Despite the changes to their name and team re-alignment, the Stallions returned with virtually the same roster for their next season. The exception was the signing of former Posse kicker Carlos Huerta to replace Igwebuike, who moved on to play with Memphis. With essentially the same team from the 1994 season, optimism and Grey Cup expectations were high for the Stallions. Optimism became reality as Baltimore continued their on-field dominance from the previous season. They started the season 2-3 but did not lose another game for the rest of the season. They ultimately finished with a 15–3 regular season record – first place in the South Division, and tying the Calgary Stampeders for the best record in the CFL.

Quarterback Tracy Ham with Mike Pringle and Robert Drummond was the most potent backfield in the CFL. Chris Armstrong became the team’s top receiver and the defense continued dominating opponents by allowing only 369 points-against, ranking the squad third in team defense. Mike Pringle had a slight drop-off from his 1994 numbers by rushing for 1,791 yards, being named the CFL’s Most Outstanding Player.

After defeating Winnipeg 36–21 in the divisional semifinals, the Stallions defeated the Texans 21–11 in the South final in what is (as of the 2017 season) the last meaningful CFL game played in the United States. This vaulted them to the Grey Cup final for the second straight season. They traveled to Regina’s Taylor Field to face the 15–3 North Division champion Stampeders, who were led by coach Wally Buono, QB Doug Flutie, and his two top receivers, Allen Pitts and Dave Sapunjis. During the game, the winds at Taylor Field were particularly strong and gusted up to 85 km/h (52.8 mph). That did not slow down the Stallions, as they defeated the Stampeders, 37–20 to become the first American team to win the Grey Cup, with Tracy Ham becoming the Grey Cup’s Most Valuable Player. Counting the playoffs, the Stallions ended the season on a 16-game winning streak.