MarketMoodz
Goldman Names Undervalued Picks: O'Reilly, NetEase, Tradeweb, Liftoff
Goldman Sachs’ July research note named O'Reilly Automotive, NetEase, Tradeweb and Liftoff Mobile as undervalued stocks it believes have room to run, citing sector-specific catalysts and relative strength in select metrics. The recommendations span autos, gaming, trading platforms and ad-tech — but the note carries caveats about competitive risks and uncertainty in the underlying data.
Key Takeaways
- Goldman Sachs highlighted O'Reilly, NetEase, Tradeweb and Liftoff Mobile as undervalued in a July note.
- Kate McShane singled out O'Reilly for a more favorable near-term comp trend and stronger store positioning within a 5–10 mile radius versus peers.
- Lincoln Kong described NetEase as a non-AI-driven compounder with margin-expansion potential and a July game-launch catalyst; the stock fell more than 7% in 2026.
- Alexander Blostein upgraded Tradeweb to Buy from Neutral while flagging competitive pressures in Credit and long-term risks from tokenization of real-world assets.
- Goldman said Liftoff Mobile is well positioned to capture secular growth in in-app advertising, direct-response marketing and AI-based automation across ad-tech.
People Involved
- Kate McShaneGoldman Sachs analyst
- Lincoln KongGoldman Sachs analyst
- Alexander BlosteinGoldman Sachs analyst
Entities Involved
- Goldman SachsInvestment bank and research provider
- O'Reilly Automotive (ORLY)Auto-parts retailer — cited for favorable comps and store positioning
- NetEase (NTES)Chinese internet and gaming company — cited for margin expansion and a July game-launch catalyst
- Tradeweb Markets (TW)Electronic trading platform — upgraded to Buy amid concerns about revenue sustainability and tokenization risks
- Liftoff Mobile (LFTD)Mobile ad-tech company — positioned to benefit from in-app ad growth and AI-driven automation
MarketMoodz Analysis
Goldman’s selections map to a selective value rotation where investors favor cyclicals and established cash-generative franchises over momentum-driven names. For investors, the immediate takeaway is tactical: consider trimming broad momentum exposure in favor of targeted allocations to auto-parts, Chinese gaming, electronic trading platforms and ad-tech where specific catalysts — store-level comps for O'Reilly, a July game launch for NetEase, Tradeweb’s business mix recovery, and Liftoff’s ad-revenue tailwinds — could drive re-rating. Monitor valuation gaps versus peers and near-term catalysts; NetEase’s >7% drop in 2026, for example, frames a lower-risk entry if the game launch and margin story plays out.
The note also flags real risks investors must weigh. Tradeweb’s upgrade comes with warnings about tough year-over-year revenue comps, competitive pressure in Credit, and structural threats from tokenization of real-world assets — trends that could compress fees and volumes over time. Similarly, O'Reilly’s thesis hinges on store-level comp trends and local market share, metrics that can swing with macro-driven auto repair demand. Liftoff’s upside depends on sustained CPI for ad formats, direct-response ROI improving, and effective AI integration; ad-tech is volatile and sensitive to platform policy changes.
What to watch next: quarterly comp and same-store-sales reports for O'Reilly, NetEase’s game launch date and early monetization metrics, Tradeweb’s volume and revenue mix versus prior-year comps, and Liftoff’s revenue per user and AI-product rollout cadence. Also factor in macro variables — consumer spending, rates and China regulatory sentiment — that will determine whether these undervalued names convert into outperformers or remain value traps. Note that the CNBC summary cites Goldman’s July note but the underlying research details require direct verification; treat these as actionable ideas that merit further due diligence.
Source: Original Article