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1 Safe-and-Steady Stock Worth Investigating and 2 to Be Wary Of

TDC Cover Image

Stability is great, but low-volatility stocks may struggle to deliver market-beating returns over time as they sometimes underperform during bull markets.

Luckily for you, StockStory helps you navigate which companies are truly worth holding. Keeping that in mind, here is one low-volatility stock providing safe-and-steady growth and two that may not keep up.

Two Stocks to Sell:

Teradata (TDC)

Rolling One-Year Beta: 0.85

Part of point-of-sale and ATM company NCR from 1991 to 2007, Teradata (NYSE: TDC) offers a software-as-service platform that helps organizations manage and analyze their data across multiple storages.

Why Do We Think TDC Will Underperform?

  1. Offerings couldn’t generate interest over the last year as its billings have averaged 3.4% declines
  2. Projected sales decline of 4.2% over the next 12 months indicates demand will continue deteriorating
  3. Gross margin of 60.2% is below its competitors, leaving less money to invest in areas like marketing and R&D

Teradata is trading at $21.99 per share, or 1.3x forward price-to-sales. To fully understand why you should be careful with TDC, check out our full research report (it’s free).

Conagra (CAG)

Rolling One-Year Beta: -0.12

Founded in 1919 as Nebraska Consolidated Mills in Omaha, Nebraska, Conagra Brands today (NYSE: CAG) boasts a diverse portfolio of packaged foods brands that includes everything from whipped cream to jarred pickles to frozen meals.

Why Do We Steer Clear of CAG?

  1. Shrinking unit sales over the past two years suggest it might have to lower prices to stimulate growth
  2. Sales are projected to tank by 2.6% over the next 12 months as demand evaporates
  3. Day-to-day expenses have swelled relative to revenue over the last year as its operating margin fell by 7.9 percentage points

At $20.48 per share, Conagra trades at 8.4x forward P/E. Read our free research report to see why you should think twice about including CAG in your portfolio.

One Stock to Watch:

Westamerica Bancorporation (WABC)

Rolling One-Year Beta: 0.80

Founded in 1884 and serving communities from Mendocino County in the north to Kern County in the south, Westamerica Bancorporation (NASDAQ: WABC) provides banking services to individuals and small businesses throughout Northern and Central California.

Why Could WABC Be a Winner?

  1. 9.7% annual net interest income growth over the last four years surpassed the sector average as its products resonated with borrowers
  2. Non-interest operating profits increased over the last four years as the company gained some leverage on its fixed costs and became more efficient
  3. Share buybacks catapulted its annual earnings per share growth to 11.4%, which outperformed its revenue gains over the last five years

Westamerica Bancorporation’s stock price of $48.59 implies a valuation ratio of 1.3x forward P/B. Is now the right time to buy? See for yourself in our in-depth research report, it’s free.

High-Quality Stocks for All Market Conditions

Donald Trump’s victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs.

While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like 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 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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