Stocks in the $10-50 range offer a sweet spot between affordability and stability as they’re typically more established than penny stocks. But their headline prices don’t guarantee quality, and investors should exercise caution as some have shaky business models.
These dynamics can cause headaches for even the most seasoned professionals, which is why we started StockStory - to help you separate the good companies from the bad. 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:
ZoomInfo (ZI)
Share Price: $10.28
Founded in 2007 as DiscoveryOrg and renamed after a merger in 2019, ZoomInfo (NASDAQ: ZI) is a software as a service product that provides sales departments with access to a database of prospective clients.
Why Does ZI Worry Us?
- Offerings struggled to generate interest as its billings were flat over the last year
- Complex implementation process for enterprise clients means customers take longer to ramp up, as seen in its extended payback periods
- Day-to-day expenses have swelled relative to revenue over the last year as its operating margin fell by 10.3 percentage points
ZoomInfo’s stock price of $10.28 implies a valuation ratio of 2.9x forward price-to-sales. Dive into our free research report to see why there are better opportunities than ZI.
Collegium Pharmaceutical (COLL)
Share Price: $37.11
Pioneering abuse-deterrent technology in a field plagued by addiction concerns, Collegium Pharmaceutical (NASDAQ: COLL) develops and markets specialty medications for treating moderate to severe pain, including abuse-deterrent opioid formulations.
Why Are We Cautious About COLL?
- Modest revenue base of $707 million gives it less fixed cost leverage and fewer distribution channels than larger companies
- Capital intensity has ramped up over the last five years as its free cash flow margin decreased by 2.7 percentage points
- Eroding returns on capital suggest its historical profit centers are aging
At $37.11 per share, Collegium Pharmaceutical trades at 5.1x forward P/E. Check out our free in-depth research report to learn more about why COLL doesn’t pass our bar.
One Stock Under $50 to Watch:
Mirion (MIR)
Share Price: $22.34
With its technology protecting workers in over 130 countries and equipment used in 80% of cancer centers worldwide, Mirion Technologies (NYSE: MIR) provides radiation detection, measurement, and monitoring solutions for medical, nuclear energy, defense, and scientific research applications.
Why Are We Fans of MIR?
- Annual revenue growth of 8.2% over the last four years beat the sector average and underscores the unique value of its offerings
- Additional sales over the last two years increased its profitability as the 28.2% annual growth in its earnings per share outpaced its revenue
- Free cash flow margin expanded by 3.7 percentage points over the last five years, providing additional flexibility for investments and share buybacks/dividends
Mirion is trading at $22.34 per share, or 43.3x forward EV-to-EBITDA. Is now a good time to buy? Find out in our full research report, it’s free.
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 5 Strong Momentum 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-micro-cap company Kadant (+351% 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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