Markets hate uncertainty, which has been the norm in 2025. Tariffs, interest rates, and inflation are driving analysts’ expectations. However, that can become an opportunity for nimble investors with some cash on the sidelines.
With earnings season wrapping up, some analysts have discovered they were too bearish on a company. That causes them to upgrade the stock, which usually comes with a higher price target.
But some analysts don’t stop with one upgrade. They sometimes upgrade a stock by two rating levels, though not often.
If one upgrade is good, two must be better. That’s not necessarily true, but it does signal that analysts are trying to catch up to a stock. That’s the case with these three stocks that have received a double upgrade from analysts since their most recent earnings reports.
Advance Auto Parts' Turnaround Is Taking Shape
Advance Auto Parts Inc. (NYSE: AAP) has been a laggard compared to sector leaders like AutoZone Inc. (NYSE: AZO) and O’Reilly Auto Parts Inc. (NASDAQ: ORLY). However, analysts appear to be warming up to the idea that at a time when high interest rates may suppress new car purchases, there’s room for many companies at this table.
That was the sentiment of Redburn Partners, which raised AAP stock from Sell to Neutral. It also raised its price target from $28 to $45.
The reasons have to do with strengthening fundamentals. Advance Auto Parts is in the middle of a multi-year turnaround plan that is moving beyond cost-cutting and raising optimism of an increase in gross margins as it finds efficiency in its supply chain and with private label brands.
Adding interest for investors is that AZO and ORLY are trading at valuations that make them expensive compared to their history. That could make AAP the asymmetric play for investors looking to catch a stock that may have strong upside if institutions follow the analysts’ lead.
BioLineRx Is Moving Closer to Another Breakthrough
BioLineRx Ltd. (NASDAQ: BLRX) is a commercial stage biopharmaceutical company that develops and commercializes therapeutics for oncology and rare diseases. The company’s mulitiple myeloma drug, APHEXDA, was approved in late 2023. That marked a three-year high for BLRX stock which has fallen back to near penny stock levels since.
However, Jones Trading recently upgraded the stock from a Hold to a Strong Buy. There could be a couple of reasons for the bullish sentiment.
First, the company completed the transfer of its U.S. commercial rights to APHEXDA to Ayrmid Bio in the fourth quarter of 2024. This allows BioLineRx to focus on its stage oncology pipeline and its lead candidate, motixafortid, for pancreatic cancer.
Second, BioLine's equity stake in the partnership with Ayrmid de-risks the company from the cash burn associated with commercial production of APHEXDA while allowing it to receive milestone payments and royalties.
BUD Continues to Be the Best Option in a Weak Sector
Consumer staples stocks have been under pressure as consumers absorb the double whammy of sticky inflation and higher interest rates. Normally, stocks such as Anheuser-Busch InBev Inc. (NYSE: BUD) perform well in these times due to their defensive nature.
But this isn’t an ordinary time. Alcohol consumption is under pressure due to the GLP-1 movement. Also, many U.S. consumers are rethinking their relationship with alcohol. A 2025 study by NCSolutions cites 49% of Americans plan to drink less in 2025. That’s up from 41% in 2024. The reasons are both financial and an increased focus on wellness associated with sobriety.
However, the recent earnings from Anheuser-Busch is a reminder of a timeless truth. It pays to have best-in-class brands. In addition to having the number one and two volume share gainers, as well as a group of beers that capitalized on the premiumization trend, the company also has a growing non-alcoholic beer category that is helping boost sales.
That was on display in the company’s first quarter 2025 earnings report. Revenue missed estimates slightly on falling volume, but the company beat earnings per share (EPS) estimates by more than 10%. Since the earnings report BNP Paribas raised its rating on BUD stock from a Hold to a Strong Buy.