Each stock in this article is trading near its 52-week high. These elevated prices usually indicate some degree of investor confidence, business improvements, or favorable market conditions.
However, not all companies with momentum are long-term winners, and many investors have lost money by following short-term trends. Keeping that in mind, here is one stock with the fundamentals to back up its performance and two best left ignored.
Two Stocks to Sell:
CVS Health (CVS)
One-Month Return: +1.3%
With over 9,000 retail pharmacy locations serving as neighborhood health destinations across America, CVS Health (NYSE:CVS) operates retail pharmacies, provides pharmacy benefit management services, and offers health insurance through its Aetna subsidiary.
Why Are We Hesitant About CVS?
- Annual sales growth of 6.4% over the last two years lagged behind its healthcare peers as its large revenue base made it difficult to generate incremental demand
- Incremental sales over the last five years were much less profitable as its earnings per share fell by 2.9% annually while its revenue grew
- Underwhelming 5.3% return on capital reflects management’s difficulties in finding profitable growth opportunities, and its shrinking returns suggest its past profit sources are losing steam
CVS Health’s stock price of $80.43 implies a valuation ratio of 11.7x forward P/E. Check out our free in-depth research report to learn more about why CVS doesn’t pass our bar.
F.N.B. Corporation (FNB)
One-Month Return: +0.4%
Tracing its roots back to 1864 during the Civil War era, F.N.B. Corporation (NYSE:FNB) is a diversified financial services holding company that provides banking, wealth management, and insurance services to consumers and businesses across seven states and Washington, D.C.
Why Does FNB Worry Us?
- Muted 1.9% annual revenue growth over the last two years shows its demand lagged behind its banking peers
- Muted 8.1% annual net interest income growth over the last five years shows its demand lagged behind its banking peers
- Performance over the past two years shows its incremental sales were much less profitable, as its earnings per share fell by 5% annually
F.N.B. Corporation is trading at $17.59 per share, or 0.9x forward P/B. If you’re considering FNB for your portfolio, see our FREE research report to learn more.
One Stock to Buy:
Moody's (MCO)
One-Month Return: +9.3%
Founded in 1900 during America's railroad boom when investors needed reliable information on bond risks, Moody's (NYSE:MCO) provides credit ratings, risk assessment tools, and analytical solutions that help organizations evaluate financial risks and make informed investment decisions.
Why Do We Love MCO?
- Offerings and unique value proposition resonate with customers, as seen in its above-market 14.5% annual sales growth over the last two years
- Performance over the past two years was turbocharged by share buybacks, which enabled its earnings per share to grow faster than its revenue
- Industry-leading 63.8% return on equity demonstrates management’s skill in finding high-return investments
At $531.87 per share, Moody's trades at 32.9x forward P/E. Is now the time to initiate a position? See for yourself in our comprehensive research report, it’s free.
Stocks We Like Even More
Your portfolio can’t afford to be based on yesterday’s story. The risk in a handful of heavily crowded stocks is rising daily.
The names generating the next wave of massive growth are right here 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-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.