The $10-50 price range often includes mid-sized businesses with proven track records and plenty of growth runway ahead. They also usually carry less risk than penny stocks, though they’re not immune to volatility as many lack the scale advantages of their larger peers.

Luckily for you, our mission at StockStory is to help you make money and avoid losses by sorting the winners from the losers. Keeping that in mind, here are three stocks under $50 to avoid and some other investments you should consider instead.

CTS (CTS)

Share Price: $42.18

With roots dating back to 1896 and a global manufacturing footprint, CTS (NYSE: CTS) designs and manufactures sensors, connectivity components, and actuators for aerospace, defense, industrial, medical, and transportation markets.

Why Do We Think Twice About CTS?

1. Sales tumbled by 5.7% annually over the last two years, showing market trends are working against its favor during this cycle
2. Smaller revenue base of $520.9 million means it hasn’t achieved the economies of scale that some industry juggernauts enjoy
3. Earnings per share have dipped by 4.5% annually over the past two years, which is concerning because stock prices follow EPS over the long term

CTS is trading at $42.18 per share, or 17.4x forward P/E. Read our free research report to see why you should think twice about including CTS in your portfolio.

TriCo Bancshares (TCBK)

Share Price: $45.13

Founded in 1975 and headquartered in Chico, California, TriCo Bancshares (NASDAQ: TCBK) operates Tri Counties Bank, providing personal, small business, and commercial banking services through branches across California.

Why Are We Hesitant About TCBK?

1. Net interest income trends were unexciting over the last five years as its 5.7% annual growth was below the typical banking firm
2. 28.7 basis point (100 basis points = 1 percentage point) decline in its net interest margin over the last two years reflects the firm’s willingness to accept lower profitability to defend its market position
3. Earnings per share decreased by more than its revenue over the last two years, showing each sale was less profitable

TriCo Bancshares’s stock price of $45.13 implies a valuation ratio of 1.1x forward P/B. Dive into our free research report to see why there are better opportunities than TCBK.

S&T Bancorp (STBA)

Share Price: $38.67

Tracing its roots back to 1902 in western Pennsylvania's industrial heartland, S&T Bancorp (NASDAQ: STBA) is a Pennsylvania-based bank holding company that provides retail and commercial banking services, cash management, trust services, and investment advisory solutions.

Why Does STBA Worry Us?

1. 3.9% annual net interest income growth over the last five years was slower than its banking peers
2. Estimated net interest income growth of 5.1% for the next 12 months is soft and implies weaker demand
3. Net interest margin dropped by 35.7 basis points (100 basis points = 1 percentage point) over the last two years, implying the firm’s loan book profitability fell as competitors entered the market

At $38.67 per share, S&T Bancorp trades at 1x forward P/B. To fully understand why you should be careful with STBA, check out our full research report (it’s free).

High-Quality Stocks for All Market Conditions

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-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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