Goldman Sachs released its monthly updates to its U.S. and APAC Conviction Buy lists on June 2, 2025. Goldman Sachs is well-known among investors for only catering to institutional and very high net worth individuals. When it is telling its clients to buy, it can influence billions of dollars in an instant.
The June monthly update added four stocks with Conviction Buy ratings and it removed three others from the prize list. Three of the four stocks have already seen their share prices surge. For a reference, at the time of this publishing the S&P 500’s gain was 2.2%. Does this mean that the gainers have already performed too well? That is for each investor to decide, but it likely implies that some investors will be looking for pullbacks as buying opportunities as long as the market fundamentals and company/sector fundamentals (tariffs/economy/etc.) do not change in an instant.
The changes reflect Goldman Sachs’ outlook on key sectors including financial services, real estate, technology, and semiconductors. The monthly updates to Goldman’s Conviction Lists serve as a list of the firm’s highest-conviction investment recommendations of its Buy-rated stocks across different regions and sectors.
Please read the disclaimer below before utilizing any of these calls as reasons to buy or sell.
New US Conviction Buys — Big Performers, But One
Capital One Financial (NYSE: COF) earned a spot on Goldman’s US Conviction List with a Buy rating and $242 price target. The firm believes the pending Discover Financial merger places the combined entity in a position to see substantial earnings growth while creating opportunities for a multi-year capital return strategy. Jamie Dimon of Chase welcomed the competition by saying “Let the compete!” back in 2024. Well, they will be competing.
Capital One shares were at $189.15 ahead of the addition on June 2, but the shares were last seen up at $200 after six trading days (a 5.7% gain so far).
Mid-America Apartment Communities (NYSE: MAA) was added to the US Conviction Buy list with a $192 price target and this one is actually not running away since its inception. Goldman Sachs sees MAA benefiting from two favorable trends. One is a continued migration to Sunbelt states and the second is an apparent peak in post-pandemic apartment construction that is beginning to recede.
MAA was trading at $156.65 ahead of the addition on June 2, but its stock was last seen at $153, making it the only new Conviction Buy stock that has’t “gotten away!” from investors.
Universal Display Corporation (NASDAQ: OLED) is a more speculative stock than most traditional Conviction Buy List stocks. It was added with a Buy rating and $183 price target. The firm noted that its upcoming introduction of blue OLED materials will represent a significant technological advancement, enabling device manufacturers to create more energy-efficient displays that extend battery life in smartphones and tablets.
OLED was trading at $143.35 ahead of the addition on June 2, but its stock has risen in five of the last six consecutive trading days. The last price of $161.00 is up 12% from the addition price on last look.
APAC Conviction List Addition
Taiwan Semiconductor Manufacturing Company (NYSE: TSM) was added to Goldman’s APAC Conviction List. The firm saw TSM’s recent underperformance as a stock creating a “strong entry opportunity” for investors. TSM also happens to be the world’s largest contract chipmaker.
TSM’s ADSs were trading at $193.32 ahead of the addition on June 2. After six consecutive days of gains the stock was last seen up at $211 — up 9% in barely a week of trading.
Removals from US Conviction List
Goldman removed three companies from its US Conviction List as part of the monthly review:
- Belden Inc. (BDC)
- Burlington Stores (BURL)
- S&P Global (SPGI)
Disclaimer
Oggonomics always reminds is readers that no single analyst report should ever be the sole basis to buy or sell a stock. This is particularly true for aggressive “Buy” ratings that may be the street-high analyst price targets or that may even come from the well-known Conviction Buy List from Goldman Sachs. Research analysts sometimes get their thesis wrong just like the rest of us.
All analyst ratings and price targets mentioned above were issued by Goldman Sachs which were named in this summary. Their ratings and targets may differ greatly from other firms on Wall Street. Oggonomics does not issue any formal ratings and does not maintain any price targets of its own on these stocks. Also please remember that no analyst report, even those with the strongest conviction, ever comes with any guarantees of profits and they never contain money-back guarantees in case you lose money.
