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3 Growth Stocks with Explosive Upside

By: StockStory

February 12, 2026 at 23:32 PM EST

ⓘ This article is third-party content and does not represent the views of this site. We make no guarantees regarding its accuracy or completeness.

FRSH Cover Image

Growth is a hallmark of all great companies, but the laws of gravity eventually take hold. Those who rode the COVID boom and ensuing tech selloff in 2022 will surely remember that the market’s punishment can be swift and severe when trajectories fall.

Deciphering which businesses can sustain their high growth rates is a challenge for even the most seasoned professionals, which is why we started StockStory. On that note, here are three growth stocks with significant upside potential.

Freshworks (FRSH)

One-Year Revenue Growth: +16.4%

Starting as a customer service solution before expanding into a comprehensive software suite, Freshworks (NASDAQ: FRSH) provides AI-powered software-as-a-service solutions that help companies manage customer service, IT support, sales, and marketing functions.

Why Are We Positive On FRSH?

ARR trends over the last year show it’s maintaining a steady flow of long-term contracts that contribute positively to its revenue predictability
Software is difficult to replicate at scale and results in a top-tier gross margin of 85%
Operating profits increased over the last year as the company gained some leverage on its fixed costs and became more efficient

Freshworks’s stock price of $7.03 implies a valuation ratio of 2.2x forward price-to-sales. Is now a good time to buy? Find out in our full research report, it’s free.

ESCO (ESE)

One-Year Revenue Growth: +20%

A developer of the communication systems used in the Batmobile of “The Dark Knight,” ESCO (NYSE: ESE) is a provider of engineered components for the aerospace, defense, and utility sectors.

Why Are We Bullish on ESE?

Demand is greater than supply as the company’s 41.7% average backlog growth over the past two years shows it’s securing new contracts and accumulating more orders than it can fulfill
Incremental sales significantly boosted profitability as its annual earnings per share growth of 36.3% over the last two years outstripped its revenue performance
Free cash flow margin jumped by 10.9 percentage points over the last five years, giving the company more resources to pursue growth initiatives, repurchase shares, or pay dividends

ESCO is trading at $271.64 per share, or 34.2x forward P/E. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free.

iRhythm (IRTC)

One-Year Revenue Growth: +25.5%

Pioneering the shift from bulky, short-term heart monitors to sleek, wire-free patches, iRhythm Technologies (NASDAQ: IRTC) provides wearable cardiac monitoring devices and AI-powered analysis services that help physicians detect and diagnose heart rhythm disorders.

Why Does IRTC Stand Out?

Market share has increased this cycle as its 23.4% annual revenue growth over the last five years was exceptional
Adjusted operating margin expanded by 17.1 percentage points over the last five years as it scaled and became more efficient
Free cash flow flipped to positive over the last five years, indicating the company has achieved financial self-sustainability

At $148.35 per share, iRhythm trades at 56.5x forward EV-to-EBITDA. Is now the right time to buy? Find out in our full research report, it’s free.

Stocks We Like Even More

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 5 Growth Stocks for this month. 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 Comfort Systems (+782% five-year return). Find your next big winner with StockStory today.

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Symbol	Price	Change (%)
AMZN	270.13	+4.31 (1.62%)
AAPL	298.87	+4.07 (1.38%)
AMD	445.50	-2.79 (-0.62%)
BAC	49.84	-0.94 (-1.85%)
GOOG	399.04	+15.22 (3.97%)
META	616.63	+13.63 (2.26%)
MSFT	405.21	-2.56 (-0.63%)
NVDA	225.83	+5.05 (2.29%)
ORCL	189.76	+2.93 (1.57%)
TSLA	445.27	+11.82 (2.73%)