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2 Surging Stocks with Exciting Potential and 1 We Avoid

CPNG Cover Image

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. All that said, here are two stocks with the fundamentals to back up their performance and one best left ignored.

One Stock to Sell:

Standex (SXI)

One-Month Return: -4.1%

Holding over 500 patents globally, Standex (NYSE: SXI) is a manufacturer and distributor of industrial components for various sectors.

Why Does SXI Worry Us?

  1. Muted 3.3% annual revenue growth over the last two years shows its demand lagged behind its industrials peers
  2. Earnings growth over the last two years fell short of the peer group average as its EPS only increased by 7.8% annually
  3. Capital intensity has ramped up over the last five years as its free cash flow margin decreased by 4.2 percentage points

Standex is trading at $201.74 per share, or 23.6x forward P/E. To fully understand why you should be careful with SXI, check out our full research report (it’s free).

Two Stocks to Watch:

Coupang (CPNG)

One-Month Return: +11.9%

Founded in 2010 by Harvard Business School student Bom Kim, Coupang (NYSE: CPNG) is an e-commerce giant often referred to as the "Amazon of South Korea".

Why Do We Like CPNG?

  1. Active Customers have increased by an average of 11.8% annually, giving it the potential for margin-accretive growth if it can develop valuable complementary products and features
  2. Incremental sales significantly boosted profitability as its annual earnings per share growth of 32% over the last three years outstripped its revenue performance
  3. Free cash flow margin grew by 8 percentage points over the last few years, giving the company more chips to play with

At $31.80 per share, Coupang trades at 29x forward EV/EBITDA. Is now the right time to buy? Find out in our full research report, it’s free.

FTAI Aviation (FTAI)

One-Month Return: +14.7%

With a focus on the CFM56 engine that powers Boeing and Airbus’s planes, FTAI Aviation (NASDAQ: FTAI) sells, leases, maintains, and repairs aircraft engines.

Why Should You Buy FTAI?

  1. Annual revenue growth of 41.4% over the past two years was outstanding, reflecting market share gains this cycle
  2. Additional sales over the last two years increased its profitability as the 67% annual growth in its earnings per share outpaced its revenue
  3. Cash burn has become less severe over the last five years, showing the company is making some progress toward financial sustainability

FTAI Aviation’s stock price of $171.06 implies a valuation ratio of 31.3x forward P/E. Is now a good time to buy? See for yourself in our in-depth research report, it’s free.

High-Quality Stocks for All Market Conditions

Trump’s April 2025 tariff bombshell triggered a massive market selloff, but stocks have since staged an impressive recovery, leaving those who panic sold on the sidelines.

Take advantage of the rebound by checking out our Top 9 Market-Beating Stocks. 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 Tecnoglass (+1,754% 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

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