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. That said, here is one volatile stock with massive upside potential and two that might not be worth the risk.

Two Stocks to Sell:

CarGurus (CARG)

Rolling One-Year Beta: 1.23

Bringing transparency to a sometimes opaque process, CarGurus (NASDAQ: CARG) is a digital marketplace where auto dealers can connect with potential customers and where car buyers can browse, purchase, and obtain financing.

Why Are We Hesitant About CARG?

1. Increasing competition is redirecting attention to other platforms as it failed to grow its paying dealers over the last two years
2. Anticipated sales growth of 6.1% for the next year implies demand will be shaky
3. Earnings growth over the last three years fell short of the peer group average as its EPS only increased by 5.8% annually

CarGurus is trading at $32.10 per share, or 11.9x forward EV/EBITDA. Dive into our free research report to see why there are better opportunities than CARG.

Albany (AIN)

Rolling One-Year Beta: 1.15

Founded in 1895, Albany (NYSE: AIN) is a global textiles and materials processing company, specializing in machine clothing for paper mills and engineered composite structures for aerospace and other industries.

Why Are We Out on AIN?

1. Annual revenue growth of 3% over the last five years was below our standards for the industrials sector
2. Day-to-day expenses have swelled relative to revenue over the last five years as its operating margin fell by 9 percentage points
3. Performance over the past five years shows its incremental sales were much less profitable, as its earnings per share fell by 5.6% annually

Albany’s stock price of $67.96 implies a valuation ratio of 10.9x forward EV-to-EBITDA. Check out our free in-depth research report to learn more about why AIN doesn’t pass our bar.

One Stock to Watch:

Primoris (PRIM)

Rolling One-Year Beta: 1.88

Listed on the NASDAQ in 2008, Primoris (NYSE: PRIM) builds, maintains, and upgrades infrastructure in the utility, energy, and civil construction industries.

Why Does PRIM Stand Out?

1. Impressive 16.2% annual revenue growth over the last two years indicates it’s winning market share this cycle
2. Sales pipeline is in good shape as its backlog averaged 148% growth over the past two years
3. Earnings per share grew by 27% annually over the last two years, massively outpacing its peers

At $73.62 per share, Primoris trades at 16.5x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.

Stocks We Like Even More

The market surged in 2024 and reached record highs after Donald Trump’s presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025.

While the crowd speculates what might happen next, we’re homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver’s seat and build a durable portfolio by checking out 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-micro-cap company Kadant (+351% 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