Large-cap stocks are known for their staying power and ability to weather market storms better than smaller competitors. However, their sheer size makes it more challenging to maintain high growth rates as they’ve already captured significant portions of their markets.
This dynamic can trouble even the most skilled investors, but luckily for you, we started StockStory to help you navigate these trade-offs and uncover exceptional companies that break the mold. That said, here are two large-cap stocks that still have big upside potential and one whose existing offerings may be tapped out.
One Large-Cap Stock to Sell:
Bristol-Myers Squibb (BMY)
Market Cap: $123.5 billion
With roots dating back to 1887 and a transformative merger in 1989 that gave the company its current name, Bristol-Myers Squibb (NYSE: BMY) discovers, develops, and markets prescription medications for serious diseases including cancer, blood disorders, immunological conditions, and cardiovascular diseases.
Why Are We Wary of BMY?
- 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 2.6% for the last five years
- Forecasted revenue decline of 6.6% for the upcoming 12 months implies demand will fall off a cliff
- Efficiency has decreased over the last five years as its adjusted operating margin fell by 10.3 percentage points
Bristol-Myers Squibb’s stock price of $60.45 implies a valuation ratio of 9.7x forward P/E. Read our free research report to see why you should think twice about including BMY in your portfolio.
Two Large-Cap Stocks to Buy:
Vertiv (VRT)
Market Cap: $93.26 billion
Formerly part of Emerson Electric, Vertiv (NYSE: VRT) manufactures and services infrastructure technology products for data centers and communication networks.
Why Do We Love VRT?
- Core business can prosper without any help from acquisitions as its organic revenue growth averaged 21.9% over the past two years
- Free cash flow margin increased by 16 percentage points over the last five years, giving the company more capital to invest or return to shareholders
- Improving returns on capital reflect management’s ability to monetize investments
At $243.70 per share, Vertiv trades at 39.6x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
HCA Healthcare (HCA)
Market Cap: $119 billion
With roots dating back to 1968 and a network spanning 20 states, HCA Healthcare (NYSE: HCA) operates a network of 190 hospitals and 150+ outpatient facilities providing a full range of medical services across the US and England.
Why Should You Buy HCA?
- Massive revenue base of $75.6 billion in a highly regulated sector makes the company difficult to replace, giving it meaningful negotiating power
- Share repurchases have amplified shareholder returns as its annual earnings per share growth of 21% exceeded its revenue gains over the last five years
- Stellar returns on capital showcase management’s ability to surface highly profitable business ventures
HCA Healthcare is trading at $532.25 per share, or 17.5x forward P/E. Is now the time to initiate a position? See for yourself in our full research report, it’s free.
Stocks We Like Even More
If your portfolio success hinges on just 4 stocks, your wealth is built on fragile ground. You have a small window to secure high-quality assets before the market widens and these prices disappear.
Don’t wait for the next volatility shock. Check out our Top 5 Growth Stocks for this month. 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 Exlservice (+354% five-year return). Find your next big winner with StockStory today.
