High-Conviction Momentum Stocks in the SS&O Sector: Uncovering Sustained Revenue Growth in 2025

The Software, Services, and Outsourcing (SS&O) sector has emerged as a critical battleground for investors seeking high-conviction momentum stocks in 2025. With digital transformation, AI-driven innovation, and global supply chain shifts accelerating, companies that can scale revenue while maintaining profitability are capturing market attention. This analysis identifies three standout SS&O players-Bullish (BLSH), TVS Supply Chain Solutions, and RMC Switchgears-that exemplify sustained revenue growth and operational momentum.

Bullish (BLSH): A Case Study in Explosive SS&O Growth

Bullish, a digital asset platform, has become a poster child for SS&O momentum. In Q3 2025, the company reported $49.8 million in SS&O revenue, surpassing the Visible Alpha consensus of $45.6 million and more than quadrupling the $11.5 million it generated in the same period a year ago. This growth was fueled by its expansion into liquidity services and the launch of crypto options trading, which saw $1 billion in trading volume within its first quarter.

The company's profitability also soared, with adjusted EBITDA hitting $28.6 million in Q3, up from $7.7 million in Q3 2024. Management expects this momentum to continue, with Q4 SS&O revenue projected between $47.0 million and $50.0 million, exceeding the $46.6 million consensus. Analysts at Cantor Fitzgerald have raised their price target for Bullish to $59, citing "strong SS&O demand" as a key catalyst.

TVS Supply Chain Solutions: A Turnaround Story with Global Reach

In the outsourcing space, TVS Supply Chain Solutions has demonstrated resilience and strategic execution. During Q2 FY25, the company posted a 11% year-on-year revenue increase to Rs 2,512.9 crore, driven by a multi-year contract with a North American industrial client valued at Rs 2,200 crore. This contract, coupled with new business wins contributing Rs 280 crore in revenue, underscores its ability to scale amid macroeconomic volatility.

Profitability has also rebounded, with the company reporting a net profit of Rs 10.6 crore in Q2 FY25, reversing a Rs 21.9 crore loss in the prior year. TVS's focus on logistics, procurement, and supply chain optimization positions it to benefit from global manufacturing shifts and e-commerce growth.

RMC Switchgears: Solar and Infrastructure Growth at 112% YoY

For investors seeking exposure to renewable energy and infrastructure, RMC Switchgears is a standout. The company reported 112% year-on-year revenue growth in H1 FY26, with consolidated revenue reaching ₹221.61 crore, up from ₹104.78 crore in the same period the previous year. This surge was driven by strong execution in Solar EPC (Engineering, Procurement, and Construction) projects and expanding demand for smart infrastructure solutions.

Profitability followed suit, with a 97.93% YoY increase in Profit After Tax (PAT). RMC's focus on solar energy and grid infrastructure aligns with global decarbonization trends, making it a compelling long-term play.

Why These Stocks Matter in 2025

The SS&O sector's appeal lies in its ability to leverage macroeconomic tailwinds:
- Digital Transformation: Bullish's crypto options and TVS's logistics platforms reflect the shift toward digital-first services.
- Renewable Energy: RMC Switchgears' solar projects tap into the $1.3 trillion global renewable energy market.
- Operational Efficiency: All three companies have improved margins through automation, strategic contracts, and cost optimization.

While risks like regulatory changes and market volatility persist, these firms' ability to scale revenue and profitability in high-growth niches makes them compelling for momentum-driven portfolios.

Conclusion

The SS&O sector is a goldmine for investors prioritizing sustained revenue growth and operational excellence. Bullish, TVS Supply Chain Solutions, and RMC Switchgears exemplify how innovation, strategic contracts, and sector-specific tailwinds can drive explosive growth. As 2025 unfolds, these companies are well-positioned to capitalize on digital transformation, renewable energy, and global supply chain dynamics-making them high-conviction picks for forward-looking investors.