Each stock in this article is trading near its 52-week high. These elevated prices usually indicate some degree of investor confidence, business improvements, or favorable market conditions.

But not every company with momentum is a long-term winner, and plenty of investors have lost money betting on short-term fads. On that note, here are two stocks with the fundamentals to back up their performance and one best left ignored.

One Stock to Sell:

Teradyne (TER)

One-Month Return: +15.7%

Sporting most major chip manufacturers as its customers, Teradyne (NASDAQ: TER) is a US-based supplier of automated test equipment for semiconductors as well as other technologies and devices.

Why Does TER Give Us Pause?

1. Customers postponed purchases of its products and services this cycle as its revenue declined by 1.1% annually over the last five years
2. Operating profits fell over the last five years as its sales dropped and it struggled to adjust its fixed costs
3. Performance over the past five years shows each sale was less profitable as its earnings per share dropped by 6.6% annually, worse than its revenue

Teradyne’s stock price of $225.29 implies a valuation ratio of 42.4x forward P/E. Read our free research report to see why you should think twice about including TER in your portfolio.

Two Stocks to Watch:

Maximus (MMS)

One-Month Return: +11.7%

With nearly 50 years of experience translating public policy into operational programs that serve millions of citizens, Maximus (NYSE: MMS) provides operational services, clinical assessments, and technology solutions to government agencies in the U.S. and internationally.

Why Are We Positive On MMS?

1. Annual revenue growth of 9.4% over the last five years was superb and indicates its market share increased during this cycle
2. Revenue base of $5.43 billion gives it economies of scale and some distribution advantages
3. Share repurchases have amplified shareholder returns as its annual earnings per share growth of 34.8% exceeded its revenue gains over the last two years

Maximus is trading at $96.59 per share, or 11.9x forward P/E. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free.

Evercore (EVR)

One-Month Return: +11.4%

Founded in 1995 as a boutique advisory firm focused on independence and client trust, Evercore (NYSE: EVR) is an independent investment banking firm that provides strategic advisory, capital markets, and wealth management services to corporations, financial sponsors, and high-net-worth individuals.

Why Are We Bullish on EVR?

1. Annual revenue growth of 19.5% over the past two years was outstanding, reflecting market share gains this cycle
2. Additional sales over the last two years increased its profitability as the 27.1% annual growth in its earnings per share outpaced its revenue
3. Stellar return on equity showcases management’s ability to surface highly profitable business ventures

At $375.00 per share, Evercore trades at 22.6x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.

Stocks We Like Even More

Your portfolio can’t afford to be based on yesterday’s story. The risk in a handful of heavily crowded stocks is rising daily.

The names generating the next wave of massive growth are right here in our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 244% over the last five years (as of June 30, 2025).

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-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today.