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.
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. That said, here is one stock under $50 that could 10x and two that could be down big.
Two Stocks Under $50 to Sell:
Penguin Solutions (PENG)
Share Price: $24.80
Based in the US, Penguin Solutions (NASDAQ: PENG) is a diversified semiconductor company offering memory, digital, and LED products.
Why Should You Dump PENG?
- Products and services are facing significant end-market challenges during this cycle as sales have declined by 5% annually over the last two years
- Operating margin of 2.5% falls short of the industry average, and the smaller profit dollars make it harder to react to unexpected market developments
- Low returns on capital reflect management’s struggle to allocate funds effectively, and its decreasing returns suggest its historical profit centers are aging
Penguin Solutions is trading at $24.80 per share, or 14.5x forward P/E. Read our free research report to see why you should think twice about including PENG in your portfolio.
IAC (IAC)
Share Price: $35.24
Originally known as InterActiveCorp and built through Barry Diller's strategic acquisitions since the 1990s, IAC (NASDAQ: IAC) operates a portfolio of category-leading digital businesses including Dotdash Meredith, Angi, and Care.com, focusing on digital publishing, home services, and caregiving platforms.
Why Should You Sell IAC?
- Customers postponed purchases of its products and services this cycle as its revenue declined by 20.4% annually over the last two years
- Earnings per share have dipped by 41.3% annually over the past four years, which is concerning because stock prices follow EPS over the long term
- Push for growth has led to negative returns on capital, signaling value destruction
IAC’s stock price of $35.24 implies a valuation ratio of 21.6x forward P/E. If you’re considering IAC for your portfolio, see our FREE research report to learn more.
One Stock Under $50 to Watch:
Old National Bank (ONB)
Share Price: $21.55
Tracing its roots back to 1834 when Andrew Jackson was president, Old National Bancorp (NASDAQ: ONB) is a bank holding company that provides commercial and consumer loans, deposit services, wealth management, and treasury solutions primarily throughout the Midwest region.
Why Could ONB Be a Winner?
- Annual net interest income growth of 25.5% over the last five years was superb and indicates its market share increased during this cycle
- Exciting net interest income outlook for the upcoming 12 months calls for 40.6% growth, an acceleration from its five-year trend
- Anticipated efficiency ratio improvement of -3.7 percentage points over the next year signals it will gain leverage on its fixed costs and become more productive
At $21.55 per share, Old National Bank trades at 1x forward P/B. Is now the right time to buy? Find out in our full research report, it’s free.
Stocks We Like Even More
When Trump unveiled his aggressive tariff plan in April 2025, 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 Exlservice (+354% 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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