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华尔街日报2 Mid-Cap Stocks with Promising Prospects and 1 We Question
Mid-cap stocks often strike the right balance between having proven business models and market opportunities that can support $100 billion corporations. However, they face intense competition from scaled industry giants and can be disrupted by new innovative players vying for a slice of the pie.
Luckily for you, our mission at StockStory is to help you make money and avoid losses by sorting the winners from the losers. Keeping that in mind, here are two mid-cap stocks with massive growth potential and one best left ignored.
One Mid-Cap Stock to Sell:
Unity (U)
Market Cap: $19.44 billion
Powering over half of the world's mobile games and expanding into industries from automotive to architecture, Unity (NYSE:U) provides software tools and services that allow developers to create, run, and monetize interactive 2D and 3D content across multiple platforms.
Why Do We Steer Clear of U?
- Products, pricing, or go-to-market strategy need some adjustments as its billings have averaged 2.5% declines over the last year
- Estimated sales growth of 12.1% for the next 12 months is soft and implies weaker demand
- Poor expense management has led to operating margin losses
Unity’s stock price of $45.42 implies a valuation ratio of 9.5x forward price-to-sales. Dive into our free research report to see why there are better opportunities than U.
Two Mid-Cap Stocks to Watch:
NetApp (NTAP)
Market Cap: $21.8 billion
Founded in 1992 as a pioneer in networked storage technology, NetApp (NASDAQ:NTAP) provides data storage and management solutions that help organizations store, protect, and optimize their data across on-premises data centers and public clouds.
Why Does NTAP Stand Out?
- Business is winning new contracts that can potentially increase in value as its billings growth averaged 7.2% over the past two years
- Adjusted operating margin improvement of 5.9 percentage points over the last five years demonstrates its ability to scale efficiently
- NTAP is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders, and its rising cash conversion increases its margin of safety
At $110.05 per share, NetApp trades at 13.2x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free for active Edge members.
Cincinnati Financial (CINF)
Market Cap: $25.88 billion
Founded in 1950 by independent insurance agents seeking stable market options for their clients, Cincinnati Financial (NASDAQ:CINF) provides property casualty insurance, life insurance, and related financial services through independent agencies across 46 states.
Why Is CINF Interesting?
- Market penetration was impressive this cycle as its net premiums earned expanded by 12.1% annually over the last two years
- Performance over the past five years was boosted by share buybacks, which enabled its earnings per share to grow faster than its revenue
- Impressive 20.8% annual book value per share growth over the last two years indicates it’s building equity value this cycle
Cincinnati Financial is trading at $165.93 per share, or 1.6x forward P/B. Is now a good time to buy? See for yourself in our full research report, it’s free for active Edge members.
Stocks We Like Even More
If your portfolio success hinges on just 4 stocks, your wealth is built on fragile ground. You have a small window to secure high-quality assets before the market widens and these prices disappear.
Don’t wait for the next volatility shock. Check out our Top 9 Market-Beating Stocks. 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 Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today.