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.
This is precisely where StockStory comes in - we do the heavy lifting to identify companies with solid fundamentals so you can invest with confidence. That said, here are two stocks under $50 that could 10x and one best left ignored.
One Stock Under $50 to Sell:
Shoals (SHLS)
Share Price: $10.10
Started in Huntsville, Alabama, Shoals (NASDAQ: SHLS) designs and manufactures products that make solar energy systems work more efficiently.
Why Do We Think SHLS Will Underperform?
- Average backlog growth of 3.3% over the past two years was mediocre and suggests fewer customers signed long-term contracts
- Free cash flow margin shrank by 5.8 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive
- Shrinking returns on capital from an already weak position reveal that neither previous nor ongoing investments are yielding the desired results
Shoals is trading at $10.10 per share, or 21.1x forward P/E. Check out our free in-depth research report to learn more about why SHLS doesn’t pass our bar.
Two Stocks Under $50 to Buy:
EXL (EXLS)
Share Price: $40.34
Originally founded as an outsourcing company in 1999 before evolving into a technology-focused enterprise, EXL (NASDAQ: EXLS) provides data analytics and AI-powered digital operations solutions that help businesses transform their operations and make better decisions.
Why Will EXLS Outperform?
- Impressive 15.1% annual revenue growth over the last five years indicates it’s winning market share this cycle
- Share repurchases over the last five years enabled its annual earnings per share growth of 27% to outpace its revenue gains
- Impressive free cash flow profitability enables the company to fund new investments or reward investors with share buybacks/dividends
EXL’s stock price of $40.34 implies a valuation ratio of 20.4x forward P/E. Is now a good time to buy? See for yourself in our full research report, it’s free for active Edge members.
First Commonwealth Financial (FCF)
Share Price: $15.91
Tracing its roots back to the Great Depression era of 1934, First Commonwealth Financial (NYSE: FCF) is a financial holding company that provides consumer and commercial banking, wealth management, and insurance services across Pennsylvania and Ohio.
Why Is FCF a Good Business?
- Projected net interest income growth of 15.5% for the next 12 months is above its five-year trend, pointing to accelerating demand
- Efficiency ratio improvement of -3.5 percentage points is projected for next year as the firm achieves greater operating leverage
- Incremental sales over the last five years have been highly profitable as its earnings per share increased by 13.4% annually, topping its revenue gains
At $15.91 per share, First Commonwealth Financial trades at 1.1x forward P/B. Is now the time to initiate a position? Find out in our full research report, it’s free for active Edge members.
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 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
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