Recent Articles from StockStory

QuinStreet’s first quarter results reflected robust revenue growth, with management attributing performance to strong expansion in its financial services and home services verticals, particularly auto insurance. However, the market’s negative reaction centered on caution around future client spending and potential impacts from tariffs. CEO Doug Valenti noted, “The continued strong results are due to the combination of our big market opportunities, exceptional value proposition, and strong competitive advantages,” but also acknowledged that client ramp-ups have been more measured than anticipated, partly due to external uncertainties. Management’s remarks highlighted both the company’s operational progress and the external pressures shaping its outlook.

Amphastar Pharmaceuticals' first quarter results saw revenue remain flat compared to last year and fall slightly short of Wall Street’s projections, while non-GAAP earnings per share came in above expectations. Management attributed the revenue outcome to ongoing competition in critical care products such as Glucagon and Epinephrine, with Senior Vice President Dan Dischner noting, “demand for these products softened due to increased competition.” The company’s diversified product portfolio, particularly the strong performance of Primatene MIST, helped to counterbalance these competitive pressures and maintain operational resilience in a dynamic market environment.

Waste Connections delivered a first quarter that aligned with Wall Street’s expectations on revenue and modestly surpassed profit forecasts, as management’s pricing initiatives and operational discipline offset weather-related volume pressure. CEO Ron Mittelstaedt emphasized that “price-led organic solid waste growth continued, and acquisition activity drove a top-to-bottom beat in the quarter,” noting that core pricing rose 6.9% despite volume headwinds from severe weather. Management also highlighted ongoing improvements in employee retention and safety, which contributed to strong operational execution across the business.

3D Systems’ first quarter results fell short of Wall Street’s expectations, with management attributing the underperformance to weakened customer capital spending and heightened uncertainty around global tariffs. CEO Jeffrey Graves noted that outside of healthcare and defense, most customers paused or delayed capital expenditures, significantly impacting sales, especially in materials for dental and orthodontic applications. He described the environment as "anemic" and outlined that logistics cost pressures and shifting inventory management strategies among key customers contributed to revenue volatility. As a result, the company began more aggressive cost reduction initiatives to align with the reduced demand.

Watts Water’s first quarter results were met with a positive market reaction, as the company outperformed Wall Street’s revenue and profitability expectations despite a year-over-year sales decline. Management cited the benefit of its regionally focused manufacturing strategy and strong execution in the Americas, with CEO Bob Pagano noting, “Our primary strategy has been to make products in the regions for the region.” While organic sales slipped due to fewer shipping days and ongoing weakness in Europe, Watts offset these headwinds with disciplined cost control and contributions from recent acquisitions, particularly in the U.S. segment.

Transcat’s first quarter results were met with a notably positive market reaction, reflecting the company’s ability to deliver above analysts’ expectations for both revenue and non-GAAP profit. Management emphasized that robust demand in its core calibration services business, supported by recurring revenue from regulated industries, was a key factor. CEO Lee Rudow highlighted, “Our calibration services business continues to perform well and benefit from high levels of regulation and recurring revenue streams.” In addition, the integration of the Martin Calibration acquisition contributed to higher service revenue and expanded capabilities, while automation initiatives supported margin improvement within the service segment.

Upwork’s first quarter results were well received by the market, reflecting the company’s continued execution on cost discipline and investments in platform enhancements. Management attributed the quarter’s performance to improved customer experience, particularly through search and recommendation upgrades, and highlighted growing spend from larger clients. CEO Hayden Brown pointed to the resilience of Upwork’s core marketplace, noting that “GSV per active client grew year-over-year for the first time in six quarters.” She emphasized how product improvements, including AI-driven features, contributed to positive customer spend dynamics even as macroeconomic headwinds persisted.

Super Micro’s first quarter results showed solid year-on-year revenue growth, yet the company fell short of Wall Street’s revenue expectations as customers delayed purchases to await next-generation AI hardware. CEO Charles Liang attributed the shortfall primarily to technology platform transitions, explaining that “customers [were] waiting and evaluating AI platforms between the current Hopper and the upcoming Blackwell GPUs, leading to delayed commitments.” A one-time inventory write-down of older products and ongoing tariff pressures also weighed on operating margins, but management emphasized progress in ramping new AI platform shipments and expanding its global manufacturing footprint.

