The stocks in this article are all trading near their 52-week highs. This strength often reflects positive developments such as new product launches, favorable industry trends, or improved financial performance.
But not every company with momentum is a long-term winner, and plenty of investors have lost money betting on short-term fads. Keeping that in mind, here are two stocks with the fundamentals to back up their performance and one not so much.
One Stock to Sell:
Coupang (CPNG)
One-Month Return: +4.3%
Founded in 2010 by Harvard Business School student Bom Kim, Coupang (NYSE: CPNG) is an e-commerce giant often referred to as the "Amazon of South Korea".
Why Is CPNG Not Exciting?
- Gross margin of 28% reflects its high servicing costs
- Low free cash flow margin of 4.4% for the last two years gives it little breathing room, constraining its ability to self-fund growth or return capital to shareholders
At $28.63 per share, Coupang trades at 29.5x forward EV/EBITDA. Dive into our free research report to see why there are better opportunities than CPNG.
Two Stocks to Watch:
Snowflake (SNOW)
One-Month Return: +5.8%
Founded in 2013 by three French engineers who spent decades working for Oracle, Snowflake (NYSE: SNOW) provides a data warehouse-as-a-service in the cloud that allows companies to store large amounts of data and analyze it in real time.
Why Should SNOW Be on Your Watchlist?
- Average billings growth of 26.5% over the last year enhances its liquidity and shows there is steady demand for its products
- Net revenue retention rate of 126% demonstrates its ability to expand within existing accounts through upsells and cross-sells
- Notable projected revenue growth of 24.4% for the next 12 months hints at market share gains
Snowflake’s stock price of $211.72 implies a valuation ratio of 14.8x forward price-to-sales. Is now the time to initiate a position? Find out in our full research report, it’s free.
VeriSign (VRSN)
One-Month Return: +0.7%
While the company is not a domain registrar and does not directly sell domain names to end users, Verisign (NASDAQ: VRSN) operates and maintains the infrastructure to support domain names such as .com and .net.
Why Is VRSN on Our Radar?
- Average billings growth of 15.6% over the last year enhances its liquidity and shows there is steady demand for its products
- Software is difficult to replicate at scale and leads to a best-in-class gross margin of 87.8%
- VRSN is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders
VeriSign is trading at $281.64 per share, or 16.3x forward price-to-sales. Is now the right time to buy? See for yourself in our in-depth research report, it’s free.
High-Quality Stocks for All Market Conditions
Donald Trump’s victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs.
While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today
