Nyse Order Imbalance 38282.0 Shares On Buy Side

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 are two mid-cap stocks with long growth runways and one that could be down big.

One Mid-Cap Stock to Sell:

Avery Dennison (AVY)

Market Cap: $12.85 billion

Founded as Kum Kleen Products, Avery Dennison is a manufacturer of adhesive materials, display graphics, and packaging products, serving various industries.

Why Does AVY Worry Us?

• Organic revenue growth fell short of our benchmarks over the past two years and implies it may need to improve its products, pricing, or go-to-market strategy
• 3.4 percentage point decline in its free cash flow margin over the last five years reflects the company’s increased investments to defend its market position
• Shrinking returns on capital suggest that increasing competition is eating into the company’s profitability

At $164.73 per share, Avery Dennison trades at 16x forward P/E. If you’re considering AVY for your portfolio, see our FREE research report to learn more.

Two Mid-Cap Stocks to Watch:

EMCOR (EME)

Market Cap: $28.4 billion

Through its network of over 70 subsidiaries, EMCOR provides electrical, mechanical, and building construction and services

Why Is EME a Top Pick?

• Market share has increased this cycle as its 15.6% annual revenue growth over the last two years was exceptional
• Share buybacks catapulted its annual earnings per share growth to 54.8%, which outperformed its revenue gains over the last two years
• Returns on capital are growing as management capitalizes on its market opportunities

EMCOR’s stock price of $635.90 implies a valuation ratio of 26.2x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.

Webster Financial (WBS)

Market Cap: $10.25 billion

Founded during the Great Depression in 1935 and evolving into a major Northeastern financial institution, Webster Financial is a bank holding company that provides commercial banking, consumer banking, and employee benefits solutions through its Webster Bank and HSA Bank division.

Why Does WBS Stand Out?

• Annual net interest income growth of 22.1% over the past five years was outstanding, reflecting market share gains this cycle
• Efficiency ratio improved by 12.8 percentage points over the last four years as it scaled
• Earnings growth has trumped its peers over the last five years as its EPS has compounded at 13.8% annually

Webster Financial is trading at $61.66 per share, or 1.1x forward P/B. Is now a good time to buy? See for yourself in our full research report, it’s free.

High-Quality Stocks for All Market Conditions

Donald Trump’s April 2025 "Liberation Day" tariffs sent markets into a tailspin, but stocks have since rebounded strongly, proving that knee-jerk reactions often create the best buying opportunities.

The smart money is already positioning for the next leg up. Don’t miss out on the recovery - check out 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 183% over the last five years (as of March 31st 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return).

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.