Mid-cap stocks have the best odds of scaling into $100 billion corporations thanks to their tested business models and large addressable markets. But the many opportunities in front of them attract significant competition, spanning from industry behemoths with seemingly infinite resources to small, nimble players with chips on their shoulders.
This is precisely where StockStory comes in - we do the heavy lifting to identify companies with solid fundamentals so you can invest with confidence. That said, here is one mid-cap stock with huge upside potential and two best left ignored.
Two Mid-Cap Stocks to Sell:
Entegris (ENTG)
Market Cap: $14.83 billion
With fabs representing the company’s largest customer type, Entegris (NASDAQ:ENTG) supplies products that purify, protect, and generally ensure the integrity of raw materials needed for advanced semiconductor manufacturing.
Why Do We Pass on ENTG?
- Products and services are facing significant end-market challenges during this cycle as sales have declined by 6.1% annually over the last two years
- Demand will likely be soft over the next 12 months as Wall Street’s estimates imply tepid growth of 2.4%
- Weak free cash flow margin of 9.3% has deteriorated further over the last five years as its investments increased
At $95.00 per share, Entegris trades at 34.4x forward P/E. Read our free research report to see why you should think twice about including ENTG in your portfolio.
Omnicom Group (OMC)
Market Cap: $24.41 billion
With a vast network of creative agencies that helped craft some of the most memorable ad campaigns in history, Omnicom Group (NYSE:OMC) is a strategic holding company that provides advertising, marketing, and communications services to many of the world's largest companies.
Why Is OMC Not Exciting?
- Absence of organic revenue growth over the past two years suggests it may have to lean into acquisitions to drive its expansion
- Free cash flow margin shrank by 7.6 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive
- Eroding returns on capital suggest its historical profit centers are aging
Omnicom Group’s stock price of $77.60 implies a valuation ratio of 8.7x forward P/E. If you’re considering OMC for your portfolio, see our FREE research report to learn more.
One Mid-Cap Stock to Buy:
Bloom Energy (BE)
Market Cap: $25.54 billion
Working in stealth mode for eight years, Bloom Energy (NYSE:BE) designs, manufactures, and markets solid oxide fuel cell systems for on-site power generation.
Why Do We Love BE?
- Annual revenue growth of 19.1% over the last five years was superb and indicates its market share increased during this cycle
- Free cash flow turned positive over the last five years, showing the company has crossed a key inflection point
- Rising returns on capital show the company is starting to reap the benefits of its past investments
Bloom Energy is trading at $108.10 per share, or 119.8x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free for active Edge members.
High-Quality Stocks for All Market Conditions
Check out the high-quality names we’ve flagged in our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 244% over the last five years (as of June 30, 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.