The S&P 500 (^GSPC) is often seen as a benchmark for strong businesses, but that doesn’t mean every stock is worth owning. Some companies face significant challenges, whether it’s stagnating growth, heavy debt, or disruptive new competitors.
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 could deliver good returns and two that could be in trouble.
Two Stocks to Sell:
Kraft Heinz (KHC)
Market Cap: $30.44 billion
The result of a 2015 mega-merger between Kraft and Heinz, Kraft Heinz (NASDAQ: KHC) is a packaged foods giant whose products span coffee to cheese to packaged meat.
Why Do We Steer Clear of KHC?
- Falling unit sales over the past two years imply it may need to invest in product improvements to get back on track
- Suboptimal cost structure is highlighted by its history of operating margin losses
- Push for growth has led to negative returns on capital, signaling value destruction, and its shrinking returns suggest its past profit sources are losing steam
Kraft Heinz’s stock price of $25.70 implies a valuation ratio of 12.9x forward P/E. Dive into our free research report to see why there are better opportunities than KHC.
MetLife (MET)
Market Cap: $60.48 billion
Founded in 1863 by a group of New York businessmen during the Civil War era, MetLife (NYSE: MET) is a global financial services company that provides insurance, annuities, employee benefits, and asset management services to individuals and businesses worldwide.
Why Are We Out on MET?
- Outsized scale creates growth headwinds as its 2.7% annualized net premiums earned increases over the last five years underperformed other financial institutions
- Earnings per share lagged its peers over the last five years as they only grew by 3.3% annually
- Book value per share tumbled by 11.7% annually over the last five years, showing insurance sector trends are working against it during this cycle
At $95.50 per share, MetLife trades at 2.2x forward P/B. Read our free research report to see why you should think twice about including MET in your portfolio.
One Stock to Buy:
CrowdStrike (CRWD)
Market Cap: $236.5 billion
Known for detecting the massive SolarWinds hack in 2020 that compromised numerous government agencies, CrowdStrike (NASDAQ: CRWD) provides cloud-based cybersecurity solutions that protect endpoints, cloud workloads, identity, and data through its Falcon platform.
Why Should You Buy CRWD?
- Average billings growth of 26% over the last year enhances its liquidity and shows there is steady demand for its products
- Expected revenue growth of 23.1% for the next year suggests its market share will rise
- Software platform has product-market fit given the rapid recovery of its customer acquisition costs
CrowdStrike is trading at $229.57 per share, or 34.3x forward price-to-sales. Is now the right time to buy? Find out in our full 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-micro-cap company Kadant (+214% between June 2020 and June 2025). Find your next big winner with StockStory today.
