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.
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 that could 10x and two that could be down big.
Two Stocks Under $50 to Sell:
Zillow (ZG)
Share Price: $36.76
Founded by Expedia co-founders Lloyd Frink and Rich Barton, Zillow (NASDAQ: ZG) is the leading U.S. online real estate marketplace.
Why Do We Steer Clear of ZG?
- Products and services have few die-hard fans as sales have declined by 4.7% annually over the last five years
- Earnings growth over the last five years fell short of the peer group average as its EPS only increased by 10.6% annually
- Lacking free cash flow generation means it has few chances to reinvest for growth, repurchase shares, or distribute capital
At $36.76 per share, Zillow trades at 14.6x forward P/E. If you’re considering ZG for your portfolio, see our FREE research report to learn more.
Black Stone Minerals (BSM)
Share Price: $13.25
With roots dating to the late 1800s when railroads were expanding westward and land grants were common, Black Stone Minerals (NYSE: BSM) owns oil and natural gas mineral rights across the U.S., earning royalties when energy companies drill on its land.
Why Are We Cautious About BSM?
- Modest revenue base of $470 million gives it less fixed cost leverage and fewer distribution channels than larger companies
- Costs have risen faster than its revenue over the last five years, causing its EBITDA margin to decline by 28.1 percentage points
Black Stone Minerals is trading at $13.25 per share, or 13.2x forward P/E. Check out our free in-depth research report to learn more about why BSM doesn’t pass our bar.
One Stock Under $50 to Watch:
Pfizer (PFE)
Share Price: $26.20
With roots dating back to 1849 when two German immigrants opened a fine chemicals business in Brooklyn, Pfizer (NYSE: PFE) is a global biopharmaceutical company that discovers, develops, manufactures, and sells medicines and vaccines for a wide range of diseases and conditions.
Why Do We Like PFE?
- Massive revenue base of $63.32 billion in a highly regulated sector makes the company difficult to replace, giving it meaningful negotiating power
- Adjusted operating profits increased over the last two years as the company gained some leverage on its fixed costs and became more efficient
- Industry-leading 18.1% return on capital demonstrates management’s skill in finding high-return investments
Pfizer’s stock price of $26.20 implies a valuation ratio of 9.1x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
Stocks We Like Even More
WHILE YOU’RE HERE: Top 9 Market-Beating Stocks. The best stocks don’t just beat the market once. They do it again. And again. Robust revenue growth, rising free cash flow, returns on capital that leave their competition in the dust. The market has already rewarded these businesses.
But our AI platform says the party isn’t over. Find out which 9 stocks made the cut this week — FREE. Get Our Top 9 Market-Beating Stocks for Free HERE.
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 Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.
