While the S&P 500 (^GSPC) includes industry leaders, not every stock in the index is a winner. Some companies are past their prime, weighed down by poor execution, weak financials, or structural headwinds.

Even among blue-chip stocks, not all investments are created equal - which is why we built StockStory to help you navigate the market. Keeping that in mind, here is one S&P 500 stock that is positioned to outperform and two that could be in trouble.

Two Stocks to Sell:

Viatris (VTRS)

Market Cap: $13.75 billion

Created through the 2020 merger of Mylan and Pfizer's Upjohn division, Viatris (NASDAQ: VTRS) is a healthcare company that develops, manufactures, and distributes branded and generic medicines across more than 165 countries worldwide.

Why Do We Steer Clear of VTRS?

1. Customers postponed purchases of its products and services this cycle as its revenue declined by 4.4% annually over the last two years
2. Earnings per share fell by 13.1% annually over the last five years while its revenue grew, showing its incremental sales were much less profitable
3. Negative returns on capital show management lost money while trying to expand the business, and its shrinking returns suggest its past profit sources are losing steam

Viatris’s stock price of $11.96 implies a valuation ratio of 4.9x forward P/E. Dive into our free research report to see why there are better opportunities than VTRS.

Allstate (ALL)

Market Cap: $53.62 billion

Born from a Sears, Roebuck & Co. initiative during the Great Depression with its famous "You're in good hands" slogan, Allstate (NYSE: ALL) is one of America's largest personal property and casualty insurers, offering protection for autos, homes, and personal property.

Why Does ALL Fall Short?

1. Estimated sales growth of 2.5% for the next 12 months implies demand will slow from its two-year trend
2. Combined ratio failed to improve over the last five years, indicating the firm couldn’t optimize its expenses
3. Sizable asset base leads to capital growth challenges as its 3.2% annual book value per share increases over the last five years fell short of other insurance companies

Allstate is trading at $205.50 per share, or 2x forward P/B. If you’re considering ALL for your portfolio, see our FREE research report to learn more.

One Stock to Buy:

Broadcom (AVGO)

Market Cap: $1.56 trillion

Originally the semiconductor division of Hewlett Packard, Broadcom (NASDAQ: AVGO) is a semiconductor conglomerate spanning wireless communications, networking, and data storage as well as infrastructure software focused on mainframes and cybersecurity.

Why Do We Love AVGO?

1. Impressive 33.6% annual revenue growth over the last two years indicates it’s winning market share this cycle
2. Offerings are difficult to replicate at scale and result in a best-in-class gross margin of 76.4%
3. AVGO is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders

At $330.70 per share, Broadcom trades at 32.3x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free for active Edge members.

High-Quality Stocks for All Market Conditions

If your portfolio success hinges on just 4 stocks, your wealth is built on fragile ground. You have a small window to secure high-quality assets before the market widens and these prices disappear.

Don’t wait for the next volatility shock. Check out our Top 6 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 for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today.