The stocks in this article are all trading near their 52-week highs. This strength often reflects positive developments such as new product launches, favorable industry trends, or improved financial performance.
However, not all companies with momentum are long-term winners, and many investors have lost money by following short-term trends. Keeping that in mind, here are three stocks getting more buzz than they deserve and some you should buy instead.
MSC Industrial (MSM)
One-Month Return: +3.2%
Founded in NYC’s Little Italy, MSC Industrial Direct (NYSE:MSM) provides industrial supplies and equipment, offering vast and reliable selection for customers such as contractors
Why Is MSM Risky?
- Flat sales over the last two years suggest it must find different ways to grow during this cycle
- Earnings per share have dipped by 1.4% annually over the past five years, which is concerning because stock prices follow EPS over the long term
- Waning returns on capital imply its previous profit engines are losing steam
MSC Industrial’s stock price of $123.89 implies a valuation ratio of 23.8x forward P/E. Dive into our free research report to see why there are better opportunities than MSM.
Enova (ENVA)
One-Month Return: +10.5%
Pioneering online lending since 2004 with a massive database of over 65 terabytes of customer behavior data, Enova International (NYSE:ENVA) provides online financial services including installment loans and lines of credit to non-prime consumers and small businesses in the United States and Brazil.
Why Do We Think Twice About ENVA?
- Incremental sales over the last five years were less profitable as its 8.8% annual earnings per share growth lagged its revenue gains
- High net-debt-to-EBITDA ratio of 5× could force the company to raise capital on unfavorable terms if market conditions deteriorate
Enova is trading at $261.78 per share, or 13.9x forward P/E. To fully understand why you should be careful with ENVA, check out our full research report (it’s free).
BOK Financial (BOKF)
One-Month Return: +2.9%
Tracing its roots back to 1910 when Oklahoma was still a young state, BOK Financial (NASDAQ:BOKF) is a regional bank holding company that provides commercial banking, consumer banking, and wealth management services across eight states in the central and southwestern US.
Why Is BOKF Not Exciting?
- Muted 3.4% annual revenue growth over the last five years shows its demand lagged behind its banking peers
- 4% annual net interest income growth over the last five years was slower than its banking peers
- Earnings per share lagged its peers over the last five years as they only grew by 2.8% annually
At $144.51 per share, BOK Financial trades at 1.4x forward P/B. Read our free research report to see why you should think twice about including BOKF in your portfolio.
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 (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+1,154% between June 2020 and June 2025). Find your next big winner with StockStory today.