3 Momentum Stocks with Impressive Fundamentals

Exciting developments are taking place for the stocks in this article. They’ve all surged ahead of the broader market over the last month as catalysts such as new products and positive media coverage have propelled their returns.

While momentum can be a leading indicator, it has burned many investors as it doesn’t always correlate with long-term success. On that note, here are three stocks with lasting competitive advantages.

Atlassian (TEAM)

One-Month Return: +26.2%

Started by two Australian university friends who funded their startup with credit cards, Atlassian (NASDAQ:TEAM) provides software tools that help teams plan, track, collaborate, and share knowledge across organizations.

Why Is TEAM a Top Pick?

1. Annual revenue growth of 21.9% over the last two years was superb and indicates its market share is rising
2. Software is difficult to replicate at scale and results in a premier gross margin of 84.8%
3. Fast payback periods on sales and marketing expenses allow the company to invest heavily and onboard many customers concurrently

Atlassian’s stock price of $100.05 implies a valuation ratio of 3.5x forward price-to-sales. Is now the time to initiate a position? Find out in our full research report, it’s free.

Guidewire Software (GWRE)

One-Month Return: +29.1%

With its systems powering the operations of hundreds of insurance brands across 42 countries, Guidewire Software (NYSE:GWRE) provides a technology platform that helps property and casualty insurance companies manage their core operations, digital engagement, and analytics.

Why Are We Bullish on GWRE?

1. Average billings growth of 20.6% over the last year enhances its liquidity and shows there is steady demand for its products
2. Software platform has product-market fit given the rapid recovery of its customer acquisition costs
3. Healthy operating margin of 8.2% shows it’s a well-run company with efficient processes, and its profits increased over the last year as it scaled

Guidewire Software is trading at $156 per share, or 7.8x forward price-to-sales. Is now a good time to buy? See for yourself in our in-depth research report, it’s free.

Blackstone (BX)

One-Month Return: +16.4%

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 Will BX Outperform?

1. Annual revenue growth of 21.2% over the past two years was outstanding, reflecting market share gains this cycle
2. Additional sales over the last two years increased its profitability as the 24.2% annual growth in its earnings per share outpaced its revenue

At $133.75 per share, Blackstone trades at 20.7x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.

High-Quality Stocks for All Market Conditions

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.