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House Education and Workforce Committee Republicans have released their plan to overhaul the country’s student loan and financial aid system.
Pell Grant eligibility would come with new requirements, and student loan borrowers could see their repayment plan options dwindle.

Chairman Tim Walberg, R-Mich., attends the House Education and Workforce Committee hearing on “The State of American Education” in the Ryaburn House Office Building on Wednesday, February 5, 2025.
Bill Clark | Cq-roll Call, Inc. | Getty Images

House Education and Workforce Committee Republicans have released their plan to overhaul the country’s student loan and financial aid system, calling for limits on student borrowing and a reduction to the repayment options for borrowers.
The GOP measure, known as the Student Success and Taxpayer Savings Plan, is aimed at helping Republicans pass President Donald Trump’s tax cuts.

“For decades Congress has responded to the student loan crisis by throwing more and more taxpayer dollars at the problem — never addressing the root causes of skyrocketing college costs,” committee Chairman Tim Walberg, R-Mich., said in a statement.
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The proposal immediately triggered warnings from consumer advocates, who said the measures would deepen the affordability crisis families already face in paying for college.
“The committee’s current proposal would severely restrict college access by slashing financial aid programs, eliminating basic consumer protections and making it harder to repay student loan debt,” said Sameer Gadkaree, president and CEO of The Institute for College Access & Success.
Here are some of the proposals in the Republicans’ legislation.

Caps on federal student loans

Under the proposal, undergraduate students would face a borrowing cap of $50,000 in federal student loans starting July 1, 2026, while graduate students couldn’t take out more than $100,000.
Current limits vary by factors including student status and year of schooling, but for many people, the caps will mean they can borrow less.
Those limits “will shift some borrowing to private student loans,” said higher education expert Mark Kantrowitz.
That’s a concern for Kantrowitz and other consumer advocates, who point out that private student loans come with far fewer borrower protections than federal student loans.

Fewer repayment plans, hardship protections

The GOP proposal would reduce the number of existing income-driven repayment plans for new federal student loan borrowers to just one. IDR plans aim to make monthly payments affordable for borrowers by capping the bills at a portion of their discretionary income.
More than 12 million people were enrolled in IDR plans as of September 2024, according to Kantrowitz.
It would also eliminate the unemployment deferment and economic hardship deferment for federal student loan borrowers, on debt taken out during or after July 2025.

More requirements to receive a Pell Grant

Full eligibility for Pell Grants would also require students to be enrolled at a minimum of 30 hours each academic year, up from the current requirement of 12 hours per semester.
The federal Pell Grant program, signed into law in 1965, is one of the largest sources of financial aid available to college students. More than 6 million undergraduate students received the grants in 2020. The maximum Pell Grant award is $7,395 for the 2025-26 award year.
Meanwhile, the grants would be expanded for short-term workforce training programs.

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This year, National College Decision Day is May 1.
When weighing the options, families should tap online tools, strategically maximize aid offers and carefully consider loan choices to come up with a plan that covers all four years of college, experts say.

Picking a college is a major decision, but figuring out how to pay for it is an even bigger commitment.
And with just a few days before National College Decision Day on May 1, many families are struggling to come to terms with both finding the “right-fit” school as well as wrestling with the sky-high cost and looming student debt balances. And all this while opportunities for federal loan forgiveness are dwindling.

“Choosing a school is a personal and individual decision,” said Chris Ebeling, head of student lending at Citizens Financial Group.
Academics, extracurriculars, campus culture and career services are key considerations, he said, but “it’s not just about the dream school and the academics and setting you up for the right career trajectory, it’s also about the cost — that is a real issue.”
To that end, experts share their best advice on how to frame your decision before choosing a school, including coming up with a plan for how to pay for it and factoring in financial aid.

Determine the net price of college

For starters, “no one should be committing to a school until they know that net price,” Ebeling said.
The net price is the total cost of attendance, including tuition and fees, minus grants, scholarships and education tax benefits, according to the College Board.