Applied Materials met Wall Street’s expectations in the first quarter of 2025, but the market reacted negatively, reflecting concerns that surfaced during the earnings call. Management highlighted strong demand for AI-enabling semiconductors and robust performance in leading-edge foundry and DRAM segments as primary growth drivers. CEO Gary Dickerson noted, “Our customers remain focused on winning the race to be first-to-market with transformative new technologies,” yet acknowledged that trade restrictions and a weaker 200-millimeter equipment market, especially in China, affected the company’s service segment. CFO Brice Hill cited the “rapidly evolving economic and trade policy environment” as a challenge that the company continues to navigate.

Acadia Healthcare’s first quarter results for 2025 were well received by the market, driven by stable revenue and outperformance on adjusted profitability metrics. Management attributed the quarter’s performance to continued demand for behavioral health services, the addition of new beds and facilities, and effective labor cost management. CEO Chris Hunter highlighted that "same facility patient days grew 2.2%," despite unfavorable calendar impacts, and cited the company’s ongoing focus on quality initiatives and close relationships with referral partners as important contributors. CFO Heather Dixon noted that premium pay and contract labor costs declined, contributing positively to the expense profile.

MSC Industrial’s second quarter results met Wall Street’s revenue expectations, while its adjusted profit outpaced analyst estimates. The positive market reaction reflected investors’ approval of early signs of progress in core customer engagement, high-touch solution expansion, and digital platform improvements. CEO Erik Gershwind highlighted that web enhancements and targeted marketing helped boost direct traffic and conversion rates, while new In-Plant and vending installations supported customer retention. Management also addressed ongoing macro softness in key manufacturing sectors like automotive and metals, noting that aerospace remained a relative bright spot.

Mondelez’s first quarter results prompted a positive response from the market, as the company’s profit surpassed analyst expectations despite flat sales. Management attributed this performance to strong pricing execution in the chocolate segment, successful product launches, and disciplined cost management. CEO Dirk Van de Put highlighted that effective price increases, particularly in Europe, and continued brand loyalty for core products like Oreo and Cadbury Dairy Milk offset the volume pressures caused by record cocoa costs and softer consumption in certain regions. The quarter also benefited from improved free cash flow and ongoing productivity initiatives.

Hims & Hers Health delivered a first quarter that surpassed Wall Street’s expectations, driven by strong adoption of its personalized healthcare solutions and momentum in weight loss offerings. Management highlighted that expanding the range of treatments, such as the addition of liraglutide and branded Wegovy through a new partnership with Novo Nordisk, was key to attracting new subscribers. CEO Andrew Dudum emphasized, “Our vision involves expanding from hundreds of personalized treatments today to potentially thousands, powered by richer insights from lab diagnostics, growing subscriber data sets, and eventually daily tracking from wearable devices.”

Central Garden & Pet’s first quarter results reflected a decline in sales, which management attributed to the earlier timing of preseason orders, unseasonably cold and wet weather delaying the garden season, and the loss of key product lines in its third-party distribution business. Despite these headwinds, CEO Niko Lahanas highlighted strong execution in cost management and operational efficiency, which drove margin expansion and record non-GAAP operating income in the Pet segment. The Wild Bird business also stood out, benefiting from colder weather and achieving record sales. Management acknowledged a more promotional retail environment and increased consumer focus on value, especially in categories experiencing trade-down behaviors.

Adtalem’s first quarter was marked by robust enrollment increases across its core healthcare education segments, fueling a positive market reaction. Management attributed the strong top-line and margin improvement to both sustained demand in nursing and healthcare programs and operational efficiencies in student-facing platforms. CEO Steve Beard credited “seven consecutive quarters of enrollment growth” and highlighted the success of digital initiatives at Walden University, which drove higher student retention and academic performance. Additional enrollment gains at Chamberlain and the return to growth in the Medical and Veterinary segment also underpinned the company’s quarterly performance.

Scholastic’s first quarter results were received positively by the market, with the company posting modest year-over-year revenue growth and a significant improvement in operating margin. Management attributed this performance to strong results from its Children’s Books segment—especially the success of new releases like Dog Man: Big Jim Begins—and the contribution from the recently acquired 9 Story Media Group. CEO Peter Warwick cited, “Scholastic’s unique strengths in engaging kids with great books and quality children’s media,” as a key driver, while also noting ongoing pressures on family and school spending.

