Leading Wall Street Analysts Recommend These 3 Long-Term Stock Investments

The current market fluctuations have led investors through a roller-coaster week, impacted by the Trump administration's aggressive tariff discussions. Despite a Friday rally, the stock market ended with overall weekly losses.

In this unpredictable market environment, taking cues from top Wall Street analysts might aid investors in strengthening their portfolios with enduring stocks capable of facing short-term challenges and providing substantial long-term gains.

Highlighted Stocks for Consideration

Let’s delve into three favored stocks, identified by TipRanks, a platform known for rating analysts based on past performance.

Zscaler

First on the list is Zscaler, a pioneer in cloud cybersecurity. The firm has gained attention with its Zero Trust Exchange platform, offering robust protection and secure connectivity for users and devices, shielding them against cyber threats and data theft.

Zscaler's impressive second quarter for fiscal 2025, driven by widespread Zero Trust and AI adoption, has caught the eyes of investors. In response to this performance, TD Cowen analyst Eyal upheld a buy rating for Zscaler at a target price of $270, citing improvements in market strategy and sales efficiency.

The analyst noted the surge in demand due to AI advancements, forecasting an annual contract value for the AI Analytics segment nearly doubling. With ambitions to reach $3 billion in annual recurring revenue by the fiscal year's close, Zscaler is poised for growth.

Costco Wholesale

Next, we examine Costco Wholesale, a membership-centric warehouse giant. Its latest fiscal report showed mixed results with revenues surpassing expectations, while earnings fell short of projections.

According to Jefferies analyst Tarlowe, the earnings per share miss was largely due to marginal expansion in the gross margin for Q2 FY25, affected by foreign exchange challenges among other factors. However, Costco's strong sales performance and increased membership fees drew praise.

Tarlowe believes in Costco’s growth potential, emphasizing its ability to expand its warehouse chain and resilience to new tariffs, noting that only about a third of its products are sourced from foreign suppliers.

Karman Holdings

Rounding out our list is Karman Holdings, a newly-public defense and space systems manufacturer. This company offers a diverse array of products including protection systems and launch solutions.

Evercore analyst Daryanani recently initiated coverage on KRMN with a positive outlook, setting a price target of $38, driven by anticipated strong growth supported by industry trends.

Daryanani sees opportunities in increasing U.S. orbital launches and a heightened focus on missile defense. The analyst expects fiscal 2025 revenues for Karman to climb, projecting ambitions far beyond the current year.