Even though the price tag for a college education has never been higher, nearly 75% of all undergraduates receive some type of financial aid, according to the National Center for Education Statistics, which can bring the cost significantly down. 
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Most colleges have a net price calculator on their websites to help students determine their out-of-pocket expenses. However, “some are better than others,” Ebeling said.
He recommends other online resources to get an even more accurate picture, such as MyinTuition or the College Board’s net price calculator.
“A good net price calculator would be within a few thousand dollars,” Ebeling said.
The net price can also vary greatly between schools.
“At Harvard, for example, the sticker price is very high, but the net price is very low,” Ebeling said.
Or, Ebeling added that “you could look at a state school where the sticker price is lower but they provide less assistance and the net price is higher.”
In fact, when it comes to offering financial assistance, private schools typically have more money to spend, other experts also say, and some are increasingly boosting their financial aid awards.

Factor in financial aid

For a majority of students and their families, financial aid is the most important factor in their decisions about choosing where to attend and how to pay the tab. But not all financial aid is equal either.
The amount of aid offered matters, as does the breakdown between grants, scholarships, work-study and student loans.

Once students fill out the Free Application for Federal Student Aid, which serves as the gateway to all federal money, they will receive their award letters.
In most packages, there are several financial aid options. The goal is to maximize gift aid — money that doesn’t need to be paid back, such as scholarships, fellowships and grants — and minimize loans that will need to be repaid with interest.
“There is a hierarchy of sources of funding,” Ebeling said. “The first, and most obvious, is the free money.”
But even with gift aid, it’s important to read the fine print, such as whether a grant is renewable for all four years or whether a minimum grade point average must be maintained. It’s worth noting that if a student fails to meet the terms, such as a grade point average requirement, they may have to repay some or all of a grant or scholarship.

Look for additional scholarship dollars

Beyond the college aid offer, there are still alternative sources for merit-based aid out there, according to Matt Lattman, a senior vice president at Discover.
“There are many different scholarships that can be based on talents and interests, membership in professional or social organizations, or even luck of the draw,” Lattman said. Some scholarships are annual, others per semester, and some even provide a monthly opportunity to earn money towards your education, he added.
Students can ask their high school counselor about opportunities or search websites such as Scholarships.com or the College Board.

Make a financial plan for all four years

Ebeling recommends coming up with a proactive plan to cover the entire four years of college from the outset. “You have to think about this in aggregate,” he said.

Considering that tuition adjustments average roughly 5% a year, if you know you are going to need to borrow, start with federal direct subsidized and unsubsidized loans, he said. “Generally those are the best loans out there.”
Still, it’s also never too late to fund a 529 college savings plan, which comes with added tax benefits and increased flexibility.
Plus, anyone can contribute — and for grandparents, there is also a new “loophole,” which allows them to pad a grandchild’s college fund without impacting their financial aid eligibility.
Most importantly, “every dollar saved is a dollar less you have to borrow later,” said Smitha Walling, head of Vanguard’s education savings group.
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The Trump administration dismissed the Consumer Financial Protection Bureau’s lawsuit against National Collegiate Student Loan Trusts.
The $2.25 million settlement between the government and trusts was expected to go to impacted private student loan borrowers.

U.S. President Donald Trump looks on, as he signs executive orders in the Oval Office at the White House in Washington, D.C., U.S., April 23, 2025.
Leah Millis | Reuters

The Trump administration has dismissed the federal government’s lawsuit against National Collegiate Student Loan Trusts, abandoning a $2.25 million proposed settlement that could have gone to harmed borrowers.
The Consumer Financial Protection Bureau filed a lawsuit in 2017 against the trusts, which it described as a group of 15 “securitization trusts organized under Delaware law that acquire, pool, and securitize student loans, which they then service.”

The CFPB accused the trusts of bringing improper debt collection lawsuits against private student loan borrowers, suing consumers for debts the trusts couldn’t prove were owed and attempting to collect on debts after when they were legally allowed to do so.
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The $2.25 million settlement between the government and the trusts was expected to go to impacted borrowers.
But the CFPB under President Donald Trump filed the voluntary dismissal last Friday.
The Trump administration has also moved to gut the CFPB, most recently attempting to terminate as many as 1,500 of the bureau’s 1,700 employees. A judge has stopped those cuts.

