Goldman Sachs has recently identified its top global stock picks for December, spotlighting five companies anticipated to have significant growth potential, with expected upsides of 70% or more. These selections reflect a strategic analysis of emerging trends in technology, consumer behavior, and geopolitical dynamics.
One of the highlighted companies is Horizon Robotics, a Chinese firm specializing in autonomous vehicle technology. Goldman anticipates a remarkable 94% upside for the company, driven by enhancements in its product lineup aimed at meeting the increasing demand for advanced smart-driving solutions. Analysts project Horizon Robotics’ shares could reach 15.30 Hong Kong dollars ($1.97) within a year, primarily due to an assessment of competitors and expected growth in operational profits. However, the firm has noted potential risks, including intense competition and pricing pressures in the automotive supply chain, as well as the looming threat of geopolitical tensions impacting supply chains. Year-to-date, Horizon Robotics’ stock has already surged by 130%, with attention focused on its forthcoming J6P chip and associated driving assistance software.
Goldman also favors Taiwanese technology giant Hon Hai, forecasting a 77% growth potential stemming from its advancements in AI servers and smartphones. The firm values Hon Hai at 21 times earnings, aiming for a 12-month price target of 400 New Taiwan Dollars. While the company has seen its stock rise over 24% this year, analysts caution that underperformance in its AI and electric vehicle sectors, along with escalating competition in consumer electronics, could pose significant risks to its profit trajectory.
Moreover, Goldman Sachs has raised its outlook for Zalando, a leading German online retailer. Initially projected for a 77% upside, analysts now estimate the potential upside for Zalando at an impressive 90%. This optimism follows the completion of Zalando’s acquisition of About You, which is viewed as a crucial factor in the company’s growth. Despite a decline of 26% in its stock price year-to-date, analysts remain bullish, expecting a strong revenue performance and significant earnings growth over the next five years.
The investment bank has also highlighted MakeMyTrip, an Indian-based online travel agency, forecasting a 72% upside for the company. Goldman has assigned a buy rating, setting a 12-month price target of $123 based on expected future cash flows and potential mergers and acquisitions. However, risks such as fluctuating travel demand, rising competition, and capital allocation inefficiencies could impact its performance. MakeMyTrip’s shares have significantly decreased by 37% this year, and investors are keenly awaiting the firm’s third-quarter earnings report for the 2026 fiscal year, expected in January.
Finally, British finance firm Wise is characterized as a “long-term cross-border payments winner,” with a potential upside of 70%. Despite a recent decline in its value following a earnings report that prompted concerns over rising operational expenses, analysts maintain a positive outlook on Wise’s growth possibilities. Its stock is down 20% year-to-date, and upcoming financial updates are highly anticipated by investors looking to gauge the company’s trajectory amid market challenges.
Goldman Sachs’s analysis suggests a cautious yet optimistic view regarding these top stock picks, with substantial growth potential shadowed by inherent risks stemming from competition, economic fluctuations, and geopolitical issues.
