The stocks in this article are all trading near their 52-week highs. This strength often reflects positive developments such as new product launches, favorable industry trends, or improved financial performance.

But not every company with momentum is a long-term winner, and plenty of investors have lost money betting on short-term fads. All that said, here is one stock we think lives up to the hype and two not so much.

Two Stocks to Sell:

Estée Lauder (EL)

One-Month Return: -12.5%

Named after its founder, who was an entrepreneurial woman from New York with a passion for skincare, Estée Lauder (NYSE: EL) is a one-stop beauty shop with products in skincare, fragrance, makeup, sun protection, and men’s grooming.

Why Does EL Give Us Pause?

1. Organic sales performance over the past two years indicates the company may need to make strategic adjustments or rely on M&A to catalyze faster growth
2. Poor expense management has led to an operating margin of 0.3% that is below the industry average
3. Earnings per share decreased by more than its revenue over the last three years, partly because it diluted shareholders

Estée Lauder’s stock price of $99.50 implies a valuation ratio of 36.4x forward P/E. If you’re considering EL for your portfolio, see our FREE research report to learn more.

Exact Sciences (EXAS)

One-Month Return: +1%

With a mission to detect cancer earlier when it's more treatable, Exact Sciences (NASDAQ: EXAS) develops and markets cancer screening and diagnostic tests, including its flagship Cologuard stool-based colorectal cancer screening test.

Why Are We Cautious About EXAS?

1. Cash-burning tendencies make us wonder if it can sustainably generate shareholder value
2. Negative returns on capital show management lost money while trying to expand the business

Exact Sciences is trading at $103.18 per share, or 121.8x forward P/E. To fully understand why you should be careful with EXAS, check out our full research report (it’s free).

One Stock to Buy:

Popular (BPOP)

One-Month Return: +14.2%

Founded in 1893 as the first bank in Puerto Rico to serve the working class, Popular (NASDAQ: BPOP) is a financial holding company that provides retail, mortgage, and commercial banking services primarily in Puerto Rico and the mainland United States.

Why Do We Love BPOP?

1. Net interest margin expanded by 54.8 basis points (100 basis points = 1 percentage point) over the last two years, providing additional flexibility for investments
2. Share buybacks propelled its annual earnings per share growth to 22.1%, which outperformed its revenue gains over the last two years
3. Balance sheet strength has increased this cycle as its 18.9% annual tangible book value per share growth over the last two years was exceptional

At $146.02 per share, Popular trades at 1.3x forward P/B. Is now the right time to buy? See for yourself in our in-depth research report, it’s free.

Stocks We Like Even More

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 Exlservice (+354% five-year return). Find your next big winner with StockStory today.