In February, the CFPB also dismissed its lawsuit against the Pennsylvania Higher Education Assistance Agency. The bureau sued the student loan servicer in 2024, accusing it of illegally collecting on student debts that borrowers had discharged in bankruptcy and sending false information to credit reporting companies.
The CFPB and White House did not respond to a request for comment. Neither did the Pennsylvania Higher Education Assistance Agency or counsel for the National Collegiate Student Loan Trusts.

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Thousands of international students whose immigration status was revoked by the Department of Homeland Security had their standing restored last week.
However, the Trump Administration’s sudden change in policy is causing some international college applicants to rethink their plans for next year and whether they want to study in the U.S. at all, college experts say.
One private college consultant with clients all over the world said there has been an uptick in interest in Canada and the U.K.

The Department of Homeland Security restored the legal status of thousands of international students who had their visas revoked, according to reports Friday.
College experts largely applauded the move, which was prompted by court challenges and lawsuits filed by affected students and their lawyers, as a win for students and higher education overall, but the gains could be short lived.

The Trump Administration’s sudden change in policy, however, is causing some international college applicants to rethink their plans for next year and whether they want to study in the U.S. at all, college experts now say.
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“Overall, this is a very positive development,” according to Robert Franek, editor-in-chief of The Princeton Review. It provides needed clarity for international students who have until Thursday, May 1, which is National College Decision Day — the deadline most schools set to choose which institution they will attend in the fall, he said.
For colleges and universities, “international enrollment is an incredible value in the classroom,” Franek said. To that end, college administrators remain highly focused on “having students with different experiences and a number of different voices represented,” he said.
But international student enrollment is also an important source of revenue for U.S. colleges and universities, which is why schools need a contingent of foreign students, who typically pay full tuition, Franek added. This financial reliance makes them a critical component of the higher education system, experts say.

However, because of the U.S. government’s recent changes to the student visa policy, which deactivated and then reactivated the immigration status of thousands of students, “there are a number of international students admitted to great colleges and really skeptical about whether they will come,” Franek said of plans for the fall of 2025.

‘Uncertainty is not good for long-term planning’

One private college consultant, who works with a large share of families from abroad, said he has already seen a shift in priorities among college-bound clients, fueled by nervousness about further policy changes.
“There’s so much uncertainty and uncertainty is not good for long-term planning,” said Hafeez Lakhani, founder and president of Lakhani Coaching in New York. 
Lakhani explained that he is working with families to “evaluate the risk” ahead of the enrollment deadline. Other high schoolers a year or more away from applying to college are rethinking their plans altogether, he said.
“We are already seeing some international students showing more interest in Canada and the U.K. — and it’s to those other countries’ benefit in terms of recruiting talent and tuition dollars,” Lakhani said.

International students are ‘economically advantageous’

There are more than 1.1 million international undergraduate and graduate students in the U.S., mostly from India and China, making up slightly less than 6% of the total U.S. higher education population, according to the latest Open Doors data, released by the U.S. Department of State and the Institute of International Education.
In the 2023-24 academic year, the U.S. hosted a record number of students from abroad, marking a 7% increase from the previous year. India surpassed China as the top sending country, with India sending more than 330,000 students. 
Altogether, international student enrollment contributed $43.8 billion to the U.S. economy in 2023-24, according to a separate report by NAFSA: Association of International Educators.
“Foreign students present a unique challenge for the Trump administration’s hardline immigration policy efforts,” said Christopher Rim, president and CEO of college consulting firm Command Education.
“On the one hand, international students account for a large portion of foreign residents in the U.S., and some of the most politically outspoken,” Rims said. “However, they are among the most economically advantageous, as well.”

But according to Rim, who also works with clients all over the world, the U.S. is still the main choice among college-bound students applying to top-ranked institutions, and that is unlikely to change overnight.
“I was in Hong Kong last week speaking to a packed audience of hundreds of students and parents about Ivy League and top-tier U.S. college admissions for expat and international families,” Rim said Monday.
“Despite global shifts, distinct and affluent families remain deeply eager to send their children to the United States for higher education,” he explained. “They continue to recognize the U.S. as home to the world’s leading universities.” More

U.S. investors have withdrawn money from ESG funds for 10 consecutive quarters, according to Morningstar.
The exodus is partly attributable to President Donald Trump’s antipathy for policies tied to climate change and DEI initiatives, experts said. Higher interest rates have also posed a headwind.
Demand for “environmental, social and governance” funds is here to stay, analysts argue. ESG enjoys support among certain states and investors, and stands to deliver higher long-term returns, they said.

