Stocks in the $10-50 range offer a sweet spot between affordability and stability as they’re typically more established than penny stocks. But their headline prices don’t guarantee quality, and investors should exercise caution as some have shaky business models.
These dynamics can cause headaches for even the most seasoned professionals, which is why we started StockStory - to help you separate the good companies from the bad. Keeping that in mind, here is one stock under $50 that could 10x and two best left ignored.
Two Stocks Under $50 to Sell:
Universal Logistics (ULH)
Share Price: $14.31
Founded in 1932, Universal Logistics (NASDAQ: ULH) is a provider of customized transportation and logistics solutions operating throughout the United States and in Mexico, Canada, and Colombia.
Why Do We Think ULH Will Underperform?
- Sales tumbled by 5.2% annually over the last two years, showing market trends are working against it during this cycle
- Eroding returns on capital suggest its historical profit centers are aging
- Limited cash reserves may force the company to seek unfavorable financing terms that could dilute shareholders
At $14.31 per share, Universal Logistics trades at 20.8x forward P/E. Dive into our free research report to see why there are better opportunities than ULH.
PennyMac Mortgage Investment Trust (PMT)
Share Price: $9.95
Operating as a real estate investment trust since 2009 to maintain tax advantages, PennyMac Mortgage Investment Trust (NYSE: PMT) is a specialty finance company that invests in mortgage-related assets and operates a correspondent lending business.
Why Do We Steer Clear of PMT?
- Annual sales declines of 23.1% for the past five years show its products and services struggled to connect with the market during this cycle
- Performance over the past five years shows each sale was less profitable as its earnings per share dropped by 30.1% annually, worse than its revenue
- Annual tangible book value per share declines of 6.3% for the past five years show its capital management struggled during this cycle
PennyMac Mortgage Investment Trust is trading at $9.95 per share, or 0.7x forward P/B. To fully understand why you should be careful with PMT, check out our full research report (it’s free).
One Stock Under $50 to Watch:
Pfizer (PFE)
Share Price: $25.07
With roots dating back to 1849 when two German immigrants opened a fine chemicals business in Brooklyn, Pfizer (NYSE: PFE) is a global biopharmaceutical company that discovers, develops, manufactures, and sells medicines and vaccines for a wide range of diseases and conditions.
Why Do We Like PFE?
- Unparalleled scale of $63.31 billion in revenue gives it negotiating leverage and staying power in an industry with high barriers to entry
- Adjusted operating margin expanded by 19.2 percentage points over the last two years as it scaled and became more efficient
- Industry-leading 18.1% return on capital demonstrates management’s skill in finding high-return investments
Pfizer’s stock price of $25.07 implies a valuation ratio of 8.9x forward P/E. Is now the time to initiate a position? See for yourself in our comprehensive research report, it’s free.
High-Quality Stocks for All Market Conditions
WHILE YOU’RE HERE: Top 9 Market-Beating Stocks. The best stocks don’t just beat the market once. They do it again. And again. Robust revenue growth, rising free cash flow, returns on capital that leave their competition in the dust. The market has already rewarded these businesses.
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Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+214% between June 2020 and June 2025). Find your next big winner with StockStory today.
