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.
The risks that can come from buying these assets are precisely why we started StockStory — to isolate the long-term winners from the losers so you can invest with confidence. That said, here are two growth stocks where the best is yet to come and one facing an uphill battle.
One Growth Stock to Sell:
Glacier Bancorp (GBCI)
One-Year Revenue Growth: +31.7%
Operating through seventeen distinct bank divisions with local brands and management teams, Glacier Bancorp (NYSE:GBCI) is a bank holding company that provides various banking services to individuals and businesses across eight western states.
Why Does GBCI Worry Us?
- Muted 8.5% annual revenue growth over the last five years shows its demand lagged behind its banking peers
- Performance over the past five years shows its incremental sales were much less profitable, as its earnings per share fell by 4.8% annually
- Muted 3.1% annual tangible book value per share growth over the last five years shows its capital generation lagged behind its banking peers
At $42.72 per share, Glacier Bancorp trades at 1.3x forward P/B. Read our free research report to see why you should think twice about including GBCI in your portfolio.
Two Growth Stocks to Watch:
DigitalOcean (DOCN)
One-Year Revenue Growth: +21.4%
Built for simplicity in a world of complex cloud solutions, DigitalOcean (NYSE:DOCN) provides a simplified cloud computing platform that enables developers and small businesses to quickly deploy and scale applications.
Why Do We Like DOCN?
- Winning new contracts that can potentially increase in value as its billings growth has averaged 25.2% over the last year
- Exciting sales outlook for the upcoming 12 months calls for 40.7% growth, an acceleration from its two-year trend
- User-friendly software enables clients to ramp up spending quickly, leading to the speedy recovery of customer acquisition costs
DigitalOcean is trading at $107.63 per share, or 11.4x forward price-to-sales. Is now the time to initiate a position? Find out in our full research report, it’s free.
HCI Group (HCI)
One-Year Revenue Growth: +22.8%
Starting as a Florida "take-out" insurer that assumed policies from the state-backed Citizens Property Insurance Corporation, HCI Group (NYSE:HCI) provides property and casualty insurance, primarily homeowners coverage, while leveraging proprietary technology to improve underwriting and claims processing.
Why Do We Love HCI?
- Strong 15.5% annualized net premiums earned expansion over the last two years shows it’s capturing market share this cycle
- Performance over the past two years shows its incremental sales were extremely profitable, as its annual earnings per share growth of 36.3% outpaced its revenue gains
- Annual book value per share growth of 42.4% over the past two years was outstanding, reflecting strong capital accumulation this cycle
HCI Group’s stock price of $195.79 implies a valuation ratio of 2x forward P/B. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free.
Stocks We Like Even More
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-small-cap company Comfort Systems (+1,154% between June 2020 and June 2025). Find your next big winner with StockStory today.