US President Donald Trump holds letter to the UN stating the US withdrawal from the Paris Agreement during the inaugural parade inside Capital One Arena, in Washington, DC, on January 20, 2025.
Jim Watson | Afp | Getty Images

Investors have continued to pull money from so-called ESG funds in early 2025 amid an “intensifying” backlash fueled by President Trump’s “anti-climate agenda” and his administration’s policies targeting diversity, equity and inclusion initiatives, according to a new Morningstar report.
Also known as socially responsible, sustainable, impact or values-based investing, “environmental, social and governance” funds let people invest according to certain values like climate change or corporate diversity.

Investors withdrew $6.1 billion from ESG funds in the first three months of 2025, after yanking out $4.3 billion in Q4 2024, according to Morningstar.
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The exodus in Q1 marked the 10th consecutive quarter of outflows.
“The continued loss of appetite among US investors for sustainable funds can be partly attributed to an anti-ESG backlash, which has intensified since the return of President Trump to the White House,” according to the report.
As of the end of Q1, U.S. investors held $330 billion in ESG funds, about 10% of the global total.

Pushback against climate, DEI policies

Yaorusheng | Moment | Getty Images

Even before Trump took office, persistently high interest rates weighed on performance in segments of the ESG market, like clean energy and other “green” stocks, according to Morningstar. Higher borrowing costs burden the renewables sector because the projects can be capital-intensive.
But Trump added additional pressure.
Within days of his inauguration, Trump announced the U.S. would withdraw from the Paris agreement, blocked subsidies for electric vehicles, pushed for more fossil-fuel production and started a “huge pushback” against DEI policies, Diana Iovanel, a senior markets economist at Capital Economics, wrote in a research note in March.

In late March, the Republican-led Securities and Exchange Commission stopped defending a climate-change disclosure rule in court. There’s also uncertainty about the fate of the Inflation Reduction Act, a historic climate change mitigation law signed by President Joe Biden.
Even before Trump’s second term began, at least 18 Republican-led states had adopted “anti-ESG legislation,” prompting some large asset managers to “pare back” their ESG efforts, Iovanel wrote.
Trump also signed an executive order to eliminate all DEI-related mandates and programs within the federal government, prompting major corporations like Walmart (WMT), Lowe’s (LOW) and Meta (META) to begin “scaling back their DEI commitments,” Morningstar wrote.

Why Trump isn’t ‘game over’ for ESG

Despite the headwinds, Trump’s agenda “isn’t ‘game over’ for ESG investing,” Iovanel wrote.
Demand for ESG investments “is here to stay” even in the face of political pressure, she wrote.
For one, despite Republican antipathy for ESG investing, it also has ample support, Iovanel wrote. States such as California have implemented pro-ESG regulations, and surveys indicate most large asset managers (including ones in the U.S.) invest in ESG assets despite the apparent controversy, she wrote.
Demand among individual investors also appears relatively high, especially among younger investors, analysts said.
About 84% of individual investors in the U.S. are interested in sustainable investing, according to a 2024 Morgan Stanley survey. Roughly two thirds, 65%, of respondents said their interest had increased in the prior two years.

While critics deride it as “woke” capitalism, advocates say there’s a strong investment thesis for ESG.
Specifically, they argue that ESG investing positions investors for higher long-term returns because companies that adopt such practices are poised to be more resilient, and therefore more successful, than peers. More

A 2024 analysis from Bain & Company projects that private market assets could tally $60 trillion to $65 trillion globally by 2032.
But retail investors should approach private equity opportunities with caution, writes Jonathan Foster, president and CEO at Angeles Wealth Management.
“Retail investors may find it challenging to navigate the full range of complexities that can accompany investment in private equity,” he writes.

Private equity has historically been the playground of institutional investors, pensions, endowments and accredited investors — a group that includes high-net-worth and ultra-high-net-worth individuals, banks, financial firms and trusts. These investors are usually deemed financially sophisticated, capable of handling the risks and illiquidity inherent in long-term private market investments.
However, a recent push by the Securities and Exchange Commission to broaden the definition of an “accredited investor” has opened the door for retail investors to access PE.

