Top Stock Picks for Week of September 7, 2026

Stocks our strategists feel are poised to  deliver positive returns are featured now in   their top stock picks of the week. Okay, welcome  everyone to the top stock picks for September 8th,   2026. My name is Andrew Roco. I'm a stock  strategist at Zach Investment Research. I also   do manage the technology innovators portfolio.  So, uh, let's jump right into my top stock,   which is one that I've covered in the past and  I remain a full on the stock. Full disclosure,   I own this in my personal portfolio. We also  own it in the tech innovators portfolio. And   that stock is Bloom Energy, ticker symbol BE.  It's a Zach's rank number one strong buy. And   Bloom Energy designs, manufactures, and installs  on-site power generators that convert natural gas,   bio gas, or hydrogen into electricity through  an electrochemical process without combustion.   And that's a key part of this. Uh so it provides  on-site energy to these data centers. It does it   in an environmentally uh conscious way without the  combustion. And that's through its combustion free   balloon boxes is what they call them. Uh it's  uniquely able to generate electricity without   burning fuel, creating power through chemistry  and delivering far higher power and efficiency   for lower emissions than uh traditional  power sources. So they really have a unique   uh way of generating uh energy. And why that's  so important uh particularly at this point in   time is that we are in the biggest buildout uh  in history or at least going back to the railroad   uh as far as data centers and mega projects  go. So when it comes to energy and AI,   there's probably not another human on Earth  is more knowledgeable about the intersection   of those two than Elon Musk. Uh and at a recent  G20 speech, Elon Musk described how there is a   crisis of power. And what Musk said is there is a  crisis of power. There will be a significant power   shortfall next year. So this is not something way  in the distant future. uh Musk continued that the   consensus estimate is there will be 15 gawatt  power shortfall in 2027 for AI chips. Obviously,   if you make the AI companies compete for power  electricity with local residents and plug into   the grid uh the grid, that could cause electricity  prices to go up. But if you allow them to generate   their own power, and that's the key part right  here, generate their own power, then they will   not only generate what they need, they can do  so uh behind the meter and they can actually   contribute excess back to the grid. So that's  exactly what's going to happen. If there are   not companies like Bloom Energy that are allowing  these data centers to uh create their own energy,   it's going to create a spike in electricity  prices. It's going to cause a lot of backlash uh   from the local, you know, from from local voters  and there's going to be a ton of push back. So   the AI companies don't want this and the general  public doesn't want these hyperscalers connecting   to the grid and that's exactly where Bloom Energy  comes in and they solve a really important problem   here. So let's discuss why Bloom Energy is one  of Wall Street's best growth stories. Um Bloom   Energy is one of the fastest growing companies  on Wall Street. So for perspective, in 2022,   the company generated 1.2 billion in revenue. In  Q2 2026 alone, Bloom did 1.065 billion. Uh so now   they're doing in a quarter what they were doing in  a year just a couple years ago, just to show you   how fast they're growing. uh and they've been able  to break the expectations of Wall Street analysts,   which is one of the main things that we follow  and track here at Sax Investment Research. Uh it's   still being dramatically underrated by Wall Street  analysts. In fact, over the past few quarters   or four quarters, Bloom has delivered an average  earnings surprise of 164%. So that's something you   don't see every day. Uh even though Wall Street's  catching on to the fact that they're growing fast,   they're still not able to catch up with  how fast this company is growing. And then   uh this is a disclosure and it's showing that  Nancy Pelosi, who actually has a track record,   whether you like her or not, that is almost as  good as Warren Buffett's for the amount of time   her and her husband have been invested in the  market. Um, it just shows you that politicians   enjoy information that the general public does  not. And although it's impossible for us to get   our hands on that information, investors can track  these disclosures, piggyback those trades. So,   uh, in August, Nancy Pelosi disclosed that she  owns 15,000 shares of BE valued at more than   $10 million. And here is a chart on be. This is  a daily chart. So it did gap up today. Uh and   we'll discuss why in a second. But here is a daily  chart. And you see this nice multi-month downtrend   line that it recaptured. It also recaptured the  50-day moving average on heavy volume signaling   a return of strong demand for shares. And then  finally, uh, as of Friday after the close,   Bloom Energy was added to the S&P 500 index.  