5 Stocks to Watch: Week of 1/6/2025

By Jessie Moore, Stock Researcher and Writer

January 3, 2025 5:33 PM UTC

EME

GOOGL

KMPR

PTC

Alphabet Inc. (NASDAQ: GOOGL) has the resounding support of 29 analysts we track due to the ongoing AI trend. Emcor Inc. (NYSE: EME) emerges as an under-the-radar company with staggering potential.

Fiserve Inc. (NYSE: FI) enables payments for users, and potentially unlocks profits for investors. Kemper Corp. (NYSE: KMPR) rides the momentum lifting the insurance industry. Analysts foresee acceleration for PTC Inc. (NASDAQ: PTC) in the coming year. Here are our top watches for the week of 1/6/2025.

P.S. Wanna see last week's picks? Click here.

1- - Fiserve Inc. (NYSE: FI)

Fiserv, Inc. provides tech that makes payments (and accepting payments) possible for individuals, financial institutions, and businesses alike. Yeah, important stuff. With 55% gains in the past year and bullish estimates for the coming year, it’s got the backing of top-rated analysts and Zen Ratings.

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

Recent Price: $206.20 — get current quote >

Max 1-year forecast: $278.00

Why we’re watching:

Analyst support: Based on 22 analyst ratings, FI enjoys a Strong Buy consensus. See the ratings
Notably, Charles Nabhan of Stephens & Co. (a top 16% analyst) recently upgraded FI from Hold to Strong Buy. They said they are bullish on Fiserv's prospects for 2025 and 2026 EPS growth of mid-to-high teens, citing "a track record of consistency," strong operational leverage, and highly visible revenue.
The analyst predicted for Fiserv, in particular, above-average adjusted organic growth, an above historical norms multiple, and a route to $12B sales from merchant solutions.
Great Zen Rating: Our proprietary quant rating system agrees that FI is worth watching. It enjoys an overall B rating, meaning it outranks 80% of the stocks we track.
It enjoys particularly strong Component Grades in 3 particular areas: A for both Safety and Momentum and B for Financials. What’s interesting about this mix is that it suggests that despite strong momentum, this stock backs up its moves with a solid foundation — making it potentially appealing for long-term investors. (See all 7 Zen Component Grades here >)

2- Alphabet Inc. (NASDAQ: GOOGL)

The Google parent company is way more than just Google — it’s documents, all sorts of cloud-related products and services, maps, and more. Perhaps more important to investors, the stock has strong near-term potential, according to analysts and our proprietary rating system…

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

Recent Price: $189.43 — get current quote >

Max 1-year forecast: $240.00

Why we’re watching:

Analyst support: 29 analysts we track agree — GOOGL is a high-potential stock. It enjoys a Buy consensus, with an average 1-year price target of $206.21 and a max 1-year price target of $240. See the ratings
Notably, Doug Anmuth of JP Morgan ( a top 1% analyst) just released a note detailing that the firm expects AI to continue to dominate the investment narrative, although the focus will shift to agents and applications.
JP Morgan expects AI-driven Capex to increase as mega-caps move beyond some of the compute constraints of 2024; its top picks from the group for 2025 are Amazon, Meta Platforms, Alphabet, and Spotify.
Our proprietary rating system agrees that GOOGL is a Buy. It has a B Zen Rating, putting it in the top 20% of stocks we track. It enjoys above-average Component Grades for Value, Safety, and Financials — making it a definite stock of note for risk-averse investors looking for a potential deal. (See all 7 Zen Component Grades here >)

3- Kemper Corp. (NYSE: KMPR)

At first glance, Kemper is just a boring old insurance company. But its yearly gains of over 30% certainly aren’t boring. Analysts call it a Strong Buy, and Zen Ratings is only slightly more conservative, with a B (Buy) rating.

