While profitability is essential, it doesn’t guarantee long-term success. Some companies that rest on their margins will lose ground as competition intensifies - as Jeff Bezos said, "Your margin is my opportunity".

Profits are valuable, but they’re not everything. At StockStory, we help you identify the companies that have real staying power. That said, here are two profitable companies that generate reliable profits without sacrificing growth and one that may face some trouble.

One Stock to Sell:

EnerSys (ENS)

Trailing 12-Month GAAP Operating Margin: 11.6%

Supplying batteries that power equipment as big as mining rigs, EnerSys (NYSE: ENS) manufactures various kinds of batteries for a range of industries.

Why Are We Wary of ENS?

1. Flat unit sales over the past two years show it’s struggled to increase its sales volumes and had to rely on price increases
2. Demand will likely be soft over the next 12 months as Wall Street’s estimates imply tepid growth of 2%
3. High input costs result in an inferior gross margin of 26.3% that must be offset through higher volumes

EnerSys is trading at $166.98 per share, or 14.9x forward P/E. To fully understand why you should be careful with ENS, check out our full research report (it’s free).

Two Stocks to Buy:

Curtiss-Wright (CW)

Trailing 12-Month GAAP Operating Margin: 18.1%

Formed from a merger of 12 companies, Curtiss-Wright (NYSE: CW) provides a range of products and services to the aerospace, industrial, electronic, and maritime industries.

Why Are We Bullish on CW?

1. Annual revenue growth of 10.9% over the past two years was outstanding, reflecting market share gains this cycle
2. Disciplined cost controls and effective management resulted in a strong long-term operating margin of 16.9%, and its rise over the last five years was fueled by some leverage on its fixed costs
3. Share repurchases have amplified shareholder returns as its annual earnings per share growth of 18.8% exceeded its revenue gains over the last two years

Curtiss-Wright’s stock price of $701.58 implies a valuation ratio of 46.7x forward P/E. Is now the right time to buy? See for yourself in our in-depth research report, it’s free.

Ameriprise Financial (AMP)

Trailing 12-Month GAAP Operating Margin: 36.9%

Founded in 1894 and spun off from American Express in 2005, Ameriprise Financial (NYSE: AMP) provides financial planning, wealth management, asset management, and insurance products to help individuals and institutions achieve their financial goals.

Why Is AMP a Top Pick?

1. Performance over the past five years was turbocharged by share buybacks, which enabled its earnings per share to grow faster than its revenue
2. Balance sheet strength has increased this cycle as its 43.5% annual tangible book value per share growth over the last two years was exceptional
3. Industry-leading 62.4% return on equity demonstrates management’s skill in finding high-return investments

At $468.99 per share, Ameriprise Financial trades at 11.4x forward P/E. Is now the time to initiate a position? 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 meeting near-term momentum — both boxes checked at the same time.

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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.