Research firms track a wide array of stocks. Their analysts issue regularly stock recommendations that range from Sell to Strong buy. They also set price targets for the stocks they analyze. In this article, we will use their research to identify stocks with the highest upside potential.
Methodology
- Selected only stocks with market capitalization above 300 M $;
- Only stocks followed by 5 analysts or more were included;
- Only stocks with high upside potential were considered. To be conservative, we used only the lowest target price set by the analysts. See below the formula:
Upside potential = (lowest target price – Current price ) / Current price
As you can see below, the stocks selected are either in Biotechnology or Mining. Both sectors are the riskiest investment someone can find in the stock market. For instance, Biotech stocks are often small, cash-strapped, and have a future inextricably tied to the success or failure of one clinical trial.
Please note, Analysts’ recommendations remain estimates based on hypothetical scenarios of future growth. They can be accurate or completely off. Always consult a financial advisor before making a financial decision.
Results (Top 10)
Table below show the top 10 stocks with the highest upside potential as per research firms. We included in this post a discussion surrounding the top 5 stocks. The remaining stocks we will share just a quick profile and the stats.
| Symbol and Name | Last | Low Target | Upside potentiel |
| AUP.TO Aurinia Pharmaceuticals Inc | 14.14 | 27.2 | 92.36% |
| TRIL.TO Trillium Therapeutics Inc | 11.21 | 18.48 | 64.85% |
| VFF.TO Village Farms International Inc | 9.79 | 16 | 63.43% |
| EDV.TO Endeavour Mining Corp | 26.04 | 42 | 61.29% |
| USA.TO Americas Silver Corp | 2.79 | 4.5 | 61.29% |
| BLU.TO Bellus Health Inc | 4.26 | 6.8 | 59.62% |
| WDO.TO Wesdome Gold Mines Ltd | 9.35 | 12.5 | 33.69% |
| CJT.TO Cargojet Inc | 171.74 | 226 | 31.59% |
| CXB.TO Calibre Mining Corp | 1.95 | 2.55 | 30.77% |
| WELL.TO Well Health Technologies Corp | 7.02 | 9 | 28.21% |
Source: Barchart.com
Aurinia Pharmaceuticals Inc
Aurinia Pharmaceuticals Inc., a biopharmaceutical company, develops and commercializes therapies to treat various diseases with unmet medical need in Japan and China. The company offers LUPKYNIS for the treatment of adult patients with active lupus nephritis. Aurinia market cap is 1.7 Billion dollars. Revenues almost doubled in the past 5 years.
On May 12th, Aurinia was trading at 14.14$. The lowest target price set by analysts is 27.2$. So, there is a 92.36% potential upside as per analysts’ research. This stock lost 43.62% of its value in past 12 months. Sales of the biotech’s newly approved lupus nephritis medication Lupkynis (aka voclosporin) failed to reach analysts’ estimate. This seems to be the main reason why investors were disgruntled with the stock.
| Symbol | AUP.TO |
| Name | Aurinia Pharmaceuticals Inc |
| Industry | TSX Biotechnology |
| Sector | Medical |
| Market Cap, $K | 1,740,364 K |
| Last | 14.14 |
| Low Target | 27.2 |
| High Target | 44.57 |
| # Analysts | 6 Strong Buy |
| Upside potentiel | 92.36% |
| Beta | 0.29 |
| P/E (ttm) | N/A |
| 5Y Div growth % | N/A |
| 5Y Revenue growth % | 192.27% |
| 5Y %Chg | 323.05% |
| 3Y %Chg | 74.10% |
| 1Y %Chg | -43.62% |
| 3 Months | -31.55% |
Source: Barchart.com
Trillium Therapeutics Inc
Trillium Therapeutics Inc., a clinical stage immuno-oncology company, develops therapies for the treatment of cancer. Trillium market cap is 1.1 Billion dollars.