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

Recent Price: $65.39 — get current quote >

Max 1-year forecast: $85.00

Why we’re watching:

Analyst support: Among the analysts we track issuing ratings on KMPR, it enjoys a Strong Buy consensus. See the ratings
Notably, Gregory Peters of Raymond James ( a top 3% analyst) just raised their price target on KMPR by 9.3% from $75 to $82.
In line with Raymond James' "2025 playbook and insurance group outlook," Peters hiked their price target on Kemper.
The analyst predicted that most companies in the property/casualty sector will experience a slowdown in organic revenue growth over the next 24 months because of more stable inflationary pressures, steady economic growth, and a slower rate of price increases.
However, despite potential negative pricing pressures, Peters told readers to expect most companies to report elevated returns.
Great Zen Rating: Overall, KMPR enjoys a B (Buy) rating after a careful review of 115 factors proven to drive stock growth.
Two areas where KMPR really shines? Respective B Growth and Momentum ratings. Paired with the bullish analyst ratings, these ratings support the idea that this stock could see a solid 2025. (See all 7 Zen Component Grades here >)

4- PTC Inc. (NASDAQ: PTC)

This software company is perhaps best known for products like Windchill, a suite that manages all aspects of the product development lifecycle. App companies are generally hot right now, but PTC’s proven track record and solid balance sheet put it ahead of the pack.

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

Recent Price: $183.73 — get current quote >

Max 1-year forecast: $230.00

Why we’re watching:

Analyst support: Among the 6 analysts we track issuing ratings on PTC, the stock enjoys a Strong Buy consensus. See the ratings
Adam Borg of Stifel Nicolaus (a top 16% analyst), who maintains a Strong Buy rating on the stock, recently upped their price target to $230.
Borg's price target hike was delivered in a FY 2025 preview of names in their Technology (Enterprise Software) sector coverage area.
The analyst notes that after a rocky start to 2024, the group is enjoying a "better ending" thanks to stabilizing-to-modestly-accelerating top-line growth rates and relatively attractive mid-year multiples, the analyst told investors.
The analyst predicted that group management teams will likely be cautious with their Q1 projections and that revenue growth rates will be similar to 2H 2024.
Not only does the App industry shine in general (we currently rate the industry B — above average in the stock market), but PTC shines with an above-average B (Buy) Zen Rating, putting it in a class of stocks that have historically outperformed the market, with nearly 20% annual returns.
Our proprietary AI algorithms, which detect subtle patterns in market data and anticipate future trends that point to superior stock price results, rate PTC as an above-average pick, The stock also has an excellent Financials rating, which reviews financial stability indicators. (See all 7 Zen Component Grades here >)

5- Emcor Inc. (NYSE: EME)

Emcor is a leading specialty construction firm with expertise in power transmission, voice & data communications, and fiber optics. This means they are riding some serious growth trends which helps explain the 57% year-over-year earnings growth.

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

Recent Price: $466.18 — get current quote >

Max 1-year forecast: $600.00

Why we’re watching:

It’s our Stock of the Week: According to our resident stock expert and Zen Investor Editor in Chief, Steve Reitmeister, Emcor is “not a household name. But that ‘under the radar’ stature allows us to scoop up this growth stock at very attractive levels. Especially after the recent December pullback in shares.” In a recent article, he expanded — here are some highlights:
EME has had 10 straight beat and raise earnings reports that propelled shares 5X since the middle of 2022. This is where you have to dig into the fundamentals to appreciate the nature of the firm…
EME has an overall “A” Zen Rating, which means it's a Strong Buy because it’s in the top 5% of all the stocks we analyze across 115 different factors.
What really jumps off the charts for EME is the top 3% showing for the 26 factors of Financial strength we review. This means it is an incredibly well-run company…the kind of company that is likely to produce more beat and raise earnings reports in the future that propels shares even higher.
What also stands out for EME with the Zen Ratings is how there is no weakness to be found. In most categories they are in the top 25% of stocks like Value, Growth, Momentum and Sentiment. (See the full Zen Ratings analysis for EME here >)