
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.
Deciphering which businesses can sustain their high growth rates is a challenge for even the most seasoned professionals, which is why we started StockStory. On that note, here are two growth stocks expanding their competitive advantages and one whose momentum may slow.
One Growth Stock to Sell:
Lincoln Educational (LINC)
One-Year Revenue Growth: +22%
Established in 1946, Lincoln Educational (NASDAQ:LINC) is a provider of specialized technical training in the United States, offering career-oriented programs to provide practical skills required in the workforce.
Why Are We Out on LINC?
- Sluggish trends in its enrolled students suggest customers aren’t adopting its solutions as quickly as the company hoped
- Capital intensity will likely increase as its free cash flow margin is anticipated to drop by 5.3 percentage points over the next year
- Shrinking returns on capital from an already weak position reveal that neither previous nor ongoing investments are yielding the desired results
At $29.96 per share, Lincoln Educational trades at 30.2x forward P/E. Read our free research report to see why you should think twice about including LINC in your portfolio.
Two Growth Stocks to Watch:
CrowdStrike (CRWD)
One-Year Revenue Growth: +23.2%
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.
What Makes CRWD Stand Out?
- Billings have averaged 24.9% growth over the last year, showing it’s securing new contracts that could potentially increase in value over time
- Estimated revenue growth of 22.7% for the next 12 months implies its momentum over the last two years will continue
- Well-designed software integrates seamlessly with other workflows, enabling swift payback periods on marketing expenses and customer growth at scale
CrowdStrike is trading at $221.42 per share, or 36.6x forward price-to-sales. Is now the time to initiate a position? Find out in our full research report, it’s free.
UMB Financial (UMBF)
One-Year Revenue Growth: +40%
With roots dating back to 1913 and a name derived from "United Missouri Bank," UMB Financial (NASDAQ:UMBF) is a financial holding company that provides banking, asset management, and fund services to commercial, institutional, and individual customers.
Why Are We Fans of UMBF?
- Market share has increased this cycle as its 38.1% annual revenue growth over the last two years was exceptional
- Market share has increased this cycle as its 21.7% annual net interest income growth over the last five years was exceptional
- Net interest margin jumped by 78.4 basis points (100 basis points = 1 percentage point) over the last two years, giving the firm more resources to pursue growth initiatives
UMB Financial’s stock price of $149.41 implies a valuation ratio of 1.4x forward P/B. Is now the right time to buy? See for yourself in our full research report, it’s free.
Stocks We Like Even More
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 Exlservice (+271% between June 2020 and June 2025). Find your next big winner with StockStory today.