Sometimes the best stock ideas come at the closing bell. On CNBC's "Halftime Report Final Trades," three market veterans shared their current favorites, and the picks reveal an interesting theme: companies navigating tough periods but showing signs of turning the corner.
Adobe's Long Road Back
Jim Lebenthal, partner at Cerity Partners, pointed to Adobe Inc. (ADBE) as a turnaround story worth watching. The software giant has weathered what Lebenthal called "a terrible couple of years," but there's a shift happening. Earnings keep coming in better than expected, and the stock is finally starting to respond.
The timing matters here. On December 18, 2025, Adobe announced a multi-year strategic partnership with Runway to deliver next-generation AI video capabilities for creators, studios, and brands. It's the kind of move that suggests Adobe isn't just surviving the AI transition but actively positioning itself at the center of it.
Alibaba's Undervalued Story
Stephen Weiss, chief investment officer and managing partner of Short Hills Capital Partners, made a candid admission about Alibaba Group Holding Limited (BABA): he bought it at the wrong time. But he's not backing away. Weiss still considers it a compelling story, emphasizing that the company remains very undervalued and is expected to perform well this year.
What's driving that optimism? On December 9, Alibaba announced a major reorganization designed to transform its Qwen family of artificial intelligence models into a consumer-facing powerhouse. Behind the scenes, the company has been quietly pressing Nvidia for the chips necessary to train and scale those services. It's a strategic pivot that could redefine Alibaba's role in the AI ecosystem.
Goldman's Momentum Play
Joe Terranova, senior managing director for Virtus Investment Partners, kept things straightforward with his pick: Goldman Sachs Group, Inc. (GS). The investment bank is riding positive momentum, and analyst support backs up that optimism.
On December 17, Keefe, Bruyette & Woods analyst David Konrad raised the price target for Goldman Sachs from $870 to $971, a significant vote of confidence in the bank's trajectory.
Price Action
Wednesday's trading session showed mixed results for all three picks:
- Adobe shares fell 0.7% to close at $349.99.
- Alibaba shares declined 0.5% to settle at $146.58.
- Goldman Sachs slipped 0.6% to close at $879.00.
The common thread? These aren't momentum chases or hot tips. They're calculated bets on companies with established businesses, clear strategies, and valuations that suggest upside potential. Sometimes the best trades aren't about what's working today, but what could work tomorrow.