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3 Low-Volatility Stocks Walking a Fine Line

BLNK Cover Image

Low-volatility stocks may offer stability, but that often comes at the cost of slower growth and the upside potential of more dynamic companies.

Choosing the wrong investments can cause you to fall behind, which is why we started StockStory - to separate the winners from the losers. Keeping that in mind, here are three low-volatility stocks to avoid and some better opportunities instead.

Blink Charging (BLNK)

Rolling One-Year Beta: 0.91

One of the first EV charging companies to go public, Blink Charging (NASDAQ: BLNK) is a manufacturer, owner, operator, and provider of electric vehicle charging equipment and networked EV charging services.

Why Does BLNK Fall Short?

  1. Customers postponed purchases of its products and services this cycle as its revenue declined by 5.9% annually over the last two years
  2. Cash-burning history makes us doubt the long-term viability of its business model
  3. Unfavorable liquidity position could lead to additional equity financing that dilutes shareholders

At $1.26 per share, Blink Charging trades at 1.2x forward price-to-sales. To fully understand why you should be careful with BLNK, check out our full research report (it’s free for active Edge members).

Dave & Buster's (PLAY)

Rolling One-Year Beta: 0.78

Founded by a former game parlor and bar operator, Dave & Buster’s (NASDAQ: PLAY) operates a chain of arcades providing immersive entertainment experiences.

Why Are We Out on PLAY?

  1. Lagging same-store sales over the past two years suggest it might have to change its pricing and marketing strategy to stimulate demand
  2. Returns on capital haven’t budged, indicating management couldn’t drive additional value creation
  3. Limited cash reserves may force the company to seek unfavorable financing terms that could dilute shareholders

Dave & Buster's is trading at $17.51 per share, or 15.8x forward P/E. Dive into our free research report to see why there are better opportunities than PLAY.

Stewart Information Services (STC)

Rolling One-Year Beta: 0.83

Founded in 1893 during America's westward expansion when property records were often disputed, Stewart Information Services (NYSE: STC) provides title insurance and real estate services, helping homebuyers, sellers, and lenders verify property ownership and protect against title defects.

Why Does STC Worry Us?

  1. Sluggish 2.9% annualized growth in net premiums earned over the last five years indicates the firm trailed its insurance peers
  2. Performance over the past five years shows its incremental sales were much less profitable, as its earnings per share fell by 2.8% annually
  3. 3.2% annual book value per share growth over the last two years was slower than its insurance peers

Stewart Information Services’s stock price of $76.92 implies a valuation ratio of 1.4x forward P/B. Check out our free in-depth research report to learn more about why STC doesn’t pass our bar.

Stocks We Like 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 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

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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