Trillium focused lately its resources on cancers of the blood and solid tumors via intravenous administration. The company raised recently more than 300 million dollars through two rounds of fundraising and a $25 million investment from Pfizer.
| Symbol | TRIL.TO |
| Name | Trillium Therapeutics Inc |
| Industry | TSX Biotechnology |
| Sector | Medical |
| Market Cap, $K | 1,138,634 K |
| Last | 11.21 |
| Low Target | 18.48 |
| High Target | 29.99 |
| # Analysts | 6 Strong Buy |
| Upside potentiel | 64.85% |
| Beta | 1.84 |
| P/E (ttm) | N/A |
| 5Y Div growth % | N/A |
| 5Y Revenue growth % | 0.00% |
| 5Y %Chg | -15.98% |
| 3Y %Chg | 35.29% |
| 1Y %Chg | 28.31% |
| 3 Months | -34.80% |
Source: Barchart.com
Village Farms International Inc
Village Farms International, Inc., together with its subsidiaries, produces, markets, and distributes greenhouse-grown tomatoes, bell peppers, and cucumbers in North America. It operates through three segments: Produce Business, Energy Business, and Cannabis and Hemp Business. Village Farms market cap is 822 Million dollars. The company’s revenues grew by only 3.9% in the past 5 years.
This stock lost 54% of its value in the past 3 months alone. Its recent financial results showed weakness (EBITDA falling 63% from 1.1 M to just 400 K). The decline can be explained by:
- Lower profit due to historically weak tomato prices;
- Unbranded sales of Marijuana products fell 49%.
Financial statements showed some improvements such as a 20% increase in sales of Marijuana branded products. It seems investors were not satisfied overall and chose to sell on the news driving the stocks price down.
| Symbol | VFF.TO |
| Name | Village Farms International Inc |
| Industry | TSX Farm Products |
| Sector | Industrial Products |
| Market Cap, $K | 822,467 K |
| Last | 9.79 |
| Low Target | 16 |
| High Target | 33.28 |
| # Analysts | 5 Strong Buy 1 Hold |
| Upside potentiel | 63.43% |
| Beta | 3.82 |
| P/E (ttm) | 44 |
| 5Y Div growth % | N/A |
| 5Y Revenue growth % | 3.69% |
| 5Y %Chg | 533.13% |
| 3Y %Chg | 73.76% |
| 1Y %Chg | 108.15% |
| 3 Months | -54.36% |
Source: Barchart.com
Endeavour Mining Corp
Endeavour Mining Corporation operates as a multi-asset gold producer in West Africa. Endeavour Mining Corporation was incorporated in 2002 and is based in London, the United Kingdom.
The company reported C$1.33 EPS for the last quarter, topping analysts’ consensus estimates of C$0.91 by C$0.42. The business had revenue of C$721.26 million during the quarter, compared to analysts’ expectations of C$715.49 million.
| Symbol | EDV.TO |
| Name | Endeavour Mining Corp |
| Industry | TSX Gold |
| Sector | Basic Materials |
| Market Cap, $K | 6,643,797 K |
| Last | 26.04 |
| Low Target | 42 |
| High Target | 53 |
| # Analysts | 6 Strong Buy |
| Upside potentiel | 61.29% |
| Beta | 0.53 |
| P/E (ttm) | 31.47 |
| 5Y Div growth % | N/A |
| 5Y Revenue growth % | 22.20% |
| 5Y %Chg | 43.14% |
| 3Y %Chg | 22.77% |
| 1Y %Chg | -4.13% |
| 3 Months | -2.23% |
Source: Barchart.com
Americas Silver Corp
Americas Gold and Silver Corporation engages in the acquisition, exploration, development, and operation of mineral properties in North America. It explores for silver, lead, zinc, copper, and gold deposits.
Recently the stock declined following labor issues in Mexico in one of its mines. Top executive of Americas Gold and Silver Corp mentioned in BNN (March 22nd) that he is optimistic the issue can be resolved. The shut down has lasted about 14 months so far.
| Symbol | USA.TO |
| Name | Americas Silver Corp |
| Industry | TSX Industrial Metals Minerals |
| Sector | Basic Materials |
| Market Cap, $K | 384,490 K |
| Last | 2.79 |
| Low Target | 4.5 |
| High Target | 6.28 |
| # Analysts | 3 Strong Buy 2 Moderate Buy |
| Upside potentiel | 61.29% |
| Beta | 1.37 |
| P/E (ttm) | N/A |
| 5Y Div growth % | N/A |
| 5Y Revenue growth % | 13.16% |
| 5Y %Chg | -27.02% |
| 3Y %Chg | -37.72% |
| 1Y %Chg | -8.50% |
| 3 Months | -21.33% |
Source: Barchart.com
Bellus Health Inc
BELLUS Health Inc., a clinical stage biopharmaceutical company, develops therapeutics for the treatment of chronic cough and other hypersensitization disorders.
