3 New Strong Buy Ratings from Top-Rated Analysts: 01/10/2025

Dycom Industries Inc. (NYSE: DY) is a pick and shovels play that could ride long-term telecommunications infrastructure momentum. Vital Farms Inc. (NASDAQ: VITL) is a good egg in top-rated analysts’ eyes. Skechers USA Inc. (NYSE: SKX) continues to gain in popularity — and the stock price could rise in tandem. 

Here are the latest Strong Buy ratings we’re tracking. 

Gain access to dozens of alerts like this per week 👉👉 Try WallStreetZen Premium for just $1

1- Dycom Industries Inc. (NYSE: DY) 

Let’s face it, wireless carriers aren’t going anywhere. And they need services from the likes of Dycom Industries, which offers maintenance, construction, and installation services for providers. Think of this as a “pick and shovels” stock for the thriving telecommunications Industry. 

Zen Rating:  B (Buy) — see full analysis >  

Recent Price: $179.00  — get current quote > 

Max 1-year forecast: $229.00 

Why we’re watching:

• Analyst support: Among the 5 analysts we track issuing ratings on DY, all of them rate DY a Strong Buy, making for a resounding Strong Buy consensus. See the ratings
• Notably, Sangita Jain of KeyBanc (a top 18% analyst) just maintained a Strong Buy rating on DY. 
• Looking ahead, the analyst cited three ways the company can sustain top-line growth in the double digits: Private fiber installations, rising BEAD awards, and the rapidly developing theme of extra fiber needs for AI DC (Data Centers).
• Jain notes that Although it is not yet reflected in the stock's price, Dycom Industries' growth runway will be extended by the AI DC theme. 
• Our Zen Ratings system agrees with analysts: DY is a Buy. It has an overall B (Buy) rating, putting it in a class of market-beating stocks that have historically generated nearly 20% annual returns. 
• There are no weak areas in the 7 Component Grades that make up the overall score. Standout areas include Sentiment, suggesting that current analyst ratings, short interest, and insider activity indicate good vibes for the stock, and Financials, which indicates DY is a company with a solid balance sheet and strong fundamentals. (See all 7 Zen Component Grades here >)

–––––––––––––––––––––––––––

A message from our sponsors...

Free Stock Analysis: See What Your Stock is Really Worth

Get a full report that tells you what a stock is really worth, how safe the stock is, and if the timing is right to buy the stock. Plus a definitive Buy, Sell, Hold recommendation.

Analyze Any Stock Free

Thanks to our sponsors for keeping this content free.

–––––––––––––––––––––––––––

2- Vital Farms Inc. (NASDAQ: VITL) 

Eggs and butter are musts on many grocery lists, and Vital Farms has got ‘em in abundance. This rising star in the industry provides ethically produced butter and egg products (eggs, hard-boiled eggs, liquid eggs, egg bite products, etc) that have been flying off shelves to the tune of 149% gains for the stock in the past year. 

Zen Rating: B (Buy) — see full analysis >  

Recent Price: $39.38 — get current quote > 

Max 1-year forecast: $50.00 

Why we’re watching:

• Analyst support: While only 5 analysts we track currently issue ratings on VITL, it has a Strong Buy consensus, with the max 1-year forecast of $50 suggesting over 25% potential upside. See the ratings
• A recent highlight? Robert Moskow of TD Cowen (a top 7% analyst) just maintained a Strong Buy rating and raised their price target on VITL by 9.8% from $41 to $45. 
• Our Zen Rating confirms that VITL is worth watching. It has an overall B (Buy) rating, suggesting it’s in the top 20% of stocks we track — an impressive feat as not many stocks within the farming industry earn this grade.
• VITL earns above-average Component Grades in two key areas: Sentiment and Financials. As previously noted, analyst sentiment is good for the stock — our rating also considers things like short interest and insider buying and selling activity. The excellent Financials rating indicates this is a stock with a strong fundamental foundation. (See all 7 Zen Component Grades here >)

3- Skechers USA Inc. (NYSE: SKX) 

Shoes, shoes, shoes! Skechers specializes in leisure footwear that is rising in popularity — and the stock price is rising in tandem). SKX shows every sign of impressive long-term growth potential and share price gains. 

Zen Rating: B (Buy) — see full analysis >  

Recent Price: $69.31 — get current quote > 

Max 1-year forecast: $93.00

Why we’re watching:

• Analyst support: SKX currently enjoys a Strong Buy consensus among the 9 analysts we track issuing ratings. See the ratings 
• Among the stock’s fans? John Kernan of TD Cowen, a top 3% analyst. Kernan just maintained a Strong Buy rating and raised their price target 5.7% from $88 to $93 
• Kernan offered a 2025 preview of names in their Sevices (Softline Retail) portfolio, saying they see a "constructive setup with narratives of momentum and turnaround opportunities." Companies that are "best positioned relative to consensus estimates and investor sentiment," according to the analyst, prominently include SKX. 
• SKX is a recent Stock of the Week selection — it’s up about 5% since we shared the pick in October, but there’s reason to believe the momentum could continue. (See more recent Stock of the Week picks here)
• In addition to the analyst + expert love, SKX enjoys a Zen Rating of B (Buy), meaning that upon a careful review of 115 factors proven to drive growth in stocks, SKX is an above-average selection. 
• Its Component Grade scorecard, which shapes the overall Zen Rating, is similarly solid, with above-average ratings in several key categories such as Growth, Sentiment, Safety, and Financials. The bottom line? This stock checks a lot of boxes. (See all 7 Zen Component Grades here >)

What to Do Next?

• Watch “Zen Ratings Revolution” to Unlock +32.52% Annual Gains >
• Upgrade Your Investing - Start Your Premium Trial Now! >
• Discover Zen Investor portfolio to Find More 100%+ Stock Winners>

Want to get in touch? Email us at news@wallstreetzen.com.