So, 2025 is in the books, and surprise, surprise – tech stocks and communication companies carried the market again. The S&P 500 managed a solid 16% return, which honestly isn’t terrible considering we’re still figuring out if AI will save us all or just make our jobs obsolete.
But here’s the thing: Wall Street analysts are feeling pretty optimistic about 2026. According to FactSet’s latest number-crunching, nearly 58% of the 12,700 stocks they analyzed got “Buy” ratings – the highest since early 2022. That’s either a sign of genuine confidence or collective amnesia about how these predictions usually work out.
The Sectors Getting All the Love
If you’re keeping score at home, the usual suspects are still winning popularity contests:
Information Technology (67% Buy ratings): Because apparently we haven’t learned our lesson about putting all our eggs in the silicon basket. But hey, someone’s got to build the robots that’ll replace us.
Energy (65% Buy): Oil companies are having a moment again. Who could have predicted that energy would be important? Revolutionary stuff.
Communication Services (64% Buy): Meta, Google, and friends continue their quest to know everything about you while selling you stuff. It’s working out great for shareholders, less so for privacy.
The Darlings Everyone’s Crushing On
Some stocks are getting more love than a golden retriever at a dog park. Qnity Electronics somehow managed a perfect 100% Buy rating – which either means they’ve cracked the code or analysts have collectively lost their minds.
The usual tech titans are also getting plenty of attention: Microsoft (98% Buy), Amazon (96% Buy), and Meta (92% Buy). Because nothing says “diversified portfolio” like betting on the same five companies that have been running the show for the past decade.
The Stocks Getting the Cold Shoulder
On the flip side, some companies are getting treated like that friend who always suggests splitting the check equally after ordering the lobster:
Expeditors International (44% Sell ratings): Logistics companies are apparently about as popular as airline food right now.
Consumer Staples sector: Only 44% Buy ratings overall. Apparently, analysts think people might stop buying toilet paper and cereal. Bold strategy.
The Reality Check
Here’s the thing about analyst ratings: they’re about as reliable as weather forecasts and twice as optimistic. These are the same folks who probably thought WeWork was a solid investment opportunity.
The smart money? Do your own homework. These ratings are more like suggestions from that friend who’s really confident about everything but wrong about half the time. Sure, tech might keep dominating, but remember when everyone thought Blockbuster was unstoppable too.
The market’s been on a three-year bull run since late 2022, which in investment terms is like being on a winning streak in Vegas – it feels great until it doesn’t. Maybe diversify beyond the “magnificent seven” and consider that sometimes the boring stocks your grandpa would buy actually make money too.