This shift raises important questions: Are retail investors adequately prepared to take on the complexities and risks that come with investing in private equity? Do they understand that they may simply be targeted to fill capacity, often receiving fewer desirable opportunities compared to institutional players? 

A rush to private markets

Alvaro Gonzalez | Moment | Getty Images

The allure of private equity is considerable. A 2024 analysis from Bain & Company projects that private market assets will grow at more than twice the rate of public assets, reaching $60 trillion to $65 trillion globally by 2032. This explosive growth has understandably sparked a wave of interest among retail investors, many of whom are drawn to the promise of diversification and higher returns, especially after the volatility of traditional markets that occurred in 2022. 
However, the democratization of private equity comes with significant caveats.
Retail investors are often seen as a source of capacity for PE firms, providing capital that more sophisticated institutional investors may shun. These opportunities, frequently offered through vehicles like interval funds, are structured to mimic traditional mutual funds but with limited liquidity — often allowing withdrawals only quarterly, sometimes capping or suspending them entirely. While these structures may offer access to private markets, they often lack the exclusivity and prime opportunities reserved for institutional investors. 
Moreover, retail investors may find it challenging to navigate the full range of complexities that can accompany investment in private equity. Unlike public markets, private equity often operates in an opaque environment, with no requirement to disclose financials, operations or liabilities. This lack of transparency can leave retail investors in the dark about the true risks and performance of their investments.

Additionally, the illiquid nature of these non-correlated assets means investors may be prepared to wait years for an exit, with no guarantee of returns. What happens if a retail investor needs to liquidate their position during a market downturn? The options are limited, and the consequences can be severe.

The risk of FOMO

The fear of missing out on alternative investments like private equity can be a powerful motivator, but it can also lead to poor decision-making. Retail investors may not fully appreciate the nuances of private equity, such as the higher fees, longer lock-up periods and limited liquidity. They may also underestimate the risks associated with investing in an industry that thrives on exclusivity and general sophistication. 
While institutional investors typically have the resources to conduct thorough due diligence and the ability to negotiate favorable terms, retail investors often rely on intermediaries who may not have their best interests at heart. This dynamic can result in retail investors being offered lower-tier opportunities, such as co-investments, or funds-of-funds, which may not deliver the same returns as direct investments in top-tier private equity funds. 

Further, the lack of regulatory oversight in private equity means retail investors must rely on their own judgment and the credibility of the firms they invest in. This can be a tall order for individuals without deep expertise or experience in what has historically shown itself to be a complex and opaque industry. 

Proceed with caution

The democratization of private equity is a double-edged sword. While it offers retail investors access to an asset class previously reserved for the wealthy and institutional players, it also exposes them to significant risks and complexities. The truth about private equity is that it is not a one-size-fits-all solution. It requires patience, expertise and a high tolerance for risk — attributes that may not align with every retail investor’s profile or objectives. 

As the rush to private markets continues, maintaining a healthy skepticism is essential. Retail investors must ask themselves whether they are truly prepared for the complexities of private equity. Are they willing to accept the illiquidity, opacity and potential for lower-tier opportunities? Or are they being lured by the promise of higher returns without fully understanding the risks? 
Only time will tell how the democratization of private equity will play out. In the meantime, retail investors should approach PE opportunities with caution, seeking advice from trusted financial professionals while carefully weighing the potential rewards versus the risks.
Jonathan Foster is president and CEO at Angeles Wealth Management. More

May 7 is the deadline for U.S. air travelers to have a Real ID — an upgraded driver’s license or state identification card issued by a state agency.
Travelers who don’t have a Real ID can use a valid U.S. passport, passport card, permanent resident card, or certain Department of Homeland Security trusted traveler cards.
About 19% of Americans don’t have a form of identification that will substitute for a Real ID, however, according to TSA data.

Hinterhaus Productions | Digitalvision | Getty Images

The deadline for U.S. travelers to get a Real ID is fast approaching — and those who don’t have one may not be able to board flights within the U.S.
The Real ID card is an optional, upgraded driver’s license or state identification card that is issued by a state driver’s licensing agency and marked with a star.

