1 S&P 500 Stock to Target This Week and 2 We Ignore

While the S&P 500 (^GSPC) includes industry leaders, not every stock in the index is a winner. Some companies are past their prime, weighed down by poor execution, weak financials, or structural headwinds.

Even among blue-chip stocks, not all investments are created equal - which is why we built StockStory to help you navigate the market. That said, here is one S&P 500 stock that is leading the market forward and two that may struggle.

Two Stocks to Sell:

Expeditors (EXPD)

Market Cap: $19.69 billion

Expeditors (NYSE:EXPD) offers air and ocean freight as well as brokerage services.

Why Do We Think Twice About EXPD?

1. Scale is a double-edged sword because it limits the company’s growth potential compared to its smaller competitors, as reflected in its below-average annual revenue increases of 3.3% for the last two years
2. Gross margin of 13.4% reflects its high production costs
3. Waning returns on capital imply its previous profit engines are losing steam

Expeditors’s stock price of $145.53 implies a valuation ratio of 25.1x forward P/E. Dive into our free research report to see why there are better opportunities than EXPD.

Lennar (LEN)

Market Cap: $32.19 billion

One of the largest homebuilders in America, Lennar (NYSE:LEN) is known for constructing affordable, move-up, and retirement homes across a range of markets and communities.

Why Do We Pass on LEN?

1. Backlog has dropped by 19.2% on average over the past two years, suggesting it’s losing orders as competition picks up
2. Earnings per share fell by 15.2% annually over the last two years while its revenue grew, showing its incremental sales were much less profitable
3. Capital intensity has ramped up over the last five years as its free cash flow margin decreased by 11.9 percentage points

At $128.25 per share, Lennar trades at 15.5x forward P/E. If you’re considering LEN for your portfolio, see our FREE research report to learn more.

One Stock to Buy:

Robinhood (HOOD)

Market Cap: $115.5 billion

With a mission to democratize finance, Robinhood (NASDAQ:HOOD) is an online consumer finance platform known for its commission-free stock and crypto trading.

Why Are We Bullish on HOOD?

1. Customer spending is rising as the company has focused on monetization over the last two years, leading to 47.7% annual growth in its average revenue per user
2. Additional sales over the last three years increased its profitability as the 58.5% annual growth in its earnings per share outpaced its revenue
3. Impressive free cash flow profitability enables the company to fund new investments or reward investors with share buybacks/dividends, and its recently improved profitability means it has even more resources to invest or distribute

Robinhood is trading at $126.42 per share, or 35.9x forward EV/EBITDA. 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

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 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-small-cap company Comfort Systems (+782% 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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