And why is this bullish for the company? Because   these massive funds like Vanguard, Black Rockck,  State Street that manage trillions and trillions   of dollars of passive funds, they'll be forced to  buy shares of Bloom Energy. This will also lead to   more coverage on Wall Street for the stock and  it will add to the liquidity uh which I always   look at liquidity as a positive. I in fact I only  trade highly liquid stocks because they tend let's   say bad news comes out it tends to um get bought  up a lot quicker than something that is illquid.   Uh so for those reasons, I'm very bullish on Bloom  Energy here into year end. Uh and that wraps it up   for my segment. Now I'm going to toss it over  to my colleague Dave Bartoziaak who will cover   his top stock. Thank you very much. All right,  thanks for that top stock pick of the week. I've   got another one here. This one happens to be in  surprise trader. That's right. We knocked it out   of the park on this one. It is Abbercrombian and  Fitch, ticker ANF. As always, I uh start off by   taking a look at our detailed estimates page here  on Zack. Zach's rank number one strong buy. We   have a Zach's value style score of B, growth of B,  and momentum of A to help it round out with a VGM   composite score of A. The retail, apparel, and  shoes industry is in the top 26% of our Zach's   industry rank. Uh things are going pretty well  here. Just looking at this topline growth. 4.6%   topline growth for this year accelerating to 4.8%  next year. That in and of itself doesn't look all   that fantastic. But when you start taking it in  the greater context of things, it makes makes   it seem better. So earnings 12.6% earnings growth  for the current year, 10.67 for next year. Here's   where you can see the impact of that last earnings  report. You got two analysts up in the Annie for   the current year, five for next year to get up  to these exact consensus estimate numbers. So   at that 1230 for the year, you're looking at  a forward PE of 13.47 times. Compare that to   the S&P 500 up at 22.49 times. It is a little bit  less than that industry average. And I think part   of that is because there's a lot of companies in  this industry that are shrinking. This is not one   of them. These guys have successfully broken out  of the mold of all these retailers coming under   pressure and just losing to the likes of Amazon.  They've got a little different story here. So,   take a look at this last earning surprise. A 47  beat with earnings coming in at $247 uh 42 per   share. Record Q2 net sales of 1.27 27 billion  was up 5% year-over-year and it was the 15th   consecutive quarter of growth for Abbercrombie  and Fitch. Now they have Abberrombi and then   they also have Hollister. If you're looking  at these two companies over last quarter,   Abberrombie brands were up 8% year-over-year with  Hollister up 2%. So you got some nice moves there.   But take a look this this company has a history  of these earnings beats and we're going to look   at that in a little bit more detail in just  a second. But the point here is that they're   doing well. They've guided their Q3 sales up 5  to 6% with EPS in the range of 290 to 320. Uh   so things are all going well. Hollister's target  partnership is going pretty well. They expanded   their NFL official fashion partnership to all 32  teams. So things are looking good over here at   uh Abberrombie and Fitch. One quick little thing  I want to do for you guys here is take a look at   the price consensus and EPS surprise chart on  zach.com which is my favorite chart as you all   know and here you can see so much information  just in a quick little snapshot. So the left   axis here is the EPS that is represented by these  multicolored lines. You can see the evolution of   that Zach consensus estimate over time. The right  yaxis over here is the stock's price and the black   line corresponds to that. So you can see, I mean,  this is one of the clearest depictions of why   earnings matter. You can see when these estimates  go up, that's when the stock inevitably goes up.   And then when the estimates come down, that's when  the stock comes down. However, you get these areas   where stock is coming down and earnings maybe  ticking a little bit lower, but they haven't   really gotten all that bad. And so I like to  call this move, this gap, this is a divergence   between the stock price and earnings. And that  usually spells an opportunity. In retrospect,   you had great opportunities with Abberrop and Fish  down under 80 as these earnings were starting to   tick on up. But now we're back up over, you know,  over 140 here. They're still shy of those 2024   highs over 180 even though earnings estimates are  higher than they were. So that's a good thing.   And look at management just consistently knocking  it out of the park recently. We've got several   earnings beats in a row. The last time we had  a miss was back Q3 2022. Well, that was for the   Q2 report back in 2022. Didn't have that problem  this time around. So, overall things are looking   pretty good over at Abberrom and Fitch. They've  got the great momentum going with Hollister.   Everything's looking like it's moving in the right  direction and things should continue to be pretty   good over there. All right, folks. That's all we  have for you on our top stock pick of the week. I   want to thank you so much for checking it out and  be sure to go to zach.com/promo for this week's   hot deal. Again, for everybody here at Zachs, I  want to say thank you and we'll see you next week.