Growth is oxygen. But when it evaporates, the consequences can be severe - ask anyone who bought Cisco in the Dot-Com Bubble or newer investors who lived through the 2020 to 2022 COVID cycle.
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. Keeping that in mind, here are two growth stocks expanding their competitive advantages and one that could be down big.
One Growth Stock to Sell:
DHT Holdings (DHT)
One-Year Revenue Growth: +22.9%
With each vessel capable of carrying roughly 2 million barrels of oil—enough to fill about 125 Olympic swimming pools—DHT Holdings (NYSE: DHT) operates very large crude carriers that transport crude oil across international routes for energy companies and traders.
Why Are We Hesitant About DHT?
- Products and services are facing end-market challenges during this cycle, as seen in its flat sales over the last five years
- Modest revenue base of $448 million gives it less fixed cost leverage and fewer distribution channels than larger companies
- High extraction costs and unfavorable asset economics are reflected in its low gross margin of 33.5%
DHT Holdings’s stock price of $17.26 implies a valuation ratio of 5.8x forward P/E. Read our free research report to see why you should think twice about including DHT in your portfolio.
Two Growth Stocks to Watch:
PJT (PJT)
One-Year Revenue Growth: +21.4%
Spun off from Blackstone in 2015 and founded by former Morgan Stanley executive Paul J. Taubman, PJT Partners (NYSE: PJT) is an advisory-focused investment bank that provides strategic advice, restructuring services, and fundraising solutions to corporations, boards, and investment firms.
Why Do We Watch PJT?
- Impressive 18.7% annual revenue growth over the last two years indicates it’s winning market share this cycle
- Additional sales over the last two years increased its profitability as the 42% annual growth in its earnings per share outpaced its revenue
- Industry-leading 27.5% return on equity demonstrates management’s skill in finding high-return investments
At $163.05 per share, PJT trades at 20.4x forward P/E. Is now the right time to buy? See for yourself in our in-depth research report, it’s free.
Old Second Bancorp (OSBC)
One-Year Revenue Growth: +24.7%
Dating back to 1871 as one of the Chicago area's longest-standing financial institutions, Old Second Bancorp (NASDAQ: OSBC) is an Illinois-based community bank offering deposit services, commercial and consumer loans, wealth management, and mortgage products through its 53 branch locations.
Why Does OSBC Stand Out?
- Annual revenue growth of 21.5% over the past five years was outstanding, reflecting market share gains this cycle
- Annual net interest income growth of 27.4% over the last five years was superb and indicates its market share increased during this cycle
- Differentiated product suite leads to a best-in-class net interest margin of 4.9%
Old Second Bancorp is trading at $23.23 per share, or 1.3x forward P/B. Is now the time to initiate a position? Find out in our full research report, it’s free.
High-Quality Stocks for All Market Conditions
ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time.
Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE.
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.
