2 Growth Stocks to Stash and 1 We Turn Down

Growth boosts valuation multiples, but it doesn’t always last forever. Companies that cannot maintain it are often penalized with large declines in market value, a lesson ingrained in investors who lost money in tech stocks during 2022.

Luckily for you, our job at StockStory is to help you avoid short-term fads by pointing you toward high-quality businesses that can generate sustainable long-term growth. On that note, here are two growth stocks expanding their competitive advantages and one whose momentum may slow.

One Growth Stock to Sell:

Kura Sushi (KRUS)

One-Year Revenue Growth: +16.3%

Known for its conveyor belt that transports dishes to diners, Kura Sushi (NASDAQ:KRUS) is a chain of sushi restaurants serving traditional Japanese fare with a touch of modernity and technology.

Why Is KRUS Not Exciting?

1. Weak same-store sales trends over the past two years suggest there may be few opportunities in its core markets to open new restaurants
2. Cash-burning history makes us doubt the long-term viability of its business model
3. Limited cash reserves may force the company to seek unfavorable financing terms that could dilute shareholders

At $76.46 per share, Kura Sushi trades at 42.4x forward EV-to-EBITDA. If you’re considering KRUS for your portfolio, see our FREE research report to learn more.

Two Growth Stocks to Watch:

monday.com (MNDY)

One-Year Revenue Growth: +28.6%

With its colorful interface of boards, columns, and automation that replaced the chaos of spreadsheets, monday.com (NASDAQ:MNDY) is a cloud-based work operating system that helps teams manage projects, track tasks, and streamline workflows through customizable interfaces.

Why Is MNDY a Top Pick?

1. ARR trends over the last year show it’s maintaining a steady flow of long-term contracts that contribute positively to its revenue predictability
2. Software is difficult to replicate at scale and results in a best-in-class gross margin of 89.2%
3. Impressive free cash flow profitability enables the company to fund new investments or reward investors with share buybacks/dividends

monday.com is trading at $104.79 per share, or 3.8x forward price-to-sales. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free.

ServisFirst Bancshares (SFBS)

One-Year Revenue Growth: +19.5%

Founded in 2005 with a focus on serving underserved mid-sized businesses, ServisFirst Bancshares (NYSE:SFBS) is a bank holding company that provides commercial banking services to businesses and professionals through its subsidiary ServisFirst Bank.

Why Are We Fans of SFBS?

1. Annual revenue growth of 14.2% over the last two years was superb and indicates its market share increased during this cycle
2. Market share is on track to rise over the next 12 months as its 19.2% projected net interest income growth implies demand will accelerate from its five-year trend
3. Annual tangible book value per share growth of 13.1% over the past five years was outstanding, reflecting strong capital accumulation this cycle

ServisFirst Bancshares’s stock price of $85.84 implies a valuation ratio of 2.2x forward P/B. Is now a good time to buy? Find out in our full research report, it’s free.

Stocks We Like Even More

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-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today.