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2 Volatile Stocks with Exciting Potential and 1 We Question

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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.

These stocks can be a rollercoaster, and StockStory is here to guide you through the ups and downs. That said, here are two volatile stocks that could deliver huge gains and one best left to the gamblers.

One Stock to Sell:

Baxter (BAX)

Rolling One-Year Beta: 1.09

With a history dating back to 1931 and products used in over 100 countries, Baxter International (NYSE: BAX) provides essential healthcare products including dialysis therapies, IV solutions, infusion systems, surgical products, and patient monitoring technologies to hospitals and clinics worldwide.

Why Do We Steer Clear of BAX?

  1. Underwhelming constant currency revenue performance over the past two years suggests its product offering at current prices doesn’t resonate with customers
  2. Earnings per share fell by 4.3% annually over the last five years while its revenue was flat, showing each sale was less profitable
  3. Low returns on capital reflect management’s struggle to allocate funds effectively

Baxter is trading at $18.85 per share, or 8.7x forward P/E. Read our free research report to see why you should think twice about including BAX in your portfolio.

Two Stocks to Watch:

WisdomTree (WT)

Rolling One-Year Beta: 1.25

Originally founded as a financial media company before pivoting to ETF management in 2006, WisdomTree (NYSE: WT) is a financial services company that creates and manages exchange-traded funds (ETFs) and other investment products for individual and institutional investors.

Why Is WT a Top Pick?

  1. Market share has increased this cycle as its 17.4% annual revenue growth over the last two years was exceptional
  2. Performance over the past two years shows its incremental sales were extremely profitable, as its annual earnings per share growth of 57.1% outpaced its revenue gains
  3. Market-beating return on equity illustrates that management has a knack for investing in profitable ventures

At $10.91 per share, WisdomTree trades at 12.1x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free for active Edge members.

Sezzle (SEZL)

Rolling One-Year Beta: 3.75

Founded in 2016 as an alternative to traditional credit cards for younger shoppers, Sezzle (NASDAQ: SEZL) provides a payment platform that allows consumers to split purchases into four interest-free installments over six weeks at participating retailers.

Why Does SEZL Stand Out?

  1. Market share has increased this cycle as its 67.8% annual revenue growth over the last two years was exceptional
  2. Incremental sales significantly boosted profitability as its annual earnings per share growth of 154% over the last two years outstripped its revenue performance

Sezzle’s stock price of $60.19 implies a valuation ratio of 14.5x forward P/E. Is now the right time to buy? See for yourself in our comprehensive research report, it’s free for active Edge members .

Stocks We Like Even More

The market’s up big this year - but there’s a catch. Just 4 stocks account for half the S&P 500’s entire gain. That kind of concentration makes investors nervous, and for good reason. While everyone piles into the same crowded names, smart investors are hunting quality where no one’s looking - and paying a fraction of the price. Check out the high-quality names we’ve flagged in our Top 6 Stocks for this week. 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-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

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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