Large-cap stocks usually command their industries because they have the scale to drive market trends. The flip side though is that their sheer size can limit growth as expanding further becomes an increasingly challenging task.
This is precisely where StockStory comes in - our job is to find you high-quality companies that can win regardless of the conditions. Keeping that in mind, here are two large-cap stocks with attractive long-term potential and one that could be stalling.
One Large-Cap Stock to Sell:
IQVIA (IQV)
Market Cap: $41.02 billion
Created from the 2016 merger of Quintiles (a clinical research organization) and IMS Health (a healthcare data specialist), IQVIA (NYSE: IQV) provides clinical research services, data analytics, and technology solutions to help pharmaceutical companies develop and market medications more effectively.
Why Are We Hesitant About IQV?
- Scale is a double-edged sword because it limits the company’s growth potential compared to its smaller competitors, as reflected in its below-average annual revenue increases of 3.5% for the last two years
- Constant currency growth was below our standards over the past two years, suggesting it might need to invest in product improvements to get back on track
- Free cash flow margin dropped by 3.6 percentage points over the last five years, implying the company became more capital intensive as competition picked up
IQVIA’s stock price of $240.91 implies a valuation ratio of 19.2x forward P/E. If you’re considering IQV for your portfolio, see our FREE research report to learn more.
Two Large-Cap Stocks to Buy:
Synchrony Financial (SYF)
Market Cap: $28.68 billion
Powering over 73 million active accounts and partnerships with major brands like Amazon, PayPal, and Lowe's, Synchrony Financial (NYSE: SYF) provides credit cards, installment loans, and banking products through partnerships with retailers, healthcare providers, and digital platforms.
Why Should You Buy SYF?
- Share repurchases have amplified shareholder returns as its annual earnings per share growth of 30.1% exceeded its revenue gains over the last two years
- Annual tangible book value per share growth of 20.8% over the last two years was superb and indicates its capital strength increased during this cycle
- ROE punches in at 23.1%, illustrating management’s expertise in identifying profitable investments
At $80.02 per share, Synchrony Financial trades at 9.5x forward P/E. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free.
Moody's (MCO)
Market Cap: $95.46 billion
Founded in 1900 during America's railroad boom when investors needed reliable information on bond risks, Moody's (NYSE: MCO) provides credit ratings, risk assessment tools, and analytical solutions that help organizations evaluate financial risks and make informed investment decisions.
Why Will MCO Outperform?
- Annual revenue growth of 14.5% over the last two years beat the sector average and underscores the unique value of its offerings
- Performance over the past two years was turbocharged by share buybacks, which enabled its earnings per share to grow faster than its revenue
- Industry-leading 63.8% return on equity demonstrates management’s skill in finding high-return investments
Moody's is trading at $537.56 per share, or 33x 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
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 9 Market-Beating Stocks. 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-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.
