Nasdaq
华尔街日报1 Russell 2000 Stock with Exciting Potential and 2 We Question
The Russell 2000 (^RUT) is packed with potential breakout stocks, thanks to its focus on smaller companies with high growth potential. However, smaller size also means these businesses often lack the resilience and financial flexibility of large-cap firms, making careful selection crucial.
Picking the right small caps isn’t easy, and that’s exactly why StockStory exists - to help you focus on the best opportunities. Keeping that in mind, here is one Russell 2000 stock that could be the next big thing and two best left off your watchlist.
Two Stocks to Sell:
Shutterstock (SSTK)
Market Cap: $685.5 million
Originally featuring a library that included many of founder Jon Oringer’s photos, Shutterstock (NYSE:SSTK) is now a digital platform where customers can license and use hundreds of millions of pieces of content.
Why Are We Hesitant About SSTK?
- Focus on expanding its platform came at the expense of monetization as its average revenue per request fell by 18.6% annually
- Projected sales decline of 1% for the next 12 months points to a tough demand environment ahead
- Issuance of new shares over the last three years caused its earnings per share growth of 2.5% to lag its revenue gains
Shutterstock is trading at $19.08 per share, or 3x forward EV/EBITDA. If you’re considering SSTK for your portfolio, see our FREE research report to learn more.
OneWater (ONEW)
Market Cap: $200.8 million
A public company since early 2020, OneWater Marine (NASDAQ:ONEW) sells boats, yachts, and other marine products.
Why Is ONEW Risky?
- Weak same-store sales trends over the past two years suggest there may be few opportunities in its core markets to open new locations
- Issuance of new shares over the last three years caused its earnings per share to fall by 66.6% annually while its revenue grew
- 7× net-debt-to-EBITDA ratio makes lenders less willing to extend additional capital, potentially necessitating dilutive equity offerings
At $12.01 per share, OneWater trades at 18.1x forward P/E. Read our free research report to see why you should think twice about including ONEW in your portfolio.
One Stock to Buy:
Primoris (PRIM)
Market Cap: $6.97 billion
Listed on the NASDAQ in 2008, Primoris (NYSE:PRIM) builds, maintains, and upgrades infrastructure in the utility, energy, and civil construction industries.
Why Are We Backing PRIM?
- Average backlog growth of 143% over the past two years shows it has a steady sales pipeline that will drive future orders
- Earnings per share grew by 39.1% annually over the last two years and trumped its peers
- Free cash flow margin jumped by 5.9 percentage points over the last five years, giving the company more resources to pursue growth initiatives, repurchase shares, or pay dividends
Primoris’s stock price of $130.15 implies a valuation ratio of 24x forward P/E. Is now the time to initiate a position? See for yourself in our comprehensive research report, it’s free for active Edge members .
High-Quality Stocks for All Market Conditions
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 5 Growth Stocks for this month. 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.