Growth is oxygen. But when it evaporates, the consequences can be severe - ask anyone who bought Cisco in the Dot-Com Bubble or newer investors who lived through the 2020 to 2022 COVID cycle.

Deciphering which businesses can sustain their high growth rates is a challenge for even the most seasoned professionals, which is why we started StockStory. That said, here are three growth stocks expanding their competitive advantages.

Vertiv (VRT)

One-Year Revenue Growth: +28.8%

Formerly part of Emerson Electric, Vertiv (NYSE: VRT) manufactures and services infrastructure technology products for data centers and communication networks.

Why Is VRT a Top Pick?

1. Core business is healthy and doesn’t need acquisitions to boost sales as its organic revenue growth averaged 21% over the past two years
2. Free cash flow margin expanded by 7.9 percentage points over the last five years, providing additional flexibility for investments and share buybacks/dividends
3. Returns on capital are climbing as management makes more lucrative bets

Vertiv’s stock price of $185.95 implies a valuation ratio of 38.5x forward P/E. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free.

Ares (ARES)

One-Year Revenue Growth: +24%

With roots in the leveraged finance group of Apollo Management, Ares Management (NYSE: ARES) is an alternative investment firm that manages private equity, credit, real estate, and infrastructure assets for institutional and high-net-worth clients.

Why Will ARES Beat the Market?

1. Market share has increased this cycle as its 19.2% annual revenue growth over the last five years was exceptional
2. 33.6% annual growth in fee-related earnings over the last five years shows the firm optimized its expenses
3. Earnings growth has comfortably beaten the peer group average over the last five years as its EPS has compounded at 17.9% annually

At $148.55 per share, Ares trades at 24.6x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.

Halozyme Therapeutics (HALO)

One-Year Revenue Growth: +31.2%

Known for transforming hours-long intravenous infusions into minutes-long subcutaneous injections, Halozyme Therapeutics (NASDAQ: HALO) develops and licenses its proprietary ENHANZE technology that enables subcutaneous delivery of injectable drugs that would otherwise require intravenous administration.

Why Does HALO Stand Out?

1. Annual revenue growth of 44.2% over the last five years was superb and indicates its market share increased during this cycle
2. Share buybacks catapulted its annual earnings per share growth to 104%, which outperformed its revenue gains over the last five years
3. Strong free cash flow margin of 46.1% enables it to reinvest or return capital consistently

Halozyme Therapeutics is trading at $71.81 per share, or 9.2x forward P/E. Is now the time to initiate a position? See for yourself in our full research report, it’s free.

High-Quality Stocks for All Market Conditions

Your portfolio can’t afford to be based on yesterday’s story. The risk in a handful of heavily crowded stocks is rising daily.

The names generating the next wave of massive growth are right here in our Top 5 Strong Momentum 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-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.