The stocks featured in this article have all approached their 52-week highs. When these price levels hit, it typically signals strong business execution, positive market sentiment, or significant industry tailwinds.

While momentum can be a leading indicator, it has burned many investors as it doesn’t always correlate with long-term success. On that note, here are two stocks with the fundamentals to back up their performance and one that may correct.

One Stock to Sell:

Kellanova (K)

One-Month Return: -0.9%

With Corn Flakes as its first and most iconic product, Kellanova (NYSE: K) is a packaged foods company that is dominant in the cereal and snack categories.

Why Does K Fall Short?

1. Declining unit sales over the past two years imply it may need to invest in product improvements to get back on track
2. Estimated sales growth of 1.8% for the next 12 months is soft and implies weaker demand
3. Earnings per share have dipped by 3.5% annually over the past three years, which is concerning because stock prices follow EPS over the long term

Kellanova’s stock price of $81.89 implies a valuation ratio of 20.9x forward P/E. Read our free research report to see why you should think twice about including K in your portfolio.

Two Stocks to Watch:

Badger Meter (BMI)

One-Month Return: +11.2%

The developer of the world’s first frost-proof water meter in 1905, Badger Meter (NYSE: BMI) provides water control and measure equipment to various industries.

Why Are We Bullish on BMI?

1. Market share has increased this cycle as its 20% annual revenue growth over the last two years was exceptional
2. Earnings per share grew by 36.4% annually over the last two years, massively outpacing its peers
3. Robust free cash flow margin of 15.3% gives it many options for capital deployment

At $254.17 per share, Badger Meter trades at 54.2x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.

RB Global (RBA)

One-Month Return: +4%

Born from the 1958 founding of Ritchie Bros. Auctioneers and rebranded in 2023, RB Global (NYSE: RBA) operates global marketplaces that connect buyers and sellers of commercial assets, vehicles, and equipment across multiple industries.

Why Do We Like RBA?

1. Impressive 52.9% annual revenue growth over the last two years indicates it’s winning market share this cycle
2. Adjusted operating margin profits and efficiency rose over the last five years as it benefited from some fixed cost leverage
3. Earnings per share have massively outperformed its peers over the last five years, increasing by 20.6% annually

RB Global is trading at $105.52 per share, or 28x forward P/E. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free.

High-Quality Stocks for All Market Conditions

Market indices reached historic highs following Donald Trump’s presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth.

While this has caused many investors to adopt a "fearful" wait-and-see approach, we’re leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 5 Growth Stocks for this month. 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-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today for free.