The good news: There are other forms of identification U.S. travelers can use — such as a valid U.S. passport, passport card, permanent resident card, or certain Department of Homeland Security trusted traveler cards — if they can’t get a Real ID by the deadline, May 7.
“There are workarounds people can use,” said John Breyault, a travel expert at the National Consumers League, a consumer advocacy group. “Most people already have the ability to travel, whether they have a Real ID or not.”
About 19% of travelers don’t yet have a Real ID-compliant type of identification, according to Transportation Security Administration data as of Thursday.
Passengers who arrive at the airport without an acceptable form of ID “can expect to face delays, additional screening and the possibility of not being permitted into the security checkpoint,” according to the TSA.
Even passengers who have a Real ID card or other acceptable ID should aim to be at the airport at least 1½ hours ahead of their flight, due to likely delays in airport security lines as enforcement gets underway, Breyault said.

What is the Real ID law?

Congress passed the Real ID Act in 2005. The law set minimum security standards for state-issued driver’s licenses and ID cards.
The federal government will require Americans who access federal facilities to have a Real ID starting May 7. That includes travelers who go through TSA airport security checkpoints and board commercial airplanes, even for domestic flights.
The rule applies to all airline passengers 18 years and older, including TSA PreCheck members.

How to get around the Real ID rule

Travelers can skirt the requirement to present a Real ID card if they have other types of approved identification.
Experts said the most common among them are: a passport or passport card; a Global Entry card; an enhanced driver’s license issued by Washington state, Michigan, Minnesota, New York or Vermont; or a permanent resident card, also known as a green card.
Here’s a list of all acceptable alternatives, according to the TSA:

State-issued enhanced driver’s license
U.S. passport
U.S. passport card
Department of Homeland Security-issued trusted traveler cards (Global Entry, NEXUS, SENTRI, FAST)
U.S. Department of Defense ID, including IDs issued to dependents
Permanent resident card
Border crossing card
An acceptable photo ID issued by a federally recognized Tribal Nation/Indian Tribe, including Enhanced Tribal Cards (ETCs).
HSPD-12 PIV card
Foreign government-issued passport
Canadian provincial driver’s license or Indian and Northern Affairs Canada card
Transportation worker identification credential
U.S. Citizenship and Immigration Services Employment Authorization Card (I-766)
U.S. Merchant Mariner Credential
Veteran Health Identification Card (VHIC)

‘Get that Real ID’

It may be somewhat riskier to travel with an alternative document such as a passport for domestic flights, said Sally French, a travel expert at NerdWallet.
“A passport is much more complicated to replace than a driver’s license, and it’s more expensive,” French said. “Get that Real ID.”
A traditional passport book costs $130 to renew. Real ID fees vary by state but are generally less costly, experts said. They typically aren’t more expensive than a standard driver’s license.
For example, in California it costs $45 to renew a standard driver’s license or $39 to renew a regular ID card; in Virginia, there’s a $10 one-time Real ID fee, plus a driver’s license fee, usually $32.
Desperate travelers can also gamble by showing up at the airport without a Real ID-compliant form of identification on May 7 and beyond, and hope airport agents show some mercy, French said.
It’s a “much longer screening” process and isn’t guaranteed, French said. It’s a “Hail Mary,” she said. More

Ticker seen at Charles Schwab headquarters located on 211 Main St. seen on Monday, Nov. 25, 2019, in San Francisco, Calif. (Photo By Liz Hafalia/The San Francisco Chronicle via Getty Images)
Liz Hafalia | The San Francisco Chronicle via Getty Images

Global stock markets continue to be volatile, influenced by the news around wavering tariffs and trade tensions. While the Trump administration’s relaxation of certain tariffs could provide some relief, the ongoing uncertainties and macro challenges might continue to weigh on investor sentiment.
Given this scenario, investors can take cues from the recommendations of top analysts and pick some attractive stocks that have the ability to thrive despite short-term headwinds.

With that in mind, here are three stocks favored by the Street’s top pros, according to TipRanks, a platform that ranks analysts based on their past performance.

