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2 Volatile Stocks on Our Buy List and 1 to Ignore

KLIC Cover Image

A highly volatile stock can deliver big gains - or just as easily wipe out a portfolio if things go south. While some investors embrace risk, mistakes can be costly for those who aren’t prepared.

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 that could just as easily collapse.

One Stock to Sell:

Kulicke and Soffa (KLIC)

Rolling One-Year Beta: 1.45

Headquartered in Singapore, Kulicke & Soffa (NASDAQ: KLIC) is a provider of production equipment and tools used to assemble semiconductor devices

Why Is KLIC Risky?

  1. Sales tumbled by 17.2% annually over the last two years, showing market trends are working against its favor during this cycle
  2. Forecasted revenue decline of 8.8% for the upcoming 12 months implies demand will fall even further
  3. Expenses have increased as a percentage of revenue over the last five years as its operating margin fell by 16.4 percentage points

At $35.19 per share, Kulicke and Soffa trades at 21.1x forward P/E. To fully understand why you should be careful with KLIC, check out our full research report (it’s free).

Two Stocks to Buy:

CSW (CSWI)

Rolling One-Year Beta: 1.74

With over two centuries of combined operations manufacturing and supplying, CSW (NASDAQ: CSWI) offers special chemicals, coatings, sealants, and lubricants for various industries.

Why Are We Backing CSWI?

  1. Annual revenue growth of 17.9% over the past five years was outstanding, reflecting market share gains this cycle
  2. Highly efficient business model is illustrated by its impressive 18.8% operating margin, and its profits increased over the last five years as it scaled
  3. Incremental sales significantly boosted profitability as its annual earnings per share growth of 17.6% over the last two years outstripped its revenue performance

CSW is trading at $305.10 per share, or 32.1x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.

F&G Annuities & Life (FG)

Rolling One-Year Beta: 1.05

Founded in 1959 and serving approximately 677,000 policyholders who rely on its financial protection products, F&G Annuities & Life (NYSE: FG) provides fixed annuities, life insurance, and pension risk transfer solutions to retail and institutional clients.

Why Will FG Outperform?

  1. Annual net premiums earned growth of 33.9% over the last two years was superb and indicates its market share increased during this cycle
  2. Annual book value per share growth of 28.3% over the past two years was outstanding, reflecting strong capital accumulation this cycle
  3. Capital generation for the next 12 months is expected to accelerate above its two-year trend as Wall Street forecasts robust book value per share growth of 50.3%

F&G Annuities & Life’s stock price of $31.15 implies a valuation ratio of 0.9x forward P/B. Is now the right time to buy? See for yourself in our comprehensive research report, it’s free.

Stocks We Like Even More

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 5 Growth Stocks for this month. 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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