Key Points
Investors have experienced fluctuating performance in the stock market during the first half of 2025, with opportunities for both gains and losses. Analysts highlight three growth stocks to consider for the second half of the year: Alibaba Group Holding, Meta Platforms, and Vertex Pharmaceuticals.
1. Alibaba Group Holding
Alibaba (NYSE: BABA) has garnered attention from Wall Street, with 37 out of 40 analysts rating it a “buy” or “strong buy.” The stock has a 12-month price target reflecting an upside potential of approximately 40%. Alibaba’s cloud unit holds 36% of the Chinese cloud market and has seen substantial revenue growth from AI-related products, with $137.3 billion in total revenue and $17.4 billion in profits in the last fiscal year.
2. Meta Platforms
Meta (NASDAQ: META) has integrated AI to enhance its recommendation models, resulting in a 5% increase in conversion rates on its Reels feature. The company is seeing growth in user engagement across its platforms, translating to increased advertising revenue. Meta also aims to expand its AI-powered business messaging and devices such as smart glasses and virtual reality headsets.
3. Vertex Pharmaceuticals
Vertex (NASDAQ: VRTX) focuses primarily on treatments for cystic fibrosis but has expanded into gene therapy and pain medication. Its drug Casgevy is the first approved CRISPR therapy, while the newly approved Journavx is a significant non-opioid pain medication. Vertex is also pursuing late-stage clinical tests for several other promising drugs.