Ingram Micro’s first quarter drew a negative market reaction after GAAP earnings per share fell short of Wall Street’s expectations, even as revenue surpassed consensus forecasts. Management pointed to robust growth in client and endpoint solutions, especially in North America and Asia Pacific, as key drivers of sales momentum. CFO Michael Zilis acknowledged that gross margin pressures reflected a higher mix of large enterprise sales, which tend to be lower margin, and ongoing competitive challenges in markets like India. While automation and cost actions improved operating expense leverage, the benefits were not enough to offset the impact of product and geographic mix on profitability.

Bloomin’ Brands’ first quarter results were met with a negative market reaction, as management acknowledged losing share to industry peers despite revenue slightly exceeding Wall Street expectations. CEO Mike Spanos attributed the underperformance to ongoing challenges at Outback Steakhouse, including a value proposition that has not resonated with price-sensitive consumers and operational inconsistencies. Spanos was candid, stating, “We are dissatisfied with our financial and market share results and know we need to do better,” while detailing the company’s early progress on menu simplification and operational redesign.

Tetra Tech delivered a first quarter marked by notable top-line growth and a strong market response, despite significant operational shifts. Management emphasized the company’s ability to replace lost federal revenue after the abrupt reduction in USAID and State Department contracts, pointing to the resilience of its diverse client base. CEO Dan Batrack highlighted that, with the loss of its largest client, “the diversity of our clients, diversity of the services we provide and the geographies that we operate in” helped drive one of the highest revenue quarters in company history. Growth was attributed to robust state and local government demand, particularly in water and environmental services, as well as disaster response, which offset a sharp decline in federal backlog.

Essent Group’s first quarter results were met with a positive market reaction, as management pointed to strong portfolio persistency and higher investment yields as key factors supporting earnings. CEO Mark Casale explained that “higher interest rates continue to benefit the persistency of our insured portfolio and investment yields,” which helped offset muted growth in new mortgage insurance originations due to affordability challenges and limited housing supply. Despite these external pressures, management highlighted the continued high credit quality of new business and stable unit economics, supported by disciplined underwriting and a focus on operating efficiency.

Charles River Laboratories’ first quarter drew a highly positive market response, with results driven by stronger-than-expected demand in its Drug Safety Assessment (DSA) segment and signs of stabilization across client groups. Management credited improved bookings and a net book-to-bill ratio above 1x for the DSA segment, noting this was the first such result in over two years. CEO Jim Foster highlighted, “We were pleased to see the DSA net book-to-bill return to just above 1x for the first time in over 2 years due to improved quarterly bookings.” Cost savings from restructuring initiatives also supported margins, offsetting revenue declines from lower commercial activity in parts of the business.

Kura Sushi’s first quarter results were shaped by ongoing expansion into new U.S. markets, successful restaurant openings, and the impact of severe winter weather, which management estimates reduced comparable sales by 400 to 500 basis points. CEO Hajime Jimmy Uba highlighted the company’s operational progress, particularly in opening new locations and rolling out technology upgrades. Despite facing a challenging same-store sales comparison due to the absence of a major IP collaboration and weather disruptions, management emphasized improved supply chain efficiency and cost controls. CFO Jeff Uttz noted that “cost of goods sold as a percentage of sales improved by 90 basis points over the prior year quarter,” pointing to pricing and sourcing changes as key drivers.

Driven Brands delivered a first quarter that surpassed Wall Street’s expectations, with management attributing the outperformance to robust expansion in the Take 5 Oil Change business and a disciplined focus on non-discretionary automotive services. CEO Jonathan Fitzpatrick highlighted that Take 5 achieved its 19th consecutive quarter of positive same-store sales, while the company’s broader growth was supported by steady new store openings and a diversified service mix. The recent sale of the U.S. Car Wash business allowed Driven Brands to intensify its focus on core offerings and accelerate debt reduction. COO Danny Rivera noted, “Even in uncertain times, customers depend on their vehicles to live their lives and care for their families.”

Xponential Fitness's first quarter was marked by a decline in sales and a negative market reaction, as the company reported a 3.5% year-over-year revenue drop and a non-GAAP loss that fell short of Wall Street expectations. Management attributed the subdued performance to a higher-than-anticipated studio closure rate, particularly within the CycleBar and StretchLab brands, and a temporary pause in franchise license terminations as the company reorganized its operations. CEO Mark King described the business as “in the middle of a transformation,” emphasizing a shift from aggressive sales tactics to a focus on operational efficiency and franchisee support.

