
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.
While momentum can be a leading indicator, it has burned many investors as it doesn’t always correlate with long-term success. Keeping that in mind, here are three stocks we think live up to the hype.
Sterling (STRL)
One-Month Return: +77.9%
Involved in the construction of a major highway, the Grand Parkway in Houston, TX, Sterling Infrastructure (NASDAQ:STRL) provides civil infrastructure construction.
Why Will STRL Beat the Market?
- Market share has increased this cycle as its 19.8% annual revenue growth over the last two years was exceptional
- Robust free cash flow margin of 15.6% gives it many options for capital deployment, and its rising cash conversion increases its margin of safety
- Returns on capital are climbing as management makes more lucrative bets
Sterling’s stock price of $942 implies a valuation ratio of 45.8x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.
SPX Technologies (SPXC)
One-Month Return: +14.3%
With roots dating back to 1912 as the Piston Ring Company, SPX Technologies (NYSE:SPXC) supplies specialized infrastructure equipment for HVAC systems and detection and measurement applications across industrial, commercial, and utility markets.
Why Should You Buy SPXC?
- Annual revenue growth of 15.1% over the past five years was outstanding, reflecting market share gains this cycle
- Performance over the past two years shows its incremental sales were extremely profitable, as its annual earnings per share growth of 23.6% outpaced its revenue gains
- Free cash flow margin grew by 8.1 percentage points over the last five years, giving the company more chips to play with
At $229.92 per share, SPX Technologies trades at 4.4x forward price-to-sales. Is now a good time to buy? See for yourself in our full research report, it’s free.
Bloom Energy (BE)
One-Month Return: -2.8%
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 Will BE Outperform?
- Impressive 37.6% annual revenue growth over the last two years indicates it’s winning market share this cycle
- Free cash flow profile has moved into positive territory over the last five years, indicating the company has passed a significant test
- Improving returns on capital suggest its past investments are beginning to deliver value
Bloom Energy is trading at $280.50 per share, or 131.3x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
High-Quality Stocks for All Market Conditions
ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time.
Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE.
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.
