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.
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. That said, here are two growth stocks where the best is yet to come and one that could be down big.
One Growth Stock to Sell:
Bunge Global (BG)
One-Year Revenue Growth: +56.9%
With origins dating back to 1818 and operations spanning both hemispheres to balance seasonal harvests, Bunge Global (NYSE: BG) is an agribusiness and food company that processes oilseeds, grains, and other agricultural commodities into vegetable oils, protein meals, flours, and specialty ingredients.
Why Are We Hesitant About BG?
- Scale is a double-edged sword because it limits the company’s growth potential compared to its smaller competitors, as reflected in its below-average annual revenue increases of 6.5% for the last three years
- Earnings per share fell by 17% annually over the last three years while its revenue grew, showing its incremental sales were much less profitable
- Depletion of cash reserves could lead to a fundraising event that triggers shareholder dilution
Bunge Global is trading at $115.99 per share, or 11.6x forward P/E. If you’re considering BG for your portfolio, see our FREE research report to learn more.
Two Growth Stocks to Watch:
Kratos (KTOS)
One-Year Revenue Growth: +21.8%
Established with a commitment to supporting national security, Kratos (NASDAQ: KTOS) is a provider of advanced engineering, technology, and security solutions tailored for critical national security applications.
Why Is KTOS Interesting?
- Existing business lines can expand without risky acquisitions as its organic revenue growth averaged 14.6% over the past two years
- Exciting sales outlook for the upcoming 12 months calls for 29.9% growth, an acceleration from its two-year trend
- Earnings per share grew by 15.8% annually over the last two years, massively outpacing its peers
Kratos’s stock price of $49.82 implies a valuation ratio of 62.4x forward P/E. Is now a good time to buy? See for yourself in our in-depth research report, it’s free.
The Bancorp (TBBK)
One-Year Revenue Growth: +17.9%
Operating behind the scenes of many popular fintech apps and prepaid cards you might use daily, The Bancorp (NASDAQ: TBBK) is a bank holding company that specializes in providing banking services to fintech companies and offering specialty lending products.
Why Are We Bullish on TBBK?
- Solid 12.6% annual net interest income growth over the last five years indicates its offerings are gaining share
- Share repurchases have amplified shareholder returns as its annual earnings per share growth of 26.3% exceeded its revenue gains over the last five years
- Stellar return on equity showcases management’s ability to surface highly profitable business ventures
At $68.33 per share, The Bancorp trades at 3.6x forward P/B. Is now the time to initiate a position? Find out in our full research report, it’s free.
Stocks We Like Even More
WHILE YOU’RE HERE: Top 9 Market-Beating Stocks. The best stocks don’t just beat the market once. They do it again. And again. Robust revenue growth, rising free cash flow, returns on capital that leave their competition in the dust. The market has already rewarded these businesses.
But our AI platform says the party isn’t over. Find out which 9 stocks made the cut this week — FREE. Get Our Top 9 Market-Beating 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 Tecnoglass (+1,552% between June 2020 and June 2025). Find your next big winner with StockStory today.
