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.

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 is one low-volatility stock that could succeed under all market conditions and two that may not keep up.

Two Stocks to Sell:

Fresh Del Monte Produce (FDP)

Rolling One-Year Beta: 0.06

Translating to "of the mountain" in Spanish, Fresh Del Monte (NYSE: FDP) is a leader in providing high-quality, sustainably grown fresh fruits and vegetables.

Why Do We Think FDP Will Underperform?

1. Flat sales over the last three years suggest it must innovate and find new ways to grow
2. Gross margin of 8.2% is an output of its commoditized products
3. ROIC of 5.3% reflects management’s challenges in identifying attractive investment opportunities

Fresh Del Monte Produce is trading at $32.76 per share, or 8.1x forward EV-to-EBITDA. If you’re considering FDP for your portfolio, see our FREE research report to learn more.

Owens & Minor (OMI)

Rolling One-Year Beta: -0.03

With roots dating back to 1882 and operations spanning approximately 80 countries, Owens & Minor (NYSE: OMI) is a healthcare solutions company that manufactures medical supplies, distributes products to healthcare providers, and delivers medical equipment directly to patients.

Why Does OMI Fall Short?

1. Annual sales growth of 3.2% over the last two years lagged behind its healthcare peers as its large revenue base made it difficult to generate incremental demand
2. Low returns on capital reflect management’s struggle to allocate funds effectively, and its shrinking returns suggest its past profit sources are losing steam
3. Shrinking returns on capital from an already weak position reveal that neither previous nor ongoing investments are yielding the desired results

At $7.93 per share, Owens & Minor trades at 4.4x forward P/E. To fully understand why you should be careful with OMI, check out our full research report (it’s free).

One Stock to Buy:

Ibotta (IBTA)

Rolling One-Year Beta: 0.85

Originally launched as a way to make grocery shopping more rewarding for budget-conscious consumers, Ibotta (NYSE: IBTA) is a mobile shopping app that allows consumers to earn cash back on everyday purchases by completing tasks and submitting receipts.

Why Will IBTA Outperform?

1. Rapid growth in total redemptions demonstrates strong market adoption
2. Estimated revenue growth of 7.5% for the next 12 months implies its momentum over the last two years will continue
3. Incremental sales over the last two years have been highly profitable as its earnings per share increased by 53.4% annually, topping its revenue gains

Ibotta’s stock price of $46.78 implies a valuation ratio of 14.7x forward EV-to-EBITDA. Is now the right time to buy? See for yourself in our comprehensive research report, it’s free.

High-Quality Stocks for All Market Conditions

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 9 Market-Beating Stocks. 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.