2 Lucrative Stocks Worth Deeper Investigation and 1 We Have Doubts About

Profitability Isn’t Everything

While turning a profit is important, it doesn’t always ensure a company’s future success. Businesses that become complacent with their profit margins can quickly fall behind as competition heats up—a sentiment echoed by Jeff Bezos: “Your margin is my opportunity.”

Not every profitable business stands out from the crowd. That’s why StockStory was created: to help you identify the true leaders. Below, we highlight two companies that are using their financial strength to outperform rivals, and one that may be facing headwinds.

Stock to Consider Selling

Farmer Mac (AGM)

Trailing 12-Month GAAP Operating Margin: 68.7%

Established by Congress in 1987, Farmer Mac (NYSE:AGM) acts as a bridge between Wall Street and rural communities by providing a secondary market for agricultural and rural loans. This helps lenders boost their liquidity and expand lending to rural America.

What Challenges Does AGM Face?

1. Annual revenue has grown by just 3.7% over the past two years, lagging behind industry peers.
2. Earnings per share increased only 3.3% annually in the last two years, underperforming the sector average.
3. A high debt-to-equity ratio of 19.8× indicates significant leverage, which could make it difficult for the company to obtain further financing.

Currently, Farmer Mac trades at $162.15 per share, with a forward P/E of 8.5.

Two Promising Stocks to Watch

Mirion (MIR)

Trailing 12-Month GAAP Operating Margin: 7.2%

Mirion Technologies (NYSE:MIR) delivers radiation detection, measurement, and monitoring solutions for healthcare, nuclear energy, defense, and scientific research. Its technology safeguards workers in over 130 countries and is used in 80% of cancer treatment centers worldwide.

Why Does MIR Stand Out?

1. Mirion’s market share has grown, with an impressive 11.8% annual revenue increase over the past five years.
2. Operating margins and efficiency have improved, benefiting from better utilization of fixed costs.
3. Free cash flow margin has expanded by 11.1 percentage points in five years, giving the company more flexibility for investments and shareholder returns.

Mirion is currently priced at $21.64 per share, reflecting a forward P/E of 39.1.

Marsh & McLennan (MRSH)

Trailing 12-Month GAAP Operating Margin: 23.1%

Founded in 1871, Marsh & McLennan (NYSE:MMC) operates in more than 130 countries as a global leader in professional services. The company helps clients navigate risk, strategy, and workforce challenges through its four specialized divisions.

What Makes MRSH a Top Choice?

1. Market share has grown, with a strong 9.4% annual revenue increase over the past five years.
2. With $26.98 billion in annual revenue, Marsh & McLennan is a major player influencing industry decisions.
3. Robust free cash flow allows for ongoing investments and shareholder rewards, while improved cash conversion means the business is becoming less capital intensive.

Marsh & McLennan trades at $185.41 per share, with a forward P/E of 17.5.

Discover Even More Compelling Stocks

Don’t let your portfolio be anchored to yesterday’s winners. The risks of holding overcrowded stocks are increasing every day.

The next generation of high-growth companies can be found in our Top 9 Market-Beating Stocks—a handpicked list of High Quality stocks that have delivered a 244% return over the past five years (as of June 30, 2025).

Our 2020 selections included now-household names like Nvidia (+1,326% from June 2020 to June 2025) and lesser-known companies such as Exlservice, which achieved a 354% five-year return. Start your search for the next breakout stock with StockStory today.