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Zacks.com featured highlights include Dow, Arrow Electronics and Lumentum
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For Immediate Release
Chicago, IL – May 21, 2026 – Stocks in this week’s article are Dow Inc. (DOW - Free Report) , Arrow Electronics, Inc. (ARW - Free Report) and Lumentum Holdings Inc. (LITE - Free Report) .
3 Stocks Backed by Broker Rating Upgrades Worth Betting On
U.S. equities have been resilient but extremely uneven year to date, recovering from early volatility and pushing higher as strong corporate earnings, artificial intelligence (AI)-linked optimism and a still-supportive economy offset macro worries. Sentiment has been shaped by shifting Fed-rate expectations, Treasury-yield swings, oil-price volatility, geopolitical risks (mainly related to Middle East tension) and trade developments with China. Further, tech fatigue and bond-market pressure have created choppier trading.
Against such a backdrop, it is not easy for retail investors to choose stocks for generating solid returns over time. One way to cut short this task is to follow brokers' recommendations. In this regard, stocks such as Dow Inc., Arrow Electronics, Inc. and Lumentum Holdings Inc. are worth betting on.
Broker views are shaped by a combination of direct management access, scrutiny of public disclosures, earnings-call participation and sector-wide research. This broader coverage allows brokers to assess a company's fundamentals not in isolation, but against macroeconomic trends, industry dynamics, competitive positioning and peer performance. So, broker opinions can help investors better understand the factors that may influence a stock's future trajectory.
A broker upgrade usually reflects a meaningful change in the analyst's expectations. This may stem from stronger guidance, positive channel checks, improving demand trends, margin recovery, better execution, or revised operating assumptions. When these developments are not yet fully captured in consensus forecasts or market pricing, an upgrade may point to a potential inflection in earnings momentum or valuation perception.
Yet, a broker upgrade should not be treated as an investment thesis on its own. It is best viewed as one signal within a broader decision-making framework. Sustainable long-term returns depend on business quality, valuation, industry structure, competitive advantages, catalysts, execution risks and the investor's own risk appetite, time horizon and portfolio objectives.
3 Stocks with Upgraded Broker Ratings to Invest
Midland, MI-based Dow is a material science company, providing a world-class portfolio of advanced, sustainable and leading-edge products. DOW's broad portfolio of higher-value functional polymers, significant low-cost global feedstock positions, global footprint and market reach, and manufacturing sites in every geographic region place it in an advantageous position against competitors.
Dow's 2026 earnings are expected to soar 352.1% year over year. DOW, which currently carries a Zacks Rank #2, has witnessed a 4.8% upward revision in broker ratings over the past four weeks.
Arrow Electronics, based in Centennial, CO, is one of the world's largest distributors of electronic components and enterprise computing products. ARW provides one of the broadest product ranges in the electronic components and enterprise computing solutions distribution industries.
ARW's 2026 earnings are projected to jump 63.1% on a year-over-year basis. Arrow Electronics, sporting a Zacks Rank #1 at present, has witnessed a 20% upward revision in broker ratings over the past four weeks.
Based in San Jose, CA, Lumentum is a provider of optical and photonic products serving cloud, AI, machine learning, telecommunications, consumer and industrial end markets. LITE's portfolio spans semiconductor laser chips and sub-assemblies, wavelength management systems, optical modules, optical circuit switches and industrial lasers used in precision materials processing.
Lumentum's fiscal 2026 earnings are expected to surge 298.5% year over year. LITE, which currently carries a Zacks Rank #2, has witnessed a 4.8% upward revision in broker ratings over the past four weeks.
Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
About Screen of the Week
Zacks.com created the first and best screening system on the web earning the distinction as the "#1 site for screening stocks" by Money Magazine. But powerful screening tools is just the start. That is why Zacks created the Screen of the Week to highlight profitable stock picking strategies that investors can actively use.
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has more than doubled the market from 1988 through 2016. Its average gain has been a stellar +25% per year. See these high-potential stocks free >>.
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.
