2 Growth Stocks Set to Flourishand 1 Facing Challenges

Growth is oxygen. But when it evaporates, the consequences can be severe - ask anyone who bought Cisco in the Dot-Com Bubble or newer investors who lived through the 2020 to 2022 COVID cycle.

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. Keeping that in mind, here are two growth stocks where the best is yet to come and one that could be down big.

One Growth Stock to Sell:

Seacoast Banking (SBCF)

One-Year Revenue Growth: +25.1%

Founded during the Florida land boom of 1926 and surviving the Great Depression, Seacoast Banking Corporation of Florida (NASDAQ:SBCF) is a financial holding company that provides commercial and retail banking, wealth management, and mortgage services throughout Florida.

Why Should You Sell SBCF?

1. 7.4% annual revenue growth over the last two years was slower than its banking peers
2. Performance over the past five years shows its incremental sales were less profitable, as its 2.7% annual earnings per share growth trailed its revenue gains
3. Products and services are facing significant credit quality challenges during this cycle as tangible book value per share has declined by 1.3% annually over the last five years

Seacoast Banking is trading at $30.29 per share, or 1.1x forward P/B. Dive into our free research report to see why there are better opportunities than SBCF.

Two Growth Stocks to Watch:

Veeva Systems (VEEV)

One-Year Revenue Growth: +16.3%

Originally named "Verticals onDemand" before rebranding in 2009, Veeva Systems (NYSE:VEEV) provides cloud software, data solutions, and consulting services that help life sciences companies develop and bring products to market more efficiently.

Why Could VEEV Be a Winner?

1. Well-designed software integrates seamlessly with other workflows, enabling swift payback periods on marketing expenses and customer growth at scale
2. Healthy operating margin of 28.7% shows it’s a well-run company with efficient processes, and its operating leverage amplified its profits over the last year
3. Robust free cash flow margin of 43.4% gives it many options for capital deployment

At $194.76 per share, Veeva Systems trades at 9.2x forward price-to-sales. Is now the right time to buy? Find out in our full research report, it’s free.

HCI Group (HCI)

One-Year Revenue Growth: +20.1%

Starting as a Florida "take-out" insurer that assumed policies from the state-backed Citizens Property Insurance Corporation, HCI Group (NYSE:HCI) provides property and casualty insurance, primarily homeowners coverage, while leveraging proprietary technology to improve underwriting and claims processing.

Why Should You Buy HCI?

1. Net premiums earned expanded by 28.7% annually over the last two years, demonstrating exceptional market penetration this cycle
2. Incremental sales over the last two years have been highly profitable as its earnings per share increased by 75.7% annually, topping its revenue gains
3. Balance sheet strength has increased this cycle as its 55% annual book value per share growth over the last two years was exceptional

HCI Group’s stock price of $167.85 implies a valuation ratio of 1.8x forward P/B. Is now the time to initiate a position? See for yourself in our full research report, it’s free.

Stocks We Like Even More

ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively.

Find out which 5 stocks it's flagging for this month — FREE. Get Our Top 5 Growth Stocks for Free HERE.

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.