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.
Luckily for you, our job at StockStory is to help you avoid short-term fads by pointing you toward high-quality businesses that can generate sustainable long-term growth. Keeping that in mind, here are two growth stocks expanding their competitive advantages and one whose momentum may slow.
One Growth Stock to Sell:
Columbia Banking System (COLB)
One-Year Revenue Growth: +34.1%
Created through the merger of two Pacific Northwest banking institutions with deep regional roots, Columbia Banking System (NASDAQ: COLB) operates Umpqua Bank, providing commercial, consumer, and wealth management services across eight western states.
Why Is COLB Not Exciting?
- Performance over the past five years shows its incremental sales were much less profitable, as its earnings per share fell by 4.4% annually
- Products and services are facing significant credit quality challenges during this cycle as tangible book value per share has declined by 1.7% annually over the last five years
- Estimated tangible book value per share growth of 6.3% for the next 12 months implies profitability will slow from its two-year trend
Columbia Banking System is trading at $28.63 per share, or 1.1x forward P/B. Dive into our free research report to see why there are better opportunities than COLB.
Two Growth Stocks to Buy:
Five Below (FIVE)
One-Year Revenue Growth: +25.6%
Often facilitating a treasure hunt shopping experience, Five Below (NASDAQ: FIVE) is an American discount retailer that sells a variety of products from mobile phone cases to candy to sports equipment for largely $5 or less.
Why Should You Buy FIVE?
- Fast expansion of new stores to reach markets with few or no locations is justified by its same-store sales growth
- Locations open for at least a year are seeing increased demand as same-store sales have averaged 10.5% growth over the past two years
- Operating profits and efficiency rose over the last year as it benefited from some fixed cost leverage
Five Below’s stock price of $220.19 implies a valuation ratio of 21.8x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
Blackstone (BX)
One-Year Revenue Growth: +16.7%
With over $1 trillion in assets under management and investments spanning real estate, private equity, credit, and hedge funds, Blackstone (NYSE: BX) is a global alternative asset manager that invests capital on behalf of pension funds, sovereign wealth funds, and other institutional investors.
Why Are We Bullish on BX?
- Impressive 21.2% annual revenue growth over the last two years indicates it’s winning market share this cycle
- Incremental sales over the last two years have been highly profitable as its earnings per share increased by 24.2% annually, topping its revenue gains
At $112.28 per share, Blackstone trades at 17.8x forward P/E. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free.
High-Quality Stocks for All Market Conditions
ONE MORE THING: Top 6 Stocks for This Week. This market is separating quality stocks from expensive ones fast. AI is taking down whole sectors with no warning. In a rotation this fast, you need more than a list of good companies.
Our AI system flagged Palantir before it ran 1,662% between October 2022 and February 2026. AppLovin before it ran 753% between February 2024 and February 2026. Nvidia before it ran 1,178% between January 2023 and February 2026. Each week it produces 6 new names that pass the same tests. Get Our Top 6 Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+1,154% between June 2020 and June 2025). Find your next big winner with StockStory today.
