The Nasdaq 100 (^NDX) is known for housing some of the most innovative and fastest-growing companies in the market. But not every stock in the index is a winner - some are struggling with slowing growth, increasing competition, or unsustainable valuations.
Investing in Nasdaq 100 stocks isn’t just about picking big names - it’s about finding the right ones, and that’s where StockStory comes in. That said, here are two Nasdaq 100 stocks that could lead the market and one that may struggle.
One Stock to Sell:
Electronic Arts (EA)
Market Cap: $42.33 billion
Best known for its Madden NFL and FIFA sports franchises, Electronic Arts (NASDAQ:EA) is one of the world’s largest video game publishers.
Why Does EA Worry Us?
- Muted 1.2% annual revenue growth over the last three years shows its demand lagged behind its consumer internet peers
- Estimated sales growth of 2.2% for the next 12 months is soft and implies weaker demand
- Day-to-day expenses have swelled relative to revenue over the last few years as its EBITDA margin fell by 6.1 percentage points
Electronic Arts’s stock price of $170.99 implies a valuation ratio of 14.2x forward EV/EBITDA. Read our free research report to see why you should think twice about including EA in your portfolio.
Two Stocks to Watch:
Shopify (SHOP)
Market Cap: $186 billion
Starting with just three people selling snowboards online in 2004, Shopify (NYSE:SHOP) provides a comprehensive platform that enables merchants of all sizes to create, manage and grow their businesses across multiple sales channels.
Why Does SHOP Stand Out?
- Payment activity on its platform is soaring as its TPV growth averaged 33.6% over the last year, enabling the company to collect more fees and upsell additional services like banking
- Revenue outlook for the upcoming 12 months is outstanding and shows it’s on track to gain market share
- User-friendly software enables clients to ramp up spending quickly, leading to the speedy recovery of customer acquisition costs
At $143.27 per share, Shopify trades at 15.1x forward price-to-sales. Is now the right time to buy? See for yourself in our full research report, it’s free.
Vertex Pharmaceuticals (VRTX)
Market Cap: $99.96 billion
Founded in 1989 with a mission to create medicines that treat the underlying causes of disease rather than just symptoms, Vertex Pharmaceuticals (NASDAQ:VRTX) develops and markets transformative medicines for serious diseases, with a focus on cystic fibrosis, sickle cell disease, and pain management.
Why Are We Fans of VRTX?
- Offerings and unique value proposition resonate with customers, as seen in its above-market 16.1% annual sales growth over the last five years
- Earnings per share grew by 15.9% annually over the last five years, massively outpacing its peers
- Stellar returns on capital showcase management’s ability to surface highly profitable business ventures
Vertex Pharmaceuticals is trading at $390.11 per share, or 19.9x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.
High-Quality Stocks for All Market Conditions
When Trump unveiled his aggressive tariff plan in April 2025, markets tanked as investors feared a full-blown trade war. But those who panicked and sold missed the subsequent rebound that’s already erased most losses.
Don’t let fear keep you from great opportunities and take a look at 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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