3 New Strong Buy Ratings from Top-Rated Analysts: 01/21/2025

What are Wall Street’s top analysts talking about? We’ve got the scoop. 

OneSpaWorld Holdings (NASDAQ: OSW) rides the wellness trend. Howmet Aerospace Inc (NYSE: HWM) shows signs of continued momentum despite already gaining 130% in the past year. 

Rounding out today’s list, Gambling.com Group LTD’s (NASDAQ: GAMB) potential is “hard to ignore.” Keep reading for more — and to gain access to more alerts like these, try WallStreetZen Premium for just $1

1- OneSpaWorld Holdings (NASDAQ: OSW)

Luxury holiday, anyone? OneSpaWorld Holdings operates health and wellness centers on 170 cruise ships and at 52 destination resorts. A recent investor meeting has earned OSW a vote of confidence from Wall Street — and the leisure giant has also raised its revenue guidance ahead of its Q4 earnings report. Despite mounting an impressive rally in 2024, analysts still see a lot of room to grow.

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

Recent Price: $19.36 — get current quote > 

Max 1-year forecast:  $25.00

Why we’re watching:

• Of the 3 analysts who track OneSpaWorld, all 3 rate the stock a Strong Buy — and the average price forecast of $22.00 forecasts 14.64% potential upside. See the ratings
• Steven Wieczynski, a Stifel Nicolaus equity researcher (rated top 9%), recently increased his price target for OSW stock from $24 to a Street high $25 — maintaining an earlier issued Strong Buy rating. 
• Stifel Nicolaus recently hosted an investor meeting with OneSpaWorld’s C-Suite team — following the meeting, Wieczynski highlighted that "onboard guest spending, pre-booked sales, and penetration of passengers are all meaningfully above historical levels and have shown no signs of slowing." 
• These metrics give confidence in the company's ability to generate EBITDA/Free Cash Flow above management's recently introduced FY 2025 guidance, Wieczynski said.
• In a rare move, the company raised its guidance for Q4 through a preliminary report on January 13.
• With a Zen Rating of B (Buy), OSW is in good company — stocks with this rating tend to provide a 19.88% return on an annual basis. OSW is in the 90th percentile of all the stocks we track — based on the 115 factors used in our proprietary quant system, it has a good chance of beating the market.
• In terms of Component Grades, Momentum is OSW’s biggest strength — the stock is in a strong uptrend, having rallied by 43.68% over the last year. (See all 7 Zen Component Grades here >)

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2- Howmet Aerospace Inc (NYSE: HWM)

Hailing from Pittsburgh, Pennsylvania, Howmet Aerospace specializes in cutting-edge engineering. The defense contractor is a critical provider of jet engine components and titanium structural parts. Compared to this time last year, HWM stock has seen an impressive 130.73% surge. While the sector is facing headwinds from production disruption and possible cuts from the Department of Government Efficiency (DOGE), Howmet Aerospace seems to be flying past those worries — and could continue to soar upward in 2025.

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

Recent Price: $122.96 — get current quote > 

Max 1-year forecast:  $144.00

Why we’re watching:

• Of the 12 analysts who track HWM stock and issue ratings for it, 9 deem it a Strong Buy. In addition to that, 2 analysts rate the stock a Buy — with a single Hold rating to round out the entire picture. See the ratings
• Michael Ciarmoli, a Truist Securities researcher (and a top 4% analyst), restated a prior Strong Buy rating on January 14 — and raised the price target on HWM stock to $130 from 128.
• Per Ciarmoli, the Defense sector's performance was hit by the 2024/11 election and the introduction of DOGE, and argued that the sell-off created "a good opportunity to get in".
• Matthew Akers of Wells Fargo (a top 9% analyst) also reiterated a Strong Buy rating, with a slightly more ambitious price target of $132.
• Akers contextualized their price target hike by saying that estimates on Howmet Aerospace continue to move higher despite ongoing aerospace production disruptions because spares demand and market share gains are filling the near-term gap.
• HWM earns a Zen Rating of B (Buy) — placing it in the top 20% of stocks per our proprietary quant model. 
• Howmet Aerospace shines when it comes to its Momentum and Financials Component Grades. In both cases, it merits flying colors — with a rating of A and B, respectively. In terms of Momentum, HWM is in the 96th percentile, having delivered 4 consecutive quarters of earnings beats. In terms of financials, it is in the 90th out of all the stocks we track. (See all 7 Zen Component Grades here >)

3- Gambling.com Group LTD (NASDAQ: GAMB)

Founded in 2006, Gambling.com provides digital market services to the online gambling and sports betting sector. The company has provided significant earnings beats for three quarters in a row. On January 1, the business also acquired Odds Holdings for $160 million — further solidifying and expanding its footprint. 

Zen Rating: A (Strong Buy) — see full analysis >  

Recent Price:  $14.09 — get current quote >

Max 1-year forecast:  $21.00

Why we’re watching:

• Among the 6 analysts we track issuing ratings on GAMB, the stock enjoys a Strong Buy consensus — with 4 Strong Buy ratings and 2 Buy ratings. See the ratings
• David Katz of Jefferies (a top 19% analyst) issued the latest rating — reiterating a prior Strong Buy. The analyst raised his price target from $20 to $21 — a mark that represents a 49.04% upside.
• Katz’s price hike came after a deep dive into Jefferies’ gaming portfolio. Per the analyst, it's "hard to ignore" U.S. digital gaming companies because of their consistent top-line growth, increasing earnings, and free cash flow
• The researcher added that the company’s long-term opportunities remain unchanged, despite near-term volatility in operator profitability.
• The stock is ranked 2nd overall in the entire gambling industry.
• GAMB is also ranked in the 96th percentile of all stocks we track, with an overall Zen Rating of A (Strong Buy).
• Among the Component Grades that have earned GAMB that spot, Sentiment and Financials are the stars of the show, where it is in the 91st and 92nd percentile, respectively. Our proprietary system has identified it as a business with a strong balance sheet — one that Wall Street researchers are increasingly recognizing as a buying opportunity. (See all 7 Zen Component Grades here >)

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