Nasdaq
华尔街日报1 Cash-Heavy Stock Worth Your Attention and 2 Facing Challenges
A cash-heavy balance sheet is often a sign of strength, but not always. Some companies avoid debt because they have weak business models, limited expansion opportunities, or inconsistent cash flow.
Financial flexibility is valuable, but it’s not everything - at StockStory, we help you find the stocks that can not only survive but also outperform. Keeping that in mind, here is one company with a net cash position that balances growth with stability and two that may struggle.
Two Stocks to Sell:
eXp World (EXPI)
Net Cash Position: $186.4 million (13% of Market Cap)
Founded in 2009, eXp World (NASDAQ:EXPI) is a real estate company known for its virtual, cloud-based approach to real estate brokerage.
Why Is EXPI Risky?
- Demand for its offerings was relatively low as its number of transactions has underwhelmed
- Incremental sales over the last five years were much less profitable as its earnings per share fell by 25% annually while its revenue grew
- Lacking free cash flow generation means it has few chances to reinvest for growth, repurchase shares, or distribute capital
At $9.05 per share, eXp World trades at 17.3x forward EV-to-EBITDA. Read our free research report to see why you should think twice about including EXPI in your portfolio.
Exponent (EXPO)
Net Cash Position: $124.8 million (3.6% of Market Cap)
With a team of over 800 consultants holding advanced degrees in 90+ technical disciplines, Exponent (NASDAQ:EXPO) is a science and engineering consulting firm that investigates complex problems and provides expert analysis for clients across various industries.
Why Does EXPO Fall Short?
- Annual revenue growth of 3.5% over the last two years was below our standards for the business services sector
- Performance over the past two years shows its incremental sales were less profitable, as its 1.8% annual earnings per share growth trailed its revenue gains
- Eroding returns on capital suggest its historical profit centers are aging
Exponent is trading at $69.46 per share, or 31.7x forward P/E. Check out our free in-depth research report to learn more about why EXPO doesn’t pass our bar.
One Stock to Buy:
Alignment Healthcare (ALHC)
Net Cash Position: $288.4 million (7.3% of Market Cap)
Founded in 2013 with a mission to transform healthcare for seniors, Alignment Healthcare (NASDAQ:ALHC) provides Medicare Advantage health plans for seniors with features like concierge services, transportation benefits, and technology-driven care coordination.
Why Is ALHC a Good Business?
- Average customer growth of 41.2% over the past two years demonstrates success in acquiring new clients that could increase their spending in the future
- Earnings per share grew by 30.1% annually over the last four years and trumped its peers
- Free cash flow turned positive over the last five years, indicating the company has achieved financial self-sustainability
Alignment Healthcare’s stock price of $19.98 implies a valuation ratio of 56.4x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free for active Edge members.
Stocks We Like Even More
The market’s up big this year - but there’s a catch. Just 4 stocks account for half the S&P 500’s entire gain. That kind of concentration makes investors nervous, and for good reason. While everyone piles into the same crowded names, smart investors are hunting quality where no one’s looking - and paying a fraction of the price. Check out the high-quality names we’ve flagged in our Top 6 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 for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today.