Evercore ISI is sticking by its previous roster of top stock picks heading into the second half. The first half of trading in 2024 was exceptionally strong for equities, with the artificial intelligence boom fueling technology stocks. The benchmark S & P 500 advanced 15%, while the Nasdaq Composite jumped 18.
1%. The Dow Jones Industrial Average was the laggard, but still notched a 3.8% climb in the first half.
Evercore sees some similar trends persisting in the second half. Its "best ideas" list compiles stocks based on an investment outlook of one year or more. The list includes some AI beneficiaries such as Adobe, but also has stocks that have faced immense pressure over the past three months such as CVS Health and Home Depot .
Data is as of Monday, July 1. Adobe Shares of the software company have fallen more than 5% in 2024. However, analyst Kirk Materne thinks Adobe can benefit "as the creative economy is set to accelerate in the coming years" as generative AI broadens the market for its products.
ADBE YTD mountain Adobe stock has slipped more than 5% in 2024. Materne maintains an outperform rating on Adobe stock with a $650 per share price target, implying roughly 17% upside ahead. "With a valuation within its historical range on both an absolute basis as well as relative to the broader 'market multiple', believe ADBE can continue to grind higher with a multi-year view," the analyst said.
CVS Health Battered pharmacy stock CVS Health has pulled back more than 27% in 202.
