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2 Mooning Stocks with Exciting Potential and 1 We Ignore

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The stocks in this article are all trading near their 52-week highs. This strength often reflects positive developments such as new product launches, favorable industry trends, or improved financial performance.

However, not all companies with momentum are long-term winners, and many investors have lost money by following short-term trends. All that said, here are two stocks with the fundamentals to back up their performance and one that may correct.

One Stock to Sell:

Northern Trust (NTRS)

One-Month Return: -4.5%

Founded in 1889 during Chicago's post-Great Fire rebuilding boom, Northern Trust (NASDAQ:NTRS) provides wealth management, asset servicing, and banking solutions to corporations, institutions, families, and high-net-worth individuals globally.

Why Does NTRS Fall Short?

  1. Muted 4.9% annual revenue growth over the last five years shows its demand lagged behind its financials peers
  2. Earnings growth underperformed the sector average over the last five years as its EPS grew by just 5.3% annually

Northern Trust is trading at $120.86 per share, or 14.6x forward P/E. If you’re considering NTRS for your portfolio, see our FREE research report to learn more.

Two Stocks to Watch:

Incyte (INCY)

One-Month Return: +27.7%

Founded in 1991 and evolving from a genomics research firm to a commercial-stage drug developer, Incyte (NASDAQ:INCY) is a biopharmaceutical company that discovers, develops, and commercializes proprietary therapeutics for cancer and inflammatory diseases.

Why Could INCY Be a Winner?

  1. Annual revenue growth of 14.2% over the last two years beat the sector average and underscores the unique value of its offerings
  2. Performance over the past five years was turbocharged by share buybacks, which enabled its earnings per share to grow faster than its revenue
  3. Free cash flow margin grew by 6.2 percentage points over the last five years, giving the company more chips to play with

Incyte’s stock price of $88 implies a valuation ratio of 14.2x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.

Hamilton Insurance Group (HG)

One-Month Return: +15.4%

Founded in 2013 and operating through three distinct underwriting platforms across four countries, Hamilton Insurance Group (NYSE:HG) operates global specialty insurance and reinsurance platforms across Lloyd's, Ireland, Bermuda, and the United States.

Why Do We Like HG?

  1. Annual revenue growth of 49.7% over the last two years was superb and indicates its market share increased during this cycle
  2. Net premiums earned expanded by 26% annually over the last two years, demonstrating exceptional market penetration this cycle
  3. Combined ratio expanded by 32.5 percentage points over the last two years as it scaled and became more efficient

At $24.94 per share, Hamilton Insurance Group trades at 0.9x forward P/B. Is now a good time to buy? See for yourself in our in-depth research report, it’s free.

Stocks We Like Even More

Donald Trump’s April 2025 "Liberation Day" tariffs sent markets into a tailspin, but stocks have since rebounded strongly, proving that knee-jerk reactions often create the best buying opportunities.

The smart money is already positioning for the next leg up. Don’t miss out on the recovery - check out 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 183% over the last five years (as of March 31st 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 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 for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today

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