Large-cap stocks have the power to shape entire industries thanks to their size and widespread influence. With such vast footprints, however, finding new areas for growth is much harder than for smaller, more agile players.
This dynamic can trouble even the most skilled investors, but luckily for you, we started StockStory to help you navigate these trade-offs and uncover exceptional companies that break the mold. That said, here is one large-cap stock whose competitive advantages creates flywheel effects and two that could be stalling.
Two Large-Cap Stocks to Sell:
eBay (EBAY)
Market Cap: $46.02 billion
Originally known as the first online auction site, eBay (NASDAQ:EBAY) is one of the world’s largest online marketplaces.
Why Are We Hesitant About EBAY?
- Market opportunities are plateauing as its active buyers were flat over the last two years
- Lackluster growth in its average revenue per buyer coupled with its weaker engagement trends led to sluggish demand over the last two years
- Efficiency has decreased over the last few years as its EBITDA margin fell by 4.3 percentage points
At $100.36 per share, eBay trades at 14.1x forward EV/EBITDA. If you’re considering EBAY for your portfolio, see our FREE research report to learn more.
PACCAR (PCAR)
Market Cap: $51.58 billion
Founded more than a century ago, PACCAR (NASDAQ:PCAR) designs and manufactures commercial trucks of various weights and sizes for the commercial trucking industry.
Why Are We Wary of PCAR?
- Core business is underperforming as its organic revenue has disappointed over the past two years, suggesting it might need acquisitions to stimulate growth
- Forecasted revenue decline of 5.8% for the upcoming 12 months implies demand will fall even further
- Earnings per share have contracted by 9.9% annually over the last two years, a headwind for returns as stock prices often echo long-term EPS performance
PACCAR is trading at $98.78 per share, or 18.3x forward P/E. Dive into our free research report to see why there are better opportunities than PCAR.
One Large-Cap Stock to Watch:
Stryker (SYK)
Market Cap: $146 billion
With over 150 million patients impacted annually through its innovative healthcare technologies, Stryker (NYSE:SYK) develops and manufactures advanced medical devices and equipment across orthopedics, surgical tools, neurotechnology, and patient care solutions.
Why Do We Watch SYK?
- Core business is healthy and doesn’t need acquisitions to boost sales as its organic revenue growth averaged 10.2% over the past two years
- Economies of scale give it some operating leverage when demand rises
- Earnings growth has trumped its peers over the last five years as its EPS has compounded at 13.3% annually
Stryker’s stock price of $381.91 implies a valuation ratio of 27.3x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
Stocks We Like Even More
Donald Trump’s April 2025 "Liberation Day" tariffs sent markets into a tailspin, but stocks have since rebounded strongly, proving that knee-jerk reactions often create the best buying opportunities.
The smart money is already positioning for the next leg up. Don’t miss out on the recovery - check out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 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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