Low-volatility stocks may offer stability, but that often comes at the cost of slower growth and the upside potential of more dynamic companies.
Choosing the wrong investments can cause you to fall behind, which is why we started StockStory - to separate the winners from the losers. That said, here are two low-volatility stocks that could offer consistent gains and one that may not keep up.
One Stock to Sell:
Vulcan Materials (VMC)
Rolling One-Year Beta: 0.81
Founded in 1909, Vulcan Materials (NYSE: VMC) is a producer of construction aggregates, primarily crushed stone, sand, and gravel.
Why Is VMC Not Exciting?
- Flat sales over the last two years suggest it must find different ways to grow during this cycle
- Performance surrounding its tons shipped has lagged its peers
- Competitive supply chain dynamics and steep production costs are reflected in its low gross margin of 25%
Vulcan Materials’s stock price of $294.81 implies a valuation ratio of 33.2x forward P/E. To fully understand why you should be careful with VMC, check out our full research report (it’s free).
Two Stocks to Watch:
Republic Services (RSG)
Rolling One-Year Beta: 0.36
Processing several million tons of recyclables annually, Republic (NYSE: RSG) provides waste management services for residences, companies, and municipalities.
Why Are We Positive On RSG?
- Solid 9.8% annual revenue growth over the last five years indicates its offering’s solve complex business issues
- Healthy operating margin of 18.8% shows it’s a well-run company with efficient processes, and its operating leverage amplified its profits over the last five years
- Robust free cash flow margin of 13.5% gives it many options for capital deployment
Republic Services is trading at $228.33 per share, or 31.9x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
Kinsale Capital Group (KNSL)
Rolling One-Year Beta: 0.43
Founded in 2009 during the aftermath of the financial crisis when many insurers were retreating from riskier markets, Kinsale Capital Group (NYSE: KNSL) is an insurance company that specializes in writing policies for hard-to-place, unusual, or high-risk businesses that standard insurers typically avoid.
Why Are We Backing KNSL?
- Net premiums earned surged by 25.9% annually over the past two years, reflecting strong market share gains this cycle
- Balance sheet strength has increased this cycle as its 40.2% annual book value per share growth over the last two years was exceptional
- Notable projected book value per share growth of 25.5% for the next 12 months hints at strong capital generation
At $455.40 per share, Kinsale Capital Group trades at 5.6x forward P/B. Is now a good time to buy? See for yourself in our full research report, it’s free.
High-Quality Stocks for All Market Conditions
Trump’s April 2025 tariff bombshell triggered a massive market selloff, but stocks have since staged an impressive recovery, leaving those who panic sold on the sidelines.
Take advantage of the rebound by checking out our 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-micro-cap company Tecnoglass (+1,754% 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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