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. That said, here is one stock under $50 that could 10x and two that may have trouble.
Two Stocks Under $50 to Sell:
Trinity (TRN)
Share Price: $23.30
Operating under the trade name TrinityRail, Trinity (NYSE:TRN) is a provider of railcar products and services in North America.
Why Should You Sell TRN?
- Annual sales declines of 2% for the past five years show its products and services struggled to connect with the market during this cycle
- 9.3 percentage point decline in its free cash flow margin over the last five years reflects the company’s increased investments to defend its market position
- Unfavorable liquidity position could lead to additional equity financing that dilutes shareholders
Trinity is trading at $23.30 per share, or 5.1x forward EV-to-EBITDA. If you’re considering TRN for your portfolio, see our FREE research report to learn more.
Bruker (BRKR)
Share Price: $38.31
With roots dating back to the pioneering days of nuclear magnetic resonance technology, Bruker (NASDAQ:BRKR) develops and manufactures high-performance scientific instruments that enable researchers and industrial analysts to explore materials at microscopic, molecular, and cellular levels.
Why Are We Wary of BRKR?
- Expenses have increased as a percentage of revenue over the last two years as its adjusted operating margin fell by 5.1 percentage points
- Capital intensity has ramped up over the last five years as its free cash flow margin decreased by 9.4 percentage points
- Shrinking returns on capital suggest that increasing competition is eating into the company’s profitability
At $38.31 per share, Bruker trades at 13.9x forward P/E. To fully understand why you should be careful with BRKR, check out our full research report (it’s free).
One Stock Under $50 to Watch:
Trupanion (TRUP)
Share Price: $47.41
Born from a vision to help pet owners avoid economic euthanasia when faced with expensive veterinary bills, Trupanion (NASDAQ:TRUP) provides medical insurance for cats and dogs through data-driven, vertically-integrated products priced specifically for each pet's unique characteristics.
Why Is TRUP on Our Radar?
- Annual revenue growth of 17.6% over the last two years was superb and indicates its market share increased during this cycle
- Incremental sales over the last two years have been highly profitable as its earnings per share increased by 94.6% annually, topping its revenue gains
- Annual book value per share growth of 14.9% over the last five years was superb and indicates its capital strength increased during this cycle
Trupanion’s stock price of $47.41 implies a valuation ratio of 5.9x forward P/B. Is now the right time to buy? See for yourself in our in-depth research report, it’s free.
Stocks We Like Even More
When Trump unveiled his aggressive tariff plan in April 2024, markets tanked as investors feared a full-blown trade war. But those who panicked and sold missed the subsequent rebound that’s already erased most losses.
Don’t let fear keep you from great opportunities and take a look at Top 9 Market-Beating Stocks. 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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