Josh Brown’s Stock Predictions: Breakouts Ahead for 3M and EOG Resources

As the financial markets continue to fluctuate, savvy investors need to keep their eyes peeled on the latest breakout candidates. Josh Brown, the CEO of Ritholtz Wealth Management, recently shared his thoughts on two stocks that he believes have high breakout potential: 3M Inc (NYSE: MMM) and EOG Resources Inc (NYSE: EOG). Here’s an in-depth look at these two companies and the factors driving their upside momentum as we head into 2025.

3M Inc (NYSE: MMM): Ready to Break Free

3M has long been a staple in industrials, and it seems that after months of consolidation, the stock is setting itself up for a significant move. Currently, the stock has been trapped in a trading range since September, with the upper boundary getting increasingly tantalizing. According to Josh Brown, the Relative Strength Index (RSI) is relatively cool, indicating that 3M is not in an overbought condition just yet. This implies that a breakout might be on the horizon.

But what makes 3M worth considering at this juncture? For starters, the company has returned to positive organic revenue growth, and its CEO, William Brown, noted that this momentum is expected to carry into 2025. This growth potential has not gone unnoticed on Wall Street, with UBS analysts giving the stock a buy rating and setting a price target of $184, which indicates a potential upside of more than 25% from current levels. Moreover, the stock’s attractive dividend yield of 1.99% adds another layer of appeal for investors looking to capture both growth and income.

EOG Resources Inc (NYSE: EOG): Energy Sector Awakening

Now let’s pivot to EOG Resources. While EOG’s share price is hovering around the levels seen back in 2022, Brown believes the company is positioned for breakout glory as the energy sector shows signs of reawakening. The stock is at a crucial juncture where pushing through the $135 resistance level could set the stage for a swift ascent. In Brown’s words during the recent Halftime Report, success in crossing this threshold would mean no significant resistance ahead.

Financial health is another compelling story for EOG. The company is expected to release its fourth-quarter earnings report soon, with a consensus estimate of earnings coming in at $2.55 per share, reflecting a vigorous 20% year-over-year increase. The sentiment on Wall Street aligns with Brown’s bullish outlook, as the consensus rating on EOG is “overweight,” accompanied by an average price target of $148, which suggests about a 13% potential upside. Plus, EOG has a robust dividend yield of 2.97%, making it a veteran in both returns and income.

Conclusion: Watch These Stocks Like a Hawk

Both 3M and EOG are capturing the attentions of investors and analysts alike, with high potential upside on the table. With technical indicators suggesting that these stocks are primed for a breakout and solid fundamentals driving their reviews, now may be the perfect time to consider adding them to your investment portfolio. As always, keep your risk management strategies firm but stay alert for those potential breakout opportunities that can lead to impressive gains.

In conclusion, whether it’s the diversified range of 3M or the energy resurgence symbolized by EOG Resources, traders should remain vigilant. Get ready to seize these upcoming opportunities and sharpen your focus; it looks like 2025 may hold some exciting prospects for both of these companies!