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2 Stocks Under $50 with Promising Prospects and 1 We Ignore

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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 are two stocks under $50 that could 10x and one that could be down big.

One Stock Under $50 to Sell:

Malibu Boats (MBUU)

Share Price: $24.25

Founded in California in 1982, Malibu Boats (NASDAQ: MBUU) is a manufacturer of high-performance sports boats and luxury watercrafts.

Why Is MBUU Risky?

  1. Demand for its offerings was relatively low as its number of boats sold has underwhelmed
  2. Performance over the past five years shows its incremental sales were much less profitable, as its earnings per share fell by 14.9% annually
  3. Waning returns on capital from an already weak starting point displays the inefficacy of management’s past and current investment decisions

Malibu Boats is trading at $24.25 per share, or 18x forward P/E. Check out our free in-depth research report to learn more about why MBUU doesn’t pass our bar.

Two Stocks Under $50 to Watch:

GitLab (GTLB)

Share Price: $44.34

With its all-remote workforce pioneering a new approach to software development, GitLab (NASDAQ: GTLB) provides a single-application DevSecOps platform that helps development, operations, and security teams collaborate to build, secure, and deploy software faster.

Why Is GTLB a Top Pick?

  1. Customers view its software as mission-critical to their operations as its ARR has averaged 30.9% growth over the last year
  2. Software is difficult to replicate at scale and leads to a best-in-class gross margin of 88.5%
  3. GTLB is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders

At $44.34 per share, GitLab trades at 6.9x forward price-to-sales. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free for active Edge members .

Warby Parker (WRBY)

Share Price: $17.21

Founded in 2010, Warby Parker (NYSE: WRBY) designs, manufactures, and sells eyewear, including prescription glasses, sunglasses, and contact lenses, through its e-commerce platform and physical retail locations.

Why Could WRBY Be a Winner?

  1. Fast expansion of new stores indicates an aggressive approach to attacking untapped market opportunities
  2. Collection of products is difficult to replicate at scale and leads to a best-in-class gross margin of 54.8%
  3. Earnings per share grew by 72.3% annually over the last three years, massively outpacing its peers

Warby Parker’s stock price of $17.21 implies a valuation ratio of 36.7x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free for active Edge members.

Stocks We Like Even More

If your portfolio success hinges on just 4 stocks, your wealth is built on fragile ground. You have a small window to secure high-quality assets before the market widens and these prices disappear.

Don’t wait for the next volatility shock. Check 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 244% over the last five years (as of June 30, 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 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

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.

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