Charles Schwab

First on this week’s list is financial services company Charles Schwab (SCHW), which offers a wide range of brokerage, banking, and advisory services through its operating subsidiaries. On April 17, the company announced better-than-expected revenue and earnings for the first quarter of 2025.
Following the upbeat results and a positive conference call, TD Cowen analyst William Katz raised his 2024-2026 earnings estimates. He also reaffirmed a buy rating on Charles Schwab stock and increased his price target to $95 from $88, saying, “SCHW remains our top pick.”
Katz noted that management’s commentary was essentially bullish, highlighting positives like solid momentum in new business trends/demographics and operating leverage. He added that April started on a robust note for the company, thanks to strong trading, continued rise in client cash, relatively durable client margin balances, and likely solid net new assets (NNAs).
The analyst believes that despite positive EPS revisions and ongoing market volatility, his model is still conservative when it comes to key drivers like NNAs/client cash.

Katz sees the possibility for additional P/E multiple expansion, driven by robust/more consistent management execution, favorable organic growth dynamics, notable operating leverage, and rapid improvement in balance sheet flexibility.
Katz ranks No. 323 among more than 9,400 analysts tracked by TipRanks. His ratings have been profitable 58% of the time, delivering an average return of 10.2%. See Charles Schwab Financials on TipRanks.

Netflix

Next up is streaming giant Netflix (NFLX), which recently posted a significant earnings beat for the first quarter of 2025. Higher-than-expected subscriptions and ad dollars helped boost revenue and earnings in the quarter.
Impressed by the Q1 print, JPMorgan analyst Doug Anmuth reiterated a buy rating on NFLX stock and raised the price target to $1,150 from $1,025. “NFLX continues to play offense in its business, while the stock remains defensive in the uncertain environment,” said the analyst.
Anmuth noted that on the offensive side, Netflix offered solid content in Q1 2025, with “Adolescence” and three films breaking into the streaming platform’s all-time most popular list. He added that the company is strategically raising prices, including the recently announced increase in France and the upcoming hikes in the U.S. and U.K. Another positive highlighted by Anmuth was the rise in Netflix’s advertising business, supported by growing user scale and monetization.
On the defensive side, the analyst pointed out Netflix’s subscription-based model, low churn, strong engagement and high entertainment value. Its low-priced ad tier ($7.99/month in the U.S.) also makes the service very accessible. While Netflix is not directly hit by tariffs, Anmuth noted that the company’s shareholder letter and interview highlighted its commitment to international programming and production in Latin America, Asia, Europe, and the U.K.
Overall, Anmuth is bullish on Netflix stock due to several positives, including the expectation of double-digit revenue growth in 2025 and 2026, a continued rise in operating margin despite growth investments, and a dominant position in the streaming space.
Anmuth ranks No. 81 among more than 9,400 analysts tracked by TipRanks. His ratings have been successful 59% of the time, delivering an average return of 18.3%. See Netflix Hedge Fund Trading Activity on TipRanks.

Verra Mobility

Finally, let’s look at Verra Mobility (VRRM), a provider of smart transportation solutions like integrated technology to help customers manage tolls, violations, and vehicle registrations and school zone traffic cameras.
Recently, Baird analyst David Koning upgraded Verra Mobility stock to buy from hold with a price target of $27. The analyst highlighted the company’s solid market position. He finds a tough macro environment as a good time to upgrade the stock, because he views “high-quality companies as less pressured by investors during tougher/uncertain times.”
While Koning acknowledged the potential impact of macro pressures on travel volumes, he is bullish on Verra Mobility due to its strong moat. Specifically, the analyst noted the solid position of the company’s Commercial unit via its rental vehicle toll transponders and the moat in its Government unit through products like speed/red light/school zone cameras.
Additionally, Koning emphasized the renewal of the New York City (NYC) contract, which accounts for nearly 16% of Verra Mobility’s total revenue. The analyst also thinks that states/municipalities may require more cameras during a challenging macro environment to drive more ticket revenue.
Koning expects Verra’s EPS estimates to be largely intact in a market where the earnings estimates of many companies could be lowered. At a valuation of 15x the 2026 EPS estimate, the analyst finds Verra stock attractive, given that it is a high-moat business.
Koning ranks No. 232 among more than 9,400 analysts tracked by TipRanks. His ratings have been profitable 55% of the time, delivering an average return of 13.2%. See Verra Mobility Ownership Structure on TipRanks. More