While the Nasdaq 100 (^NDX) is filled with cutting-edge technology and consumer companies, not all are on solid footing. Some are dealing with declining demand, high costs, or regulatory pressures that could limit future upside.
With rapid innovation comes rapid change, and StockStory is here to help you identify which Nasdaq 100 stocks are still worth your money. That said, here are two Nasdaq 100 stocks that could lead the market and one that may struggle.
One Stock to Sell:
CSX (CSX)
Market Cap: $68.13 billion
Established as part of the Chessie System and Seaboard Coast Line Industries merger, CSX (NASDAQ: CSX) is a transportation company specializing in freight rail services.
Why Do We Steer Clear of CSX?
- Underwhelming unit sales over the past two years show it’s struggled to increase its sales volumes and had to rely on price increases
- Sales were less profitable over the last two years as its earnings per share fell by 6.5% annually, worse than its revenue declines
- Free cash flow margin shrank by 18.9 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive
CSX’s stock price of $36.63 implies a valuation ratio of 19.9x forward P/E. If you’re considering CSX for your portfolio, see our FREE research report to learn more.
Two Stocks to Buy:
The Trade Desk (TTD)
Market Cap: $18.11 billion
Built as an alternative to "walled garden" advertising ecosystems, The Trade Desk (NASDAQ: TTD) provides a cloud-based platform that helps advertisers and agencies plan, manage, and optimize digital advertising campaigns across multiple channels and devices.
Why Is TTD a Good Business?
- Average billings growth of 20.1% over the last year enhances its liquidity and shows there is steady demand for its products
- Well-designed software integrates seamlessly with other workflows, enabling swift payback periods on marketing expenses and customer growth at scale
- Healthy operating margin of 18.9% shows it’s a well-run company with efficient processes, and it turbocharged its profits by achieving some fixed cost leverage
At $37.46 per share, The Trade Desk trades at 5.8x forward price-to-sales. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free for active Edge members.
Axon (AXON)
Market Cap: $46.95 billion
Providing body cameras and tasers for first responders, AXON (NASDAQ: AXON) develops technology solutions and weapons products for military, law enforcement, and civilians.
Why Are We Bullish on AXON?
- Products are seeing elevated demand as its unit sales averaged 26.3% growth over the past two years
- Operating profits increased over the last five years as the company gained some leverage on its fixed costs and became more efficient
- Earnings per share grew by 35.2% annually over the last two years and trumped its peers
Axon is trading at $589.15 per share, or 86.9x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free for active Edge members.
Stocks We Like Even More
Your portfolio can’t afford to be based on yesterday’s story. The risk in a handful of heavily crowded stocks is rising daily.
The names generating the next wave of massive growth are right here in 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-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.
