The stock market has had its fair share of ups and downs in 2025, but great companies can withstand the volatility and rise steadily with the passage of time. Even though short-term movements in the market can create noise that distracts even the most seasoned of investors, keeping your focus on your long-term investing horizon is key.
If you have cash to put to work in stocks, money that you don't need for financial obligations like bills, it's always a great time to put capital into shares of quality companies. On that note, here are three stocks that have soared over the last year, but look like they still have considerable room to run and reward long-term shareholders.
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1. Monday.com
Monday.com (MNDY 2.20%) is a subscription-based cloud platform for task management. Its core offering is a customizable visual work platform that is low-code or no-code and allows teams to manage projects, track workflows, and collaborate effectively without software development expertise needed. The platform is used by clients across a diverse range of industries including technology and finance to ensure the cohesiveness of their various teams and effectively keep on top of their organization's projects.
That seamless value proposition has enabled Monday.com to quickly grow its client base while delivering rapidly improving financials.
NASDAQ: MNDY
Key Data Points
In the company's first quarter of fiscal 2025, Monday.com exceeded expectations on numerous key metrics, with revenue increasing by 30% year over year to $282.3 million. The company's seeing strong performance thanks to numerous catalysts, including its growing multiproduct offering, adoption of various artificial intelligence (AI) features, and continued success in expanding its enterprise client base.
The company's Q1 operating income was $9.8 million compared to a loss of $5 million one year ago, while adjusted free cash flow came in at $109.5 million, up from $89.9 million in the year-ago quarter. A couple of other points worth mentioning: Monday.com's Q1 net dollar retention rate was 112%, while its cohort of paid customers with more than $100,000 in annual recurring revenue (ARR) was 1,328, up 46% year over year. This stock might be well worth a second look for growth-oriented investors.
2. Toast
Toast (TOST +2.04%) is a cloud-based restaurant management platform offering a suite of software and hardware solutions for the food service industry. Its business model revolves around providing an all-in-one platform that combines point-of-sale (POS) systems, online ordering, payments, payroll, and other essential services that restaurants require to serve customers and pay their staff.
Toast generates revenue through a combination of subscription fees for its software, transaction fees from payment processing, and sales of hardware like its POS terminals. The company is actively expanding its reach to include other food and beverage retailers outside of restaurants, like convenience stores, grocery stores, and bottle shops. Toast aims to offer a comprehensive platform for these businesses to modernize operations and improve guest experiences, with recent new onboarded clients ranging from Topgolf Callaway Brands to Applebee's.
NYSE: TOST
Key Data Points
Applebee's was the single largest deal in Toast's history. As of Q1, Toast had added over 6,000 net new locations in the three-month period alone, while its annual recurring run rate was $1.7 billion, up 31% year over year. Total locations increased 25% year over year to approximately 140,000, while gross payment volume spiked 22% year over year to $42.2 billion.
Importantly, the company is now profitable under generally accepted accounting principles (GAAP), reporting net income of $56 million in Q1 2025 compared to a net loss of $83 million one year ago. Toast also delivered positive free cash flow of $69 million in Q1 2025, compared to a negative figure of $33 million in the year-ago period. With shares up more than 100% in the last year alone, if the company keeps strengthening its financial chops, there's no reason it can't rocket higher.
3. Dutch Bros
Dutch Bros (BROS +5.61%) is known for its wide variety of customizable, hand-crafted beverages, including flavored and blended coffee drinks. The company primarily operates compact drive-thru kiosks or stands rather than larger cafes with seating, reducing the need for extensive real estate or elaborate interior design. That drive-thru model also allows for a smaller, more focused staff, primarily consisting of what Dutch Bros calls its "Broistas," who manage the order-taking and drink-making processes.
The smaller footprint and purpose-built nature of Dutch Bros locations contribute to lower overhead costs compared to traditional coffee shops. Meanwhile, Dutch Bros is rapidly expanding its store footprint, testing out new food and drink offerings, and has aggressive expansion plans in the coming years. Management is aiming to reach upward of 2,000 system shops by 2029 (almost double its current store count), but thinks the company has a total addressable market of 7,000 shops.
NYSE: BROS
Key Data Points
In Q1, Dutch Bros' revenue grew 29% year over year to more than $355 million, while net income increased to $22.5 million from $16.2 million in the same period of 2024. Dutch Bros opened 30 new shops across 11 states, bringing the total to 1,012 locations at the end of the quarter, and its Dutch Rewards program contributed to 72% of system transactions, a significant increase from the previous year and indicating strong customer engagement.
The company's newly launched mobile order program now accounts for 11% of transaction mix, and should represent a growing opportunity for Dutch Bros to attract and retain customers. With shares up more than 60% over the trailing 12 months, about 3 times the return of the broader market in that same period, now could be a good time for investors to take a second look at this top restaurant stock.
