The stocks featured in this article have all approached their 52-week highs. When these price levels hit, it typically signals strong business execution, positive market sentiment, or significant industry tailwinds.
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 are two stocks with the fundamentals to back up their performance and one best left ignored.
One Stock to Sell:
Invesco (IVZ)
One-Month Return: +2%
With roots dating back to 1935 when it pioneered the first mutual fund with an objective of capital growth, Invesco (NYSE:IVZ) is a global asset management firm that offers investment solutions across equities, fixed income, alternatives, and multi-asset strategies.
Why Do We Pass on IVZ?
- Flat sales over the last five years suggest it must find different ways to grow during this cycle
- Performance over the past five years shows each sale was less profitable, as its earnings per share fell by 1.5% annually
- High net-debt-to-EBITDA ratio of 5× increases the risk of forced asset sales or dilutive financing if operational performance weakens
At $32.36 per share, Invesco trades at 10.7x forward P/E. Read our free research report to see why you should think twice about including IVZ in your portfolio.
Two Stocks to Watch:
Coca-Cola (KO)
One-Month Return: +0.9%
A pioneer and behemoth in carbonated soft drinks, Coca-Cola (NYSE:KO) is a storied beverage company best known for its flagship soda.
Why Is KO on Our Radar?
- Differentiated product offerings are difficult to replicate at scale and result in a best-in-class gross margin of 61.7%
- Disciplined cost controls and effective management resulted in a strong two-year operating margin of 28.8%, and its operating leverage amplified its profits over the last year
- Free cash flow margin jumped by 30.1 percentage points over the last year, giving the company more resources to pursue growth initiatives, repurchase shares, or pay dividends
Coca-Cola’s stock price of $87.64 implies a valuation ratio of 26x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.
Affiliated Managers Group (AMG)
One-Month Return: -2.3%
Using a partnership approach that preserves entrepreneurial culture at its portfolio companies, Affiliated Managers Group (NYSE:AMG) is an investment firm that acquires stakes in boutique asset management companies while allowing them to maintain operational independence.
Why Should You Buy AMG?
- Performance over the past two years was turbocharged by share buybacks, which enabled its earnings per share to grow faster than its revenue
- Industry-leading 21.5% return on equity demonstrates management’s skill in finding high-return investments
Affiliated Managers Group is trading at $355 per share, or 9.1x forward P/E. Is now the time to initiate a position? See for yourself in our full research report, it’s free.
High-Quality Stocks for All Market Conditions
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 Comfort Systems (+1,154% between June 2020 and June 2025). Find your next big winner with StockStory today.
