ticket to Pro LIVE Join us at the New York Stock Exchange! Uncertain markets? Gain an edge with CNBC Pro LIVE , an exclusive, inaugural event at the historic New York Stock Exchange. In today’s dynamic financial landscape, access to expert insights is paramount. As a CNBC Pro subscriber, we invite you to join us for our first exclusive, in-person CNBC Pro LIVE event at the iconic NYSE on Thursday, June 12. Join interactive Pro clinics led by our Pros Carter Worth, Dan Niles, and Dan Ives, with a special edition of Pro Talks with Tom Lee. You’ll also get the opportunity to network with CNBC experts, talent and other Pro subscribers during an exciting cocktail hour on the legendary trading floor. Tickets are limited!
