As the Nasdaq Composite continues to reach record highs, investors are on the lookout for stocks with significant upside potential. According to certain Wall Street analysts, two Nasdaq stocks could soar as much as 115% in 2025. Let's take a closer look at these promising growth opportunities.



Sirius XM Holdings (SIRI): Implied upside of 59%
The first Nasdaq stock with significant potential upside is Sirius XM Holdings (SIRI). The company dominates satellite radio services in North America, with 34 million paying subscribers. Its customer base jumps to 150 million when you include its ad-supported Pandora music streaming service, so its audience is unmatched. However, the recent economic downturn and a complicated merger took a toll. Decades-high inflation forced cash-strapped consumers to make difficult choices with their limited disposable income. Some, understandably, chose to let their SiriusXM subscription lapse. There was also a fundamental misunderstanding of its recent merger, the reverse stock split, and the resulting complicated accounting transactions, which weighed on its results. These combined to drag the stock down 51% so far this year -- but things aren't as bad as they might seem at first glance.

In the third quarter, Sirius' revenue slipped 4% year over year to $2.17 billion while reporting a loss per share of $8.74, compared to diluted EPS of $0.82 in the prior year quarter -- but that needs context. The company took a one-time, non-cash impairment charge of $3.36 billion to goodwill related to its acquisition of Liberty Sirius XM tracking stock. Had it not been for that one-time charge, Sirius would have delivered EPS of roughly $1.17, an increase of 43%. At the same time, paid subscribers increased by 14,000, resulting from lower churn. Paid promotional subscribers, which declined by 114,000 as automakers transitioned to shorter or unpaid plans, further weighed on the results.

Some on Wall Street believe the selling has simply gone too far. Included among their ranks is Benchmark analyst Matthew Harrigan. He maintains a buy rating on Sirius XM, with a price target of $43. That represents upside potential of 59% compared to Thursday's closing price. The analyst cites an investor disconnect surrounding the recent merger. He also believes that management's "strategic initiatives" will take hold. Furthermore, the lower stock price represents a compelling opportunity for savvy investors, including Warren Buffett, who has been loading up on the stock. Sirius XM is currently selling for roughly 8 times earnings, with almost no future growth baked into the stock price -- and therein lies the opportunity. I believe that, given the steadily improving economic conditions, churn will continue to slow, and subscriber growth will gradually return, which would be just the spark needed to send Sirius XM stock higher.



Symbotic: Implied upside of 115%
One consequence of the rise of online retail has been a rush to bring warehouse automation into the 21st century. That's where Symbotic (SYM) comes in. The company created artificial intelligence (AI) solutions to automate the processing of individual cases and full pallets to use every inch of available warehouse space. Symbotic developed advanced algorithms that control a legion of smart robots that work in concert to stock pallets, load and unload trucks, and isolate and handle individual crates. In doing so, the company can squeeze more inventory into less space, saving customers money. By increasing efficiency, reducing labor costs, and slashing operating and delivery expenses, Symbotic's systems pay for themselves in short order. The company estimates that each "module" can pay for itself several times over during its useful life, saving companies tens or even hundreds of millions of dollars.

In its fiscal 2024 fourth quarter (ended Sep. 28), Symbotic generated revenue that grew 47% year over year to $577 million while delivering EPS of $0.14, up from $0.08 in the prior year quarter. Analysts like Benchmark's Matthew Harrigan maintain a buy rating on Sirius XM, with a price target of $43, representing upside potential of 59% compared to Thursday's closing price.



In conclusion, Sirius XM Holdings and Symbotic are two Nasdaq stocks with significant upside potential, according to certain Wall Street analysts. While Sirius XM faces some headwinds, its dominant market position and strategic initiatives make it an attractive investment opportunity. Symbotic's AI-driven warehouse automation solutions offer substantial cost savings and growth potential for its clients, driving its stock price higher. As the Nasdaq Composite continues to reach record highs, these two stocks could be well-positioned to soar as much as 115% in 2025.