Many investors pay attention to mid-cap stocks because they have established business models and expansive market opportunities. However, their paths to becoming $100 billion corporations are ripe with competition, ranging from giants with vast resources to agile upstarts eager to disrupt the status quo.
These dynamics can rattle even the most seasoned professionals, which is why we started StockStory - to help you separate the good companies from the bad. Keeping that in mind, here are two mid-cap stocks with long growth runways and one that may have trouble.
One Mid-Cap Stock to Sell:
Everest Group (EG)
Market Cap: $14.18 billion
Rebranded from Everest Re in 2023 to reflect its evolution beyond just reinsurance, Everest Group (NYSE:EG) underwrites property and casualty reinsurance and insurance worldwide, serving insurance companies, corporations, and other clients across six continents.
Why Do We Think EG Will Underperform?
- Scale presents growth limitations compared to smaller competitors, evidenced by its below-average 1.2% annualized growth in net premiums earned for the last two years
- Forecasted revenue decline of 13.4% for the upcoming 12 months implies demand will fall off a cliff
- Earnings per share fell by 15.5% annually over the last two years while its revenue grew, showing its incremental sales were much less profitable
Everest Group’s stock price of $369.81 implies a valuation ratio of 0.9x forward P/B. Read our free research report to see why you should think twice about including EG in your portfolio.
Two Mid-Cap Stocks to Watch:
Clean Harbors (CLH)
Market Cap: $16.54 billion
Established in 1980, Clean Harbors (NYSE:CLH) provides environmental and industrial services like hazardous and non-hazardous waste disposal and emergency spill cleanups.
Why Are We Fans of CLH?
- Annual revenue growth of 13.5% over the past five years was outstanding, reflecting market share gains this cycle
- Share buybacks catapulted its annual earnings per share growth to 21.6%, which outperformed its revenue gains over the last five years
- Free cash flow margin increased by 5.9 percentage points over the last five years, giving the company more capital to invest or return to shareholders
Clean Harbors is trading at $313.44 per share, or 31.2x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.
Sanmina (SANM)
Market Cap: $11.79 billion
Founded in 1980, Sanmina (NASDAQ:SANM) is an electronics manufacturing services company offering end-to-end solutions for various industries.
Why Should You Buy SANM?
- Impressive 29.6% annual revenue growth over the last two years indicates it’s winning market share this cycle
- Expected revenue growth of 17.5% for the next year suggests its market share will rise
- Share repurchases have amplified shareholder returns as its annual earnings per share growth of 41.3% exceeded its revenue gains over the last two years
At $221.78 per share, Sanmina trades at 17.8x forward P/E. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free.
Stocks We Like Even More
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-micro-cap company Tecnoglass (+1,552% between June 2020 and June 2025). Find your next big winner with StockStory today.