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Zacks.com featured highlights include Dow, Arrow Electronics and Lumentum
For Immediate Release
Chicago, IL – May 21, 2026 – Stocks in this week’s article are Dow Inc. (DOW - Free Report) , Arrow Electronics, Inc. (ARW - Free Report) and Lumentum Holdings Inc. (LITE - Free Report) .
3 Stocks Backed by Broker Rating Upgrades Worth Betting On
U.S. equities have been resilient but extremely uneven year to date, recovering from early volatility and pushing higher as strong corporate earnings, artificial intelligence (AI)-linked optimism and a still-supportive economy offset macro worries. Sentiment has been shaped by shifting Fed-rate expectations, Treasury-yield swings, oil-price volatility, geopolitical risks (mainly related to Middle East tension) and trade developments with China. Further, tech fatigue and bond-market pressure have created choppier trading.
Against such a backdrop, it is not easy for retail investors to choose stocks for generating solid returns over time. One way to cut short this task is to follow brokers' recommendations. In this regard, stocks such as Dow Inc., Arrow Electronics, Inc. and Lumentum Holdings Inc. are worth betting on.
Broker views are shaped by a combination of direct management access, scrutiny of public disclosures, earnings-call participation and sector-wide research. This broader coverage allows brokers to assess a company's fundamentals not in isolation, but against macroeconomic trends, industry dynamics, competitive positioning and peer performance. So, broker opinions can help investors better understand the factors that may influence a stock's future trajectory.
A broker upgrade usually reflects a meaningful change in the analyst's expectations. This may stem from stronger guidance, positive channel checks, improving demand trends, margin recovery, better execution, or revised operating assumptions. When these developments are not yet fully captured in consensus forecasts or market pricing, an upgrade may point to a potential inflection in earnings momentum or valuation perception.
Yet, a broker upgrade should not be treated as an investment thesis on its own. It is best viewed as one signal within a broader decision-making framework. Sustainable long-term returns depend on business quality, valuation, industry structure, competitive advantages, catalysts, execution risks and the investor's own risk appetite, time horizon and portfolio objectives.
3 Stocks with Upgraded Broker Ratings to Invest
Midland, MI-based Dow is a material science company, providing a world-class portfolio of advanced, sustainable and leading-edge products. DOW's broad portfolio of higher-value functional polymers, significant low-cost global feedstock positions, global footprint and market reach, and manufacturing sites in every geographic region place it in an advantageous position against competitors.
Dow's 2026 earnings are expected to soar 352.1% year over year. DOW, which currently carries a Zacks Rank #2, has witnessed a 4.8% upward revision in broker ratings over the past four weeks.
Arrow Electronics, based in Centennial, CO, is one of the world's largest distributors of electronic components and enterprise computing products. ARW provides one of the broadest product ranges in the electronic components and enterprise computing solutions distribution industries.
ARW's 2026 earnings are projected to jump 63.1% on a year-over-year basis. Arrow Electronics, sporting a Zacks Rank #1 at present, has witnessed a 20% upward revision in broker ratings over the past four weeks.
Based in San Jose, CA, Lumentum is a provider of optical and photonic products serving cloud, AI, machine learning, telecommunications, consumer and industrial end markets. LITE's portfolio spans semiconductor laser chips and sub-assemblies, wavelength management systems, optical modules, optical circuit switches and industrial lasers used in precision materials processing.
Lumentum's fiscal 2026 earnings are expected to surge 298.5% year over year. LITE, which currently carries a Zacks Rank #2, has witnessed a 4.8% upward revision in broker ratings over the past four weeks.
For the rest of this Screen of the Week article please visit Zacks.com at: https://www.zacks.com/stock/news/2923240/3-stocks-backed-by-broker-rating-upgrades-worth-betting-on
Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
About Screen of the Week
Zacks.com created the first and best screening system on the web earning the distinction as the "#1 site for screening stocks" by Money Magazine. But powerful screening tools is just the start. That is why Zacks created the Screen of the Week to highlight profitable stock picking strategies that investors can actively use.
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has more than doubled the market from 1988 through 2016. Its average gain has been a stellar +25% per year. See these high-potential stocks free >>.
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Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
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Company: Zacks.com
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Email: pr@zacks.com
Visit: https://www.zacks.com/
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.