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.
Luckily for you, our mission at StockStory is to help you make money and avoid losses by sorting the winners from the losers. That said, here are three stocks under $50 to swipe left on and some alternatives you should look into instead.
MGP Ingredients (MGPI)
Share Price: $31.68
Headquartered in Atchison, Kansas, MGP Ingredients (NASDAQ: MGPI) is a leading supplier of high-quality ingredients to the food and beverage industry
Why Do We Avoid MGPI?
- Products aren't resonating with the market as its revenue declined by 2.8% annually over the last three years
- Sales are expected to decline once again over the next 12 months as it continues working through a challenging demand environment
- Operating margin declined by 10 percentage points over the last year as its sales cratered
MGP Ingredients’s stock price of $31.68 implies a valuation ratio of 11.7x forward P/E. Read our free research report to see why you should think twice about including MGPI in your portfolio.
WeightWatchers (WW)
Share Price: $38.95
Known by many for its old cable television commercials, WeightWatchers (NASDAQ: WW) is a wellness company offering a range of products and services promoting weight loss and healthy habits.
Why Should You Dump WW?
- Sluggish trends in its members suggest customers aren’t adopting its solutions as quickly as the company hoped
- Waning returns on capital imply its previous profit engines are losing steam
- Short cash runway increases the probability of a capital raise that dilutes existing shareholders
At $38.95 per share, WeightWatchers trades at 24.7x forward EV-to-EBITDA. To fully understand why you should be careful with WW, check out our full research report (it’s free).
CNO Financial Group (CNO)
Share Price: $36.33
Rebranded from Conseco in 2010 to signal a fresh start after navigating financial challenges, CNO Financial Group (NYSE: CNO) develops and markets health insurance, annuities, and life insurance products primarily targeting middle-income pre-retirees and retirees.
Why Are We Cautious About CNO?
- Flat net premiums earned over the last four years suggest it must find different ways to grow during this cycle
- Costs have risen faster than its revenue over the last four years, causing its pre-tax profit margin to decline by 6.7 percentage points
- Book value per share was flat over the last five years, indicating it’s failed to build equity value this cycle
CNO Financial Group is trading at $36.33 per share, or 1.4x forward P/B. If you’re considering CNO for your portfolio, see our FREE research report to learn more.
Stocks We Like More
The market surged in 2024 and reached record highs after Donald Trump’s presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025.
While the crowd speculates what might happen next, we’re homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver’s seat and build a durable portfolio by checking out our Top 5 Growth Stocks for this month. 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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