Stocks that outperform the market usually share key traits such as rising sales, expanding margins, and increasing returns on capital. The select few that can do all three for many years are often the ones that make you life-changing money.

While profitability is essential, it doesn’t guarantee long-term success. Some companies that rest on their margins will lose ground as competition intensifies - as Jeff Bezos said, "Your margin is my opportunity".

While profitability is essential, it doesn’t guarantee long-term success. Some companies that rest on their margins will lose ground as competition intensifies - as Jeff Bezos said, "Your margin is my opportunity".

Semiconductors are the core infrastructure powering the Information Age. Demand for chips is variable though, meaning that corporate inventory levels and sentiment can significantly impact the industry. The market doesn’t seem convinced we’re due for another upturn as the sector’s 3.1% gain over the past six months has trailed the S&P 500 by 2 percentage points.

Even if a company is profitable, it doesn’t always mean it’s a great investment. Some struggle to maintain growth, face looming threats, or fail to reinvest wisely, limiting their future potential.

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.

Generating cash is essential for any business, but not all cash-rich companies are great investments. Some produce plenty of cash but fail to allocate it effectively, leading to missed opportunities.

Exciting developments are taking place for the stocks in this article. They’ve all surged ahead of the broader market over the last month as catalysts such as new products and positive media coverage have propelled their returns.

Not all profitable companies are built to last - some rely on outdated models or unsustainable advantages. Just because a business is in the green today doesn’t mean it will thrive tomorrow.

The S&P 500 (^GSPC) is often seen as a benchmark for strong businesses, but that doesn’t mean every stock is worth owning. Some companies face significant challenges, whether it’s stagnating growth, heavy debt, or disruptive new competitors.

By avoiding big swings, low-volatility stocks let investors focus on long-term fundamentals. These stocks may not be up 100% in a single year, but they offer a measured approach to building wealth over time.

Market swings can be tough to stomach, and volatile stocks often experience exaggerated moves in both directions. While many thrive during risk-on environments, many also struggle to maintain investor confidence when the ride gets bumpy.

Stability is great, but low-volatility stocks may struggle to deliver market-beating returns over time as they sometimes underperform during bull markets.

Stability is great, but low-volatility stocks may struggle to deliver market-beating returns over time as they sometimes underperform during bull markets.

Not all profitable companies are built to last - some rely on outdated models or unsustainable advantages. Just because a business is in the green today doesn’t mean it will thrive tomorrow.

While profitability is essential, it doesn’t guarantee long-term success. Some companies that rest on their margins will lose ground as competition intensifies - as Jeff Bezos said, "Your margin is my opportunity".

A company that generates cash isn’t automatically a winner. Some businesses stockpile cash but fail to reinvest wisely, limiting their ability to expand.

Value stocks typically trade at discounts to the broader market, offering patient investors the opportunity to buy businesses when they’re out of favor. The key risk, however, is that these stocks are usually cheap for a reason – five cents for a piece of fruit may seem like a great deal until you find out it’s rotten.

Value stocks typically trade at discounts to the broader market, offering patient investors the opportunity to buy businesses when they’re out of favor. The key risk, however, is that these stocks are usually cheap for a reason – five cents for a piece of fruit may seem like a great deal until you find out it’s rotten.

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.

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.

Value stocks typically trade at discounts to the broader market, offering patient investors the opportunity to buy businesses when they’re out of favor. The key risk, however, is that these stocks are usually cheap for a reason – five cents for a piece of fruit may seem like a great deal until you find out it’s rotten.

A highly volatile stock can deliver big gains - or just as easily wipe out a portfolio if things go south. While some investors embrace risk, mistakes can be costly for those who aren’t prepared.

Market swings can be tough to stomach, and volatile stocks often experience exaggerated moves in both directions. While many thrive during risk-on environments, many also struggle to maintain investor confidence when the ride gets bumpy.

Even if a company is profitable, it doesn’t always mean it’s a great investment. Some struggle to maintain growth, face looming threats, or fail to reinvest wisely, limiting their future potential.

A company that generates cash isn’t automatically a winner. Some businesses stockpile cash but fail to reinvest wisely, limiting their ability to expand.

A stock with low volatility can be reassuring, but it doesn’t always mean strong long-term performance. Investors who prioritize stability may miss out on higher-reward opportunities elsewhere.

