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.

These dynamics can cause headaches for even the most seasoned professionals, which is why we started StockStory - to help you separate the good companies from the bad. Keeping that in mind, here is one stock under $50 with huge potential and two that may have trouble.

Two Stocks Under $50 to Sell:

Mission Produce (AVO)

Share Price: $12.14

Founded in 1983 in California, Mission Produce (NASDAQ: AVO) grows, packages, and distributes avocados.

Why Do We Think AVO Will Underperform?

1. Revenue base of $1.39 billion puts it at a disadvantage compared to larger competitors exhibiting economies of scale
2. Sales are projected to tank by 15% over the next 12 months as demand evaporates
3. Gross margin of 10.9% is an output of its commoditized products

At $12.14 per share, Mission Produce trades at 15.7x forward EV-to-EBITDA. Dive into our free research report to see why there are better opportunities than AVO.

RXO (RXO)

Share Price: $15.25

With access to millions of trucks, RXO (NYSE: RXO) offers full-truckload, less-than-truckload, and last-mile deliveries.

Why Is RXO Risky?

1. Sales trends were unexciting over the last two years as its 6.2% annual growth was below the typical industrials company
2. Performance over the past four years shows its incremental sales were much less profitable, as its earnings per share fell by 38.8% annually
3. Unfavorable liquidity position could lead to additional equity financing that dilutes shareholders

RXO’s stock price of $15.25 implies a valuation ratio of 54.6x forward P/E. If you’re considering RXO for your portfolio, see our FREE research report to learn more.

One Stock Under $50 to Watch:

First Commonwealth Financial (FCF)

Share Price: $17.49

Tracing its roots back to the Great Depression era of 1934, First Commonwealth Financial (NYSE: FCF) is a financial holding company that provides consumer and commercial banking, wealth management, and insurance services across Pennsylvania and Ohio.

Why Are We Fans of FCF?

1. Estimated net interest income growth of 11.2% for the next 12 months implies demand will accelerate from its five-year trend
2. Additional sales over the last five years increased its profitability as the 9.6% annual growth in its earnings per share outpaced its revenue
3. Industry-leading 11.4% return on equity demonstrates management’s skill in finding high-return investments

First Commonwealth Financial is trading at $17.49 per share, or 1.1x forward P/B. Is now the time to initiate a position? Find out in our full research report, it’s free.

High-Quality Stocks for All Market Conditions

Donald Trump’s April 2024 "Liberation Day" tariffs sent markets into a tailspin, but stocks have since rebounded strongly, proving that knee-jerk reactions often create the best buying opportunities.

The smart money is already positioning for the next leg up. Don’t miss out on the recovery - check out 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 Exlservice (+354% 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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