| Symbol | BLU.TO |
| Name | Bellus Health Inc |
| Industry | TSX Biotechnology |
| Sector | Medical |
| Market Cap, $K | 347,035 K |
| Last | 4.26 |
| Low Target | 6.8 |
| High Target | 15.72 |
| # Analysts | 6 Strong Buy 1 Moderate Buy 1 Hold |
| Upside potentiel | 59.62% |
| Beta | -0.46 |
| P/E (ttm) | N/A |
| 5Y Div growth % | N/A |
| 5Y Revenue growth % | -65.11% |
| 5Y %Chg | -36.35% |
| 3Y %Chg | 168.48% |
| 1Y %Chg | -71.84% |
Source: Barchart.com
Wesdome Gold Mines Ltd
Wesdome Gold Mines Ltd. engages in the exploration, extraction, processing, and reclamation of gold in Canada.
| Symbol | WDO.TO |
| Name | Wesdome Gold Mines Ltd |
| Industry | TSX Gold |
| Sector | Basic Materials |
| Market Cap, $K | 1,332,664 K |
| Last | 9.35 |
| Low Target | 12.5 |
| High Target | 18 |
| # Analysts | 4 Strong Buy 1 Moderate Buy |
| Upside potentiel | 33.69% |
| Beta | 0.65 |
| P/E (ttm) | 26.56 |
| 5Y Div growth % | N/A |
| 5Y Revenue growth % | 24.01% |
| 5Y %Chg | 475.90% |
| 3Y %Chg | 375.62% |
| 1Y %Chg | -18.63% |
Source: Barchart.com
Cargojet Inc
| Symbol | CJT.TO |
| Name | Cargojet Inc |
| Industry | TSX Integrated Shipping & Logis |
| Sector | Industrial Products |
| Market Cap, $K | 2,988,781 K |
| Last | 171.74 |
| Low Target | 226 |
| High Target | 315 |
| # Analysts | 4 Strong Buy 1 Moderate Buy |
| Upside potentiel | 31.59% |
| Beta | 0.66 |
| P/E (ttm) | N/A |
| 5Y Div growth % | 9.43% |
| 5Y Revenue growth % | 18.26% |
| 5Y %Chg | 442.52% |
| 3Y %Chg | 165.37% |
| 1Y %Chg | 25.72% |
Source: Barchart.com
Calibre Mining Corp
Calibre Mining Corp., together with its subsidiaries, engages in the acquisition, exploration, and development of gold properties in Nicaragua. The company primarily explores for gold, silver, and copper deposits.
| Symbol | CXB.TO |
| Name | Calibre Mining Corp |
| Industry | TSX Gold |
| Sector | Basic Materials |
| Market Cap, $K | 670,540 K |
| Last | 1.95 |
| Low Target | 2.55 |
| High Target | 4.25 |
| # Analysts | 4 Strong Buy 1 Moderate Buy |
| Upside potentiel | 30.77% |
| Beta | 2.95 |
| P/E (ttm) | 8.69 |
| 5Y Div growth % | N/A |
| 5Y Revenue growth % | 0.00% |
| 5Y %Chg | 185.71% |
| 3Y %Chg | 90.48% |
| 1Y %Chg | 46.67% |
Source: Barchart.com
Well Health Technologies Corp
| Symbol | WELL.TO |
| Name | Well Health Technologies Corp |
| Industry | TSX Medical Care |
| Sector | Medical |
| Market Cap, $K | 1,411,016 K |
| Last | 7.02 |
| Low Target | 9 |
| High Target | 13.5 |
| # Analysts | 3 Strong Buy 4 Moderate Buy |
| Upside potentiel | 28.21% |
| Beta | 0.74 |
| P/E (ttm) | N/A |
| 5Y Div growth % | N/A |
| 5Y Revenue growth % | 0.00% |
| 5Y %Chg | 0.00% |
| 3Y %Chg | 1168.42% |
| 1Y %Chg | 132.89% |
Source: Barchart.com