Most consumer discretionary businesses succeed or fail based on the broader economy. This sensitive demand profile can cause discretionary stocks to plummet when macro uncertainty enters the fray, and over the past six months, the industry has shed 2.8%. This drawdown was disheartening since the S&P 500 gained 5%.

Stocks under $10 pique our interest because they have room to grow (as well as the most affordable option contract premiums). That doesn’t mean they’re bargains though, and we urge investors to be careful as many have risky business models.

Small-cap stocks can be incredibly lucrative investments because their lack of analyst coverage leads to frequent mispricings. However, these businesses (and their stock prices) often stay small because their subscale operations make it harder to expand their competitive moats.

Large-cap stocks have the power to shape entire industries thanks to their size and widespread influence. With such vast footprints, however, finding new areas for growth is much harder than for smaller, more agile players.

Not all profitable companies are built to last - some rely on outdated models or unsustainable advantages. Just because a business is in the green today doesn’t mean it will thrive tomorrow.

A highly volatile stock can deliver big gains - or just as easily wipe out a portfolio if things go south. While some investors embrace risk, mistakes can be costly for those who aren’t prepared.

Even if a company is profitable, it doesn’t always mean it’s a great investment. Some struggle to maintain growth, face looming threats, or fail to reinvest wisely, limiting their future potential.

Wall Street has set ambitious price targets for the stocks in this article. While this suggests attractive upside potential, it’s important to remain skeptical because analysts face institutional pressures that can sometimes lead to overly optimistic forecasts.

Stability is great, but low-volatility stocks may struggle to deliver market-beating returns over time as they sometimes underperform during bull markets.

Stocks that outperform the market usually share key traits such as rising sales, expanding margins, and increasing returns on capital. The select few that can do all three for many years are often the ones that make you life-changing money.

The low valuation multiples for value stocks provide a margin of safety that growth stocks rarely offer. However, the challenge lies in determining whether these cheap assets are genuinely undervalued or simply on sale due to their potentially deteriorating business models.

Small-cap stocks can be incredibly lucrative investments because their lack of analyst coverage leads to frequent mispricings. However, these businesses (and their stock prices) often stay small because their subscale operations make it harder to expand their competitive moats.

Small-cap stocks can be incredibly lucrative investments because their lack of analyst coverage leads to frequent mispricings. However, these businesses (and their stock prices) often stay small because their subscale operations make it harder to expand their competitive moats.

Volatility cuts both ways - while it creates opportunities, it also increases risk, making sharp declines just as likely as big gains. This unpredictability can shake out even the most experienced investors.

Many small-cap stocks have limited Wall Street coverage, giving savvy investors the chance to act before everyone else catches on. But the flip side is that these businesses have increased downside risk because they lack the scale and staying power of their larger competitors.

Mid-cap stocks often strike the right balance between having proven business models and market opportunities that can support $100 billion corporations. However, they face intense competition from scaled industry giants and can be disrupted by new innovative players vying for a slice of the pie.

Investors looking for hidden gems should keep an eye on small-cap stocks because they’re frequently overlooked by Wall Street. Many opportunities exist in this part of the market, but it is also a high-risk, high-reward environment due to the lack of reliable analyst price targets.

Expensive stocks typically earn their valuations through superior growth rates that other companies simply can’t match. The flip side though is that these lofty expectations make them particularly susceptible to drawdowns when market sentiment shifts.

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.

From commerce to culture, software is digitizing every aspect of our lives. This secular theme makes SaaS companies attractive investment candidates but also comes with higher valuations that cause volatility. Unfortunately, the rich prices have haunted them over the past six months as the industry has shed 2.3%. This performance was discouraging since the S&P 500 returned 5%.

Over the last six months, Zeta’s shares have sunk to $15.45, producing a disappointing 18.6% loss - a stark contrast to the S&P 500’s 5% gain. This might have investors contemplating their next move.

Taylor Morrison Home currently trades at $63.45 per share and has shown little upside over the past six months, posting a middling return of 4.5%.

Over the past six months, Old Dominion Freight Line’s shares (currently trading at $171.03) have posted a disappointing 6.4% loss, well below the S&P 500’s 5% gain. This might have investors contemplating their next move.

What a brutal six months it’s been for Shutterstock. The stock has dropped 33.5% and now trades at $19.97, rattling many shareholders. This might have investors contemplating their next move.