Business services providers play a critical role for enterprises, assisting them with everything from new hardware integrations to consulting and marketing. But increasing competition from AI-driven upstarts has tempered enthusiasm, limiting the industry’s gains to 5.2% over the past six months. This return lagged the S&P 500’s 8.7% climb.
The elite companies can churn out earnings growth under any circumstance, however, and our mission at StockStory is to help you find them. On that note, here are two services stocks we think can generate sustainable market-beating returns and one we’re swiping left on.
One Business Services Stock to Sell:
Verisk (VRSK)
Market Cap: $25.15 billion
Processing over 2.8 billion insurance transaction records annually through one of the world's largest private databases, Verisk Analytics (NASDAQ: VRSK) provides data, analytics, and technology solutions that help insurance companies assess risk, detect fraud, and make better business decisions.
Why Are We Wary of VRSK?
- Sales trends were unexciting over the last five years as its 1.9% annual growth was below the typical business services company
- Earnings growth underperformed the sector average over the last two years as its EPS grew by just 9.3% annually
Verisk is trading at $191.94 per share, or 24.1x forward P/E. Check out our free in-depth research report to learn more about why VRSK doesn’t pass our bar.
Two Business Services Stocks to Watch:
Super Micro (SMCI)
Market Cap: $17.39 billion
Founded in Silicon Valley in 1993 and known for its modular "building block" approach to server design, Super Micro Computer (NASDAQ: SMCI) designs and manufactures high-performance, energy-efficient server and storage systems for data centers, cloud computing, AI, and edge computing applications.
What Makes SMCI Stand Out?
- Market share has increased this cycle as its 68.9% annual revenue growth over the last two years was exceptional
- Unparalleled revenue scale of $33.7 billion gives it an edge in distribution
- Earnings growth has massively outpaced its peers over the last five years as its EPS has compounded at 57.5% annually
Super Micro’s stock price of $26.81 implies a valuation ratio of 9.4x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.
Brink's (BCO)
Market Cap: $4.61 billion
Known for its iconic armored trucks that have been a fixture in American cities since 1859, Brink's (NYSE: BCO) provides secure transportation and management of cash and valuables for banks, retailers, and other businesses worldwide.
Why Does BCO Stand Out?
- Annual revenue growth of 7.3% over the last five years beat the sector average and underscores the unique value of its offerings
- Share repurchases have amplified shareholder returns as its annual earnings per share growth of 15.5% exceeded its revenue gains over the last five years
- Free cash flow margin jumped by 4.7 percentage points over the last five years, giving the company more resources to pursue growth initiatives, repurchase shares, or pay dividends
At $112.00 per share, Brink's trades at 11.4x forward P/E. Is now a good time to buy? See for yourself in our full research report, it’s free.
Stocks We Like Even More
ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively.
Find out which 5 stocks it’s flagging this month — FREE. Get Our Top 5 Growth 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-small-cap company Exlservice (+271% between June 2020 and June 2025). Find your next big winner with StockStory today.
