Stocks trading between $10 and $50 can be particularly interesting as they frequently represent businesses that have survived their early challenges. However, investors should remain vigilant as some may still have unproven business models, leaving them vulnerable to the ebbs and flows of the broader market.
Luckily for you, our mission at StockStory is to help you make money and avoid losses by sorting the winners from the losers. Keeping that in mind, here is one stock under $50 that could 10x and two that could be down big.
Two Stocks Under $50 to Sell:
Advance Auto Parts (AAP)
Share Price: $52.78
Founded in Virginia in 1932, Advance Auto Parts (NYSE: AAP) is an auto parts and accessories retailer that sells everything from carburetors to motor oil to car floor mats.
Why Is AAP Risky?
- Weak same-store sales trends over the past two years suggest there may be few opportunities in its core markets to open new locations
- Free cash flow margin shrank by 6.7 percentage points over the last year, suggesting the company is consuming more capital to stay competitive
- 7× net-debt-to-EBITDA ratio makes lenders less willing to extend additional capital, potentially necessitating dilutive equity offerings
Advance Auto Parts is trading at $52.78 per share, or 21.5x forward P/E. To fully understand why you should be careful with AAP, check out our full research report (it’s free).
HP (HPQ)
Share Price: $19.18
Born from the legendary Silicon Valley garage startup founded by Bill Hewlett and Dave Packard in 1939, HP (NYSE: HPQ) designs and sells personal computers, printers, and related technology products and services to consumers, businesses, and enterprises worldwide.
Why Do We Pass on HPQ?
- Products and services are facing end-market challenges during this cycle, as seen in its flat sales over the last five years
- Projected sales are flat for the next 12 months, implying demand will slow from its two-year trend
- Incremental sales over the last two years were much less profitable as its earnings per share fell by 2.8% annually while its revenue grew
At $19.18 per share, HP trades at 6.6x forward P/E. Dive into our free research report to see why there are better opportunities than HPQ.
One Stock Under $50 to Buy:
Skyward Specialty Insurance (SKWD)
Share Price: $43.63
Founded in 2006 to serve markets where standard insurance coverage falls short, Skyward Specialty Insurance (NASDAQ: SKWD) provides customized commercial property, casualty, and health insurance solutions for underserved or specialized market niches.
Why Will SKWD Beat the Market?
- Net premiums earned surged by 26.6% annually over the past two years, reflecting strong market share gains this cycle
- Impressive 29.3% annual book value per share growth over the last two years indicates it’s building equity value this cycle
- Book value per share outlook for the upcoming 12 months is outstanding and shows it’s on track to build significant equity value
Skyward Specialty Insurance’s stock price of $43.63 implies a valuation ratio of 1.8x forward P/B. Is now a good time to buy? See for yourself in our full research report, it’s free.
High-Quality Stocks for All Market Conditions
If your portfolio success hinges on just 4 stocks, your wealth is built on fragile ground. You have a small window to secure high-quality assets before the market widens and these prices disappear.
Don’t wait for the next volatility shock. Check 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 244% over the last five years (as of June 30, 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today.
