The $10-50 price range often includes mid-sized businesses with proven track records and plenty of growth runway ahead. They also usually carry less risk than penny stocks, though they’re not immune to volatility as many lack the scale advantages of their larger peers.
This is precisely where StockStory comes in - we do the heavy lifting to identify companies with solid fundamentals so you can invest with confidence. Keeping that in mind, here is one stock under $50 with massive upside potential and two best left ignored.
Two Stocks Under $50 to Sell:
Gap (GAP)
Share Price: $23.40
Operating under the Gap, Old Navy, Banana Republic, and Athleta brands, Gap (NYSE: GAP) is an apparel and accessories retailer selling casual clothing to men, women, and children.
Why Do We Think Twice About GAP?
- Weak same-store sales trends over the past two years suggest there may be few opportunities in its core markets to open new locations
- Capital intensity has ramped up over the last year as its free cash flow margin decreased by 2.7 percentage points
- Below-average returns on capital indicate management struggled to find compelling investment opportunities
At $23.40 per share, Gap trades at 11.6x forward P/E. Check out our free in-depth research report to learn more about why GAP doesn’t pass our bar.
Apogee (APOG)
Share Price: $39.10
Involved in the design of the Apple Store on Fifth Avenue in New York City, Apogee (NASDAQ: APOG) sells architectural products and services such as high-performance glass for commercial buildings.
Why Do We Steer Clear of APOG?
- Products and services are facing significant end-market challenges during this cycle as sales have declined by 1.3% annually over the last two years
- Estimated sales growth of 1% for the next 12 months is soft and implies weaker demand
- Falling earnings per share over the last two years has some investors worried as stock prices ultimately follow EPS over the long term
Apogee’s stock price of $39.10 implies a valuation ratio of 9.7x forward P/E. If you’re considering APOG for your portfolio, see our FREE research report to learn more.
One Stock Under $50 to Watch:
Arlo Technologies (ARLO)
Share Price: $19.75
Originally spun off from networking equipment maker Netgear in 2018, Arlo Technologies (NYSE: ARLO) provides cloud-based smart security devices and subscription services that help consumers and businesses monitor and protect their homes, properties, and loved ones.
Why Does ARLO Catch Our Eye?
- Operating profits increased over the last five years as the company gained some leverage on its fixed costs and became more efficient
- Incremental sales significantly boosted profitability as its annual earnings per share growth of 434% over the last two years outstripped its revenue performance
- Free cash flow margin jumped by 17.4 percentage points over the last five years, giving the company more resources to pursue growth initiatives, repurchase shares, or pay dividends
Arlo Technologies is trading at $19.75 per share, or 29.2x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free for active Edge members.
Stocks We Like Even More
Trump’s April 2025 tariff bombshell triggered a massive market selloff, but stocks have since staged an impressive recovery, leaving those who panic sold on the sidelines.
Take advantage of the rebound by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today
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