The natural reaction when seeing a stock rise is to believe that it's either too expensive, or it has no more room to run. While this may be true for stocks whose share prices are pushed higher due to sentiment, it is unfair to apply this blanket statement to all stocks that have surged.

Growth stocks with robust business models that are enjoying long-term tailwinds can continue to report better financial results. As they increase market share, profit, and cash flow, their share prices should naturally head higher.

If you are searching for stocks with more room to run, you should focus on companies with solid competitive moats and a great track record of performance.

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Source Fool.com