A cash-heavy balance sheet is often a sign of strength, but not always. Some companies avoid debt because they have weak business models, limited expansion opportunities, or inconsistent cash flow.
Financial flexibility is valuable, but it’s not everything - at StockStory, we help you find the stocks that can not only survive but also outperform. Keeping that in mind, here are two companies with net cash positions that balance growth with stability and one that may struggle.
One Stock to Sell:
EVgo (EVGO)
Net Cash Position: $83.42 million (43.9% of Market Cap)
Created through a settlement between NRG Energy and the California Public Utilities Commission, EVgo (NASDAQ: EVGO) is a provider of electric vehicle charging solutions, operating fast charging stations across the United States.
Why Are We Wary of EVGO?
- Historical operating margin losses point to an inefficient cost structure
- Cash-burning tendencies make us wonder if it can sustainably generate shareholder value
- Unfavorable liquidity position could lead to additional equity financing that dilutes shareholders
EVgo is trading at $1.35 per share, or 0.4x forward price-to-sales. If you’re considering EVGO for your portfolio, see our FREE research report to learn more.
Two Stocks to Watch:
DoorDash (DASH)
Net Cash Position: $2.04 billion (2.6% of Market Cap)
Founded by Stanford students with the intent to build “the local, on-demand FedEx", DoorDash (NASDAQ: DASH) operates an on-demand food delivery platform.
Why Are We Bullish on DASH?
- Orders have grown by 23.5% annually, allowing for more profitable cross-selling opportunities if it can build complementary products and features
- Healthy EBITDA margin of 20% shows it’s a well-run company with efficient processes, and its profits increased over the last few years as it scaled
- Performance over the past three years shows its incremental sales were extremely profitable, as its annual earnings per share growth of 98.3% outpaced its revenue gains
DoorDash’s stock price of $178.58 implies a valuation ratio of 19.4x forward EV/EBITDA. Is now the right time to buy? See for yourself in our comprehensive research report, it’s free.
Grid Dynamics (GDYN)
Net Cash Position: $281.7 million (45.8% of Market Cap)
With engineering centers across the Americas, Europe, and India serving Fortune 1000 companies, Grid Dynamics (NASDAQ: GDYN) provides technology consulting, engineering, and analytics services to help large enterprises modernize their technology systems and business processes.
Why Could GDYN Be a Winner?
- Annual revenue growth of 15.2% over the past two years was outstanding, reflecting market share gains this cycle
- Earnings growth has easily exceeded the peer group average over the last two years as its EPS has compounded at 14% annually
- Returns on capital are increasing as management’s prior bets are starting to bear fruit
At $7.68 per share, Grid Dynamics trades at 16x 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 meet near-term momentum — both boxes checked at the same time.
Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,552% between June 2020 and June 2025). Find your next big winner with StockStory today.
