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1 Cash-Heavy Stock with Solid Fundamentals and 2 We Ignore

By Jabin Bastian | November 19, 2025, 6:42 AM

CRM Cover Image

Companies with more cash than debt can be financially resilient, but that doesn’t mean they’re all strong investments. Some lack leverage because they struggle to grow or generate consistent profits, making them unattractive borrowers.

Just because a business has cash doesn’t mean it’s a good investment. Luckily, StockStory is here to help you separate the winners from the losers. That said, here is one company with a net cash position that can continue growing sustainably and two with hidden risks.

Two Stocks to Sell:

Salesforce (CRM)

Net Cash Position: $4.14 billion (1.9% of Market Cap)

With its cloud-based platform named after its stock ticker symbol CRM (Customer Relationship Management), Salesforce (NYSE:CRM) provides customer relationship management software that helps businesses connect with their customers across sales, service, marketing, and commerce.

Why Does CRM Fall Short?

  1. Customers were hesitant to make long-term commitments to its software as its 9% average ARR growth over the last year was sluggish
  2. Anticipated sales growth of 8.9% for the next year implies demand will be shaky
  3. Operating profits and efficiency rose over the last year as it benefited from some fixed cost leverage

Salesforce’s stock price of $233.85 implies a valuation ratio of 5.2x forward price-to-sales. If you’re considering CRM for your portfolio, see our FREE research report to learn more.

FirstSun Capital Bancorp (FSUN)

Net Cash Position: $654.9 million (76.2% of Market Cap)

Tracing its roots back to 1892 when it first opened its doors in Kansas, FirstSun Capital Bancorp (NASDAQ:FSUN) operates Sunflower Bank, providing commercial and consumer banking services to businesses and individuals across the Southwest region.

Why Are We Hesitant About FSUN?

  1. Annual revenue growth of 2.9% over the last two years was below our standards for the banking sector
  2. 23.3 basis point (100 basis points = 1 percentage point) decline in its net interest margin over the last two years reflects the firm’s willingness to accept lower profitability to defend its market position
  3. Tangible book value per share is projected to decrease by 2.9% over the next 12 months as capital generation weakens

FirstSun Capital Bancorp is trading at $30.81 per share, or 0.7x forward P/B. Check out our free in-depth research report to learn more about why FSUN doesn’t pass our bar.

One Stock to Watch:

Vertex Pharmaceuticals (VRTX)

Net Cash Position: $4.45 billion (4% of Market Cap)

Founded in 1989 with a mission to create medicines that treat the underlying causes of disease rather than just symptoms, Vertex Pharmaceuticals (NASDAQ:VRTX) develops and markets transformative medicines for serious diseases, with a focus on cystic fibrosis, sickle cell disease, and pain management.

Why Do We Like VRTX?

  1. Annual revenue growth of 14.4% over the last five years beat the sector average and underscores the unique value of its offerings
  2. Strong free cash flow margin of 25.4% enables it to reinvest or return capital consistently, and its growing cash flow gives it even more resources to deploy
  3. Industry-leading 43% return on capital demonstrates management’s skill in finding high-return investments

At $435.52 per share, Vertex Pharmaceuticals trades at 21.7x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free for active Edge members.

High-Quality Stocks for All Market Conditions

Your portfolio can’t afford to be based on yesterday’s story. The risk in a handful of heavily crowded stocks is rising daily.

The names generating the next wave of massive growth are right here 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 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

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