Volatility cuts both ways - while it creates opportunities, it also increases risk, making sharp declines just as likely as big gains. This unpredictability can shake out even the most experienced investors.
These stocks can be a rollercoaster, and StockStory is here to guide you through the ups and downs. That said, here are three volatile stocks best left to the gamblers and some better opportunities instead.
WillScot Mobile Mini (WSC)
Rolling One-Year Beta: 1.70
Originally focusing on mobile offices for construction sites, WillScot (NASDAQ: WSC) provides ready-to-use temporary spaces, largely for longer-term lease.
Why Are We Cautious About WSC?
- Muted 2.4% annual revenue growth over the last two years shows its demand lagged behind its industrials peers
- Performance over the past two years shows its incremental sales were much less profitable, as its earnings per share fell by 10.1% annually
- Free cash flow margin dropped by 5 percentage points over the last five years, implying the company became more capital intensive as competition picked up
WillScot Mobile Mini is trading at $27.04 per share, or 16.3x forward P/E. Check out our free in-depth research report to learn more about why WSC doesn’t pass our bar.
Concrete Pumping (BBCP)
Rolling One-Year Beta: 1.76
Going public via SPAC in 2018, Concrete Pumping (NASDAQ: BBCP) is a provider of concrete pumping and waste management services in the United States and the United Kingdom.
Why Does BBCP Fall Short?
- Core business is underperforming as its organic revenue has disappointed over the past two years, suggesting it might need acquisitions to stimulate growth
- Falling earnings per share over the last two years has some investors worried as stock prices ultimately follow EPS over the long term
- Capital intensity has ramped up over the last five years as its free cash flow margin decreased by 9.7 percentage points
At $6.41 per share, Concrete Pumping trades at 14.2x forward P/E. Read our free research report to see why you should think twice about including BBCP in your portfolio.
Woodward (WWD)
Rolling One-Year Beta: 1.29
Initially designing controls for water wheels in the early 1900s, Woodward (NASDAQ: WWD) designs, services, and manufactures energy control products and optimization solutions.
Why Does WWD Worry Us?
- Annual revenue growth of 2.8% over the last five years was below our standards for the industrials sector
- Earnings growth underperformed the sector average over the last five years as its EPS grew by just 3% annually
- Capital intensity has ramped up over the last five years as its free cash flow margin decreased by 12.9 percentage points
Woodward’s stock price of $195.98 implies a valuation ratio of 29.6x forward P/E. Check out our free in-depth research report to learn more about why WWD doesn’t pass our bar.
Stocks That Overcame Trump’s 2018 Tariffs
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 175% over the last five years.
Stocks that made our list in 2019 include now familiar names such as Nvidia (+2,183% between December 2019 and December 2024) as well as under-the-radar businesses like Sterling Infrastructure (+1,096% five-year return). Find your next big winner with StockStory today for free.
