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2 Volatile Stocks to Target This Week and 1 We Question

DDOG 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.

At StockStory, our job is to help you avoid costly mistakes and stay on the right side of the trade. Keeping that in mind, here are two volatile stocks that could reward patient investors and one that could just as easily collapse.

One Stock to Sell:

Global Industrial (GIC)

Rolling One-Year Beta: 1.22

Formerly known as Systemax, Global Industrial (NYSE: GIC) distributes industrial and commercial products to businesses and institutions.

Why Should You Sell GIC?

  1. Muted 6.9% annual revenue growth over the last two years shows its demand lagged behind its industrials peers
  2. Incremental sales over the last two years were much less profitable as its earnings per share fell by 2.3% annually while its revenue grew
  3. Waning returns on capital imply its previous profit engines are losing steam

Global Industrial’s stock price of $33.21 implies a valuation ratio of 19.2x forward P/E. To fully understand why you should be careful with GIC, check out our full research report (it’s free).

Two Stocks to Watch:

Datadog (DDOG)

Rolling One-Year Beta: 1.52

Named after a database the founders had to painstakingly look after at their previous company, Datadog (NASDAQ: DDOG) is a software-as-a-service platform that makes it easier to monitor cloud infrastructure and applications.

Why Is DDOG a Good Business?

  1. ARR growth averaged 27.2% over the last year, showing customers are willing to take multi-year bets on its offerings
  2. Well-designed software integrates seamlessly with other workflows, enabling swift payback periods on marketing expenses and customer growth at scale
  3. Robust free cash flow margin of 29.4% gives it many options for capital deployment

Datadog is trading at $135.11 per share, or 14.6x forward price-to-sales. Is now a good time to buy? See for yourself in our full research report, it’s free.

Old National Bank (ONB)

Rolling One-Year Beta: 1.44

Tracing its roots back to 1834 when Andrew Jackson was president, Old National Bancorp (NASDAQ: ONB) is a bank holding company that provides commercial and consumer loans, deposit services, wealth management, and treasury solutions primarily throughout the Midwest region.

Why Do We Like ONB?

  1. Impressive 25.5% annual net interest income growth over the last five years indicates it’s winning market share this cycle
  2. Projected net interest income growth of 40.6% for the next 12 months is above its five-year trend, pointing to accelerating demand
  3. Operating profits are forecasted to increase over the next year as it scales and becomes more productive

At $20.43 per share, Old National Bank trades at 1x forward P/B. Is now the time to initiate a position? Find out in our full research report, it’s free.

Stocks We Like Even More

Donald Trump’s April 2025 "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 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-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today for free.

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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