A stock with low volatility can be reassuring, but it doesn’t always mean strong long-term performance. Investors who prioritize stability may miss out on higher-reward opportunities elsewhere.
Luckily for you, StockStory helps you navigate which companies are truly worth holding. That said, here are two low-volatility stocks that could succeed under all market conditions and one that may not deliver the returns you need.
One Stock to Sell:
Allstate (ALL)
Rolling One-Year Beta: 0.65
Born from a Sears, Roebuck & Co. initiative during the Great Depression with its famous "You're in good hands" slogan, Allstate (NYSE: ALL) is one of America's largest personal property and casualty insurers, offering protection for autos, homes, and personal property.
Why Are We Cautious About ALL?
- Costs have risen faster than its revenue over the last four years, causing its combined ratio to worsen by 4.8 percentage points
- Flat book value per share over the last five years suggest it must find different ways to enhance shareholder value during this cycle
- Below-average return on equity indicates management struggled to find compelling investment opportunities
At $206.78 per share, Allstate trades at 2.4x forward P/B. If you’re considering ALL for your portfolio, see our FREE research report to learn more.
Two Stocks to Buy:
Monster (MNST)
Rolling One-Year Beta: 0.33
Founded in 2002 as a natural soda and juice company, Monster Beverage (NASDAQ: MNST) is a pioneer of the energy drink category, and its Monster Energy brand targets a young, active demographic.
Why Are We Bullish on MNST?
- Disciplined cost controls and effective management resulted in a strong two-year operating margin of 27.5%
- MNST is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders, and its rising cash conversion increases its margin of safety
- Market-beating returns on capital illustrate that management has a knack for investing in profitable ventures
Monster’s stock price of $64.35 implies a valuation ratio of 33.2x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
Insulet (PODD)
Rolling One-Year Beta: 0.73
Revolutionizing diabetes care with its tubeless "Pod" technology, Insulet (NASDAQ: PODD) develops and manufactures innovative insulin delivery systems for people with diabetes, primarily through its Omnipod product line.
Why Will PODD Beat the Market?
- Average constant currency growth of 26.4% over the past two years demonstrates its ability to grow internationally despite currency fluctuations
- Free cash flow margin jumped by 25.4 percentage points over the last five years, giving the company more resources to pursue growth initiatives, repurchase shares, or pay dividends
- Improving returns on capital reflect management’s ability to monetize investments
Insulet is trading at $321.27 per share, or 67.7x forward P/E. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free.
Stocks We Like Even More
When Trump unveiled his aggressive tariff plan in April 2025, markets tanked as investors feared a full-blown trade war. But those who panicked and sold missed the subsequent rebound that’s already erased most losses.
Don’t let fear keep you from great opportunities and take a look at Top 5 Strong Momentum 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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