Mid-cap stocks have the best odds of scaling into $100 billion corporations thanks to their tested business models and large addressable markets. But the many opportunities in front of them attract significant competition, spanning from industry behemoths with seemingly infinite resources to small, nimble players with chips on their shoulders.
Luckily for you, our mission at StockStory is to help you make money and avoid losses by sorting the winners from the losers. That said, here is one mid-cap stock with a long growth runway and two best left ignored.
Two Mid-Cap Stocks to Sell:
CDW (CDW)
Market Cap: $17.43 billion
Serving as a crucial bridge between technology manufacturers and end users since 1984, CDW (NASDAQ: CDW) is a multi-brand provider of information technology solutions that helps businesses and public sector organizations select, implement, and manage hardware, software, and IT services.
Why Does CDW Give Us Pause?
- Annual sales growth of 3.6% over the last five years lagged behind its business services peers as its large revenue base made it difficult to generate incremental demand
- Estimated sales growth of 3.7% for the next 12 months implies demand will slow from its two-year trend
- Annual earnings per share growth of 3.8% underperformed its revenue over the last two years, showing its incremental sales were less profitable
CDW is trading at $140.73 per share, or 12.6x forward P/E. If you’re considering CDW for your portfolio, see our FREE research report to learn more.
Halliburton (HAL)
Market Cap: $28.68 billion
Behind nearly every oil and gas well drilled worldwide, Halliburton (NYSE: HAL) provides drilling, completion, and production services that help oil and gas companies extract hydrocarbons from underground reservoirs.
Why Does HAL Worry Us?
- Gross margin of 16.8% reflects its high production costs and unfavorable asset base
At $34.46 per share, Halliburton trades at 12.9x forward P/E. Check out our free in-depth research report to learn more about why HAL doesn’t pass our bar.
One Mid-Cap Stock to Buy:
Woodward (WWD)
Market Cap: $21.88 billion
Initially designing controls for water wheels in the early 1900s, Woodward (NASDAQ: WWD) designs, services, and manufactures energy control products and optimization solutions.
What Makes WWD Stand Out?
- Market share has increased this cycle as its 13.7% annual revenue growth over the last five years was exceptional
- Operating profits increased over the last five years as the company gained some leverage on its fixed costs and became more efficient
- Performance over the past two years was turbocharged by share buybacks, which enabled its earnings per share to grow faster than its revenue
Woodward’s stock price of $366.40 implies a valuation ratio of 35.1x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
High-Quality Stocks for All Market Conditions
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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-micro-cap company Tecnoglass (+1,552% between June 2020 and June 2025). Find your next big winner with StockStory today.
