Low-volatility stocks may offer stability, but that often comes at the cost of slower growth and the upside potential of more dynamic companies.
Luckily for you, StockStory helps you navigate which companies are truly worth holding. That said, here are three low-volatility stocks that don’t make the cut and some better opportunities instead.
Domino's (DPZ)
Rolling One-Year Beta: 0.60
Founded by two brothers in Michigan, Domino’s (NYSE: DPZ) is a globally recognized pizza chain known for its creative marketing and fast delivery.
Why Are We Cautious About DPZ?
- Sales trends were unexciting over the last six years as its 5.3% annual growth was below the typical restaurant company
- Projected sales growth of 5.5% for the next 12 months suggests sluggish demand
Domino’s stock price of $437.50 implies a valuation ratio of 23x forward P/E. To fully understand why you should be careful with DPZ, check out our full research report (it’s free for active Edge members).
STERIS (STE)
Rolling One-Year Beta: 0.51
With a mission critical role in preventing healthcare-associated infections, STERIS (NYSE: STE) provides infection prevention products, sterilization services, and medical equipment that help healthcare facilities and life science companies maintain sterile environments.
Why Are We Hesitant About STE?
- Low returns on capital reflect management’s struggle to allocate funds effectively
STERIS is trading at $254.80 per share, or 23.7x forward P/E. Dive into our free research report to see why there are better opportunities than STE.
Verisk (VRSK)
Rolling One-Year Beta: 0.28
Processing over 2.8 billion insurance transaction records annually through one of the world's largest private databases, Verisk Analytics (NASDAQ: VRSK) provides data, analytics, and technology solutions that help insurance companies assess risk, detect fraud, and make better business decisions.
Why Is VRSK Not Exciting?
- Sales trends were unexciting over the last five years as its 2% annual growth was below the typical business services company
- Earnings growth over the last five years fell short of the peer group average as its EPS only increased by 7.2% annually
At $218.46 per share, Verisk trades at 29.6x forward P/E. Read our free research report to see why you should think twice about including VRSK in your portfolio.
Stocks We Like More
Your portfolio can’t afford to be based on yesterday’s story. The risk in a handful of heavily crowded stocks is rising daily.
The names generating the next wave of massive growth are right here in 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 244% over the last five years (as of June 30, 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 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.
