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. Keeping that in mind, here is one stock with lasting competitive advantages and two best left ignored.
Two Stocks to Sell:
CBRE (CBRE)
One-Month Return: +3.7%
Established in 1906, CBRE (NYSE: CBRE) is one of the largest commercial real estate services firms in the world.
Why Should You Sell CBRE?
- Large revenue base makes it harder to increase sales quickly, and its annual revenue growth of 10.3% over the last five years was below our standards for the consumer discretionary sector
- Poor free cash flow margin of 3.1% for the last two years limits its freedom to invest in growth initiatives, execute share buybacks, or pay dividends
- Waning returns on capital from an already weak starting point displays the inefficacy of management’s past and current investment decisions
CBRE’s stock price of $165.46 implies a valuation ratio of 23.6x forward P/E. Check out our free in-depth research report to learn more about why CBRE doesn’t pass our bar.
Globe Life (GL)
One-Month Return: +1.4%
With roots dating back to 1900 and a rebranding from Torchmark Corporation in 2019, Globe Life (NYSE: GL) is an insurance holding company that offers life insurance, supplemental health insurance, and annuity products through various distribution channels.
Why Are We Cautious About GL?
- Muted 4.5% annual revenue growth over the last two years shows its demand lagged behind its insurance peers
- Sluggish 4.6% annualized growth in net premiums earned over the last two years indicates the firm trailed its insurance peers
- Policy losses and capital returns have eroded its book value per share this cycle as its book value per share declined by 2% annually over the last five years
At $141.45 per share, Globe Life trades at 2x forward P/B. If you’re considering GL for your portfolio, see our FREE research report to learn more.
One Stock to Buy:
CECO Environmental (CECO)
One-Month Return: +1.4%
With roots dating back to 1869 and a focus on creating cleaner industrial operations, CECO Environmental (NASDAQ: CECO) provides technology and expertise that helps industrial companies reduce emissions, treat water, and improve energy efficiency across various sectors.
Why Will CECO Beat the Market?
- Annual revenue growth of 19% over the past two years was outstanding, reflecting market share gains this cycle
- Adjusted operating profits and efficiency rose over the last five years as it benefited from some fixed cost leverage
- Returns on capital are increasing as management’s prior bets are starting to bear fruit
CECO Environmental is trading at $61.84 per share, or 46.7x forward P/E. Is now the time to initiate a position? See for yourself in our comprehensive research report, it’s free.
High-Quality Stocks for All Market Conditions
Your portfolio can’t afford to be based on yesterday’s story. The risk in a handful of heavily crowded stocks is rising daily.
The names generating the next wave of massive growth are right here in 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 244% over the last five years (as of June 30, 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 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.
