Many investors pay attention to mid-cap stocks because they have established business models and expansive market opportunities. However, their paths to becoming $100 billion corporations are ripe with competition, ranging from giants with vast resources to agile upstarts eager to disrupt the status quo.
Luckily for you, our mission at StockStory is to help you make money and avoid losses by sorting the winners from the losers. Keeping that in mind, here are two mid-cap stocks with long growth runways and one that could be down big.
One Mid-Cap Stock to Sell:
Tyson Foods (TSN)
Market Cap: $18.16 billion
Started as a simple trucking business, Tyson Foods (NYSE:TSN) is one of the world’s largest producers of chicken, beef, and pork.
Why Do We Steer Clear of TSN?
- Flat unit sales over the past two years indicate demand is soft and that the company may need to revise its product strategy
- Projected sales growth of 1.7% for the next 12 months suggests sluggish demand
- Gross margin of 6.9% is below its competitors, leaving less money to invest in areas like marketing and production facilities
At $51.89 per share, Tyson Foods trades at 13.7x forward P/E. To fully understand why you should be careful with TSN, check out our full research report (it’s free).
Two Mid-Cap Stocks to Watch:
PTC (PTC)
Market Cap: $16.28 billion
Originally known as Parametric Technology Corporation until its 2013 rebranding, PTC (NASDAQ:PTC) provides software that helps manufacturers design, develop, and service physical products through digital solutions for CAD, PLM, ALM, and SLM.
Why Could PTC Be a Winner?
- Superior software functionality and low servicing costs are reflected in its stellar gross margin of 84.5%
- Software platform has product-market fit given the rapid recovery of its customer acquisition costs
- Disciplined cost controls and effective management resulted in a strong trailing 12-month operating margin of 37.8%, and its rise over the last year was fueled by some leverage on its fixed costs
PTC is trading at $149.97 per share, or 6.1x forward price-to-sales. Is now the right time to buy? See for yourself in our in-depth research report, it’s free.
Watts Water Technologies (WTS)
Market Cap: $11.87 billion
Founded in 1874, Watts Water (NYSE:WTS) specializes in manufacturing water products and systems for residential, commercial, and industrial applications globally.
Why Are We Bullish on WTS?
- Annual revenue growth of 9.9% over the last five years beat the sector average and underscores the unique value of its offerings
- Performance over the past five years was turbocharged by share buybacks, which enabled its earnings per share to grow faster than its revenue
- Free cash flow margin increased by 6.5 percentage points over the last five years, giving the company more capital to invest or return to shareholders
Watts Water Technologies’s stock price of $355.53 implies a valuation ratio of 26.4x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.
Stocks We Like Even More
ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time.
Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,552% between June 2020 and June 2025). Find your next big winner with StockStory today.