Volatility cuts both ways - while it creates opportunities, it also increases risk, making sharp declines just as likely as big gains. This unpredictability can shake out even the most experienced investors.
At StockStory, our job is to help you avoid costly mistakes and stay on the right side of the trade. Keeping that in mind, here is one volatile stock with massive upside potential and two best left to the gamblers.
Two Stocks to Sell:
1-800-FLOWERS (FLWS)
Rolling One-Year Beta: 1.31
Founded in 1976, 1-800-FLOWERS (NASDAQ: FLWS) is an online retailer of flowers, gifts, and gourmet foods, serving customers globally.
Why Are We Out on FLWS?
- Products and services aren't resonating with the market as its revenue declined by 9.9% annually over the last two years
- Performance over the past five years shows its incremental sales were much less profitable, as its earnings per share fell by 18.4% annually
- Waning returns on capital from an already weak starting point displays the inefficacy of management’s past and current investment decisions
1-800-FLOWERS’s stock price of $5.69 implies a valuation ratio of 18.9x forward P/E. If you’re considering FLWS for your portfolio, see our FREE research report to learn more.
CRA (CRAI)
Rolling One-Year Beta: 1.06
Often retained for high-stakes matters with multibillion-dollar implications, CRA International (NASDAQ: CRAI) provides economic, financial, and management consulting services to corporations, law firms, and government agencies for litigation, regulatory proceedings, and business strategy.
Why Does CRAI Give Us Pause?
- Modest revenue base of $712.9 million gives it less fixed cost leverage and fewer distribution channels than larger companies
- Free cash flow margin shrank by 7.5 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive
At $186.28 per share, CRA trades at 22.5x forward P/E. Check out our free in-depth research report to learn more about why CRAI doesn’t pass our bar.
One Stock to Buy:
CECO Environmental (CECO)
Rolling One-Year Beta: 1.58
With roots dating back to 1869 and a focus on creating cleaner industrial operations, CECO Environmental (NASDAQ: CECO) provides technology and expertise that helps industrial companies reduce emissions, treat water, and improve energy efficiency across various sectors.
Why Are We Bullish on CECO?
- Market share has increased this cycle as its 18.6% annual revenue growth over the last two years was exceptional
- Exciting sales outlook for the upcoming 12 months calls for 23% growth, an acceleration from its two-year trend
- Adjusted operating margin improvement of 11.8 percentage points over the last five years demonstrates its ability to scale efficiently
CECO Environmental is trading at $47.51 per share, or 36.7x forward P/E. Is now a good time to buy? See for yourself in our in-depth research report, it’s free.
High-Quality Stocks for All Market Conditions
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 6 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 Tecnoglass (+1,754% 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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