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 is one stock under $50 with massive upside potential and two best left ignored.
Two Stocks Under $50 to Sell:
10x Genomics (TXG)
Share Price: $16.09
Founded in 2012 by scientists seeking to overcome limitations in traditional biological research methods, 10x Genomics (NASDAQ: TXG) develops instruments, consumables, and software that enable researchers to analyze biological systems at single-cell resolution and spatial context.
Why Are We Hesitant About TXG?
- Muted 4.2% annual revenue growth over the last two years shows its demand lagged behind its healthcare peers
- Cash burn makes us question whether it can achieve sustainable long-term growth
- Negative returns on capital show that some of its growth strategies have backfired
At $16.09 per share, 10x Genomics trades at 3.3x forward price-to-sales. Check out our free in-depth research report to learn more about why TXG doesn’t pass our bar.
Ellington Financial (EFC)
Share Price: $13.85
Operating under the guidance of Ellington Management Group, a respected name in structured credit markets, Ellington Financial (NYSE: EFC) acquires and manages a diverse portfolio of mortgage-related, consumer-related, and other financial assets to generate returns for investors.
Why Should You Dump EFC?
- Performance over the past five years shows its incremental sales were less profitable, as its 1.6% annual earnings per share growth trailed its revenue gains
- Products and services are facing significant credit quality challenges during this cycle as tangible book value per share has declined by 4% annually over the last five years
- Low return on equity reflects management’s struggle to allocate funds effectively
Ellington Financial is trading at $13.85 per share, or 1x forward P/B. Read our free research report to see why you should think twice about including EFC in your portfolio.
One Stock Under $50 to Buy:
Vital Farms (VITL)
Share Price: $33.48
With an emphasis on ethically produced products, Vital Farms (NASDAQ: VITL) specializes in pasture-raised eggs and butter.
Why Will VITL Outperform?
- Products are flying off the shelves as its unit sales averaged 21.9% growth over the past two years
- Market share will likely rise over the next 12 months as its expected revenue growth of 26.5% is robust
- Earnings per share grew by 143% annually over the last three years, massively outpacing its peers
Vital Farms’s stock price of $33.48 implies a valuation ratio of 19.6x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free for active Edge members.
High-Quality Stocks for All Market Conditions
If your portfolio success hinges on just 4 stocks, your wealth is built on fragile ground. You have a small window to secure high-quality assets before the market widens and these prices disappear.
Don’t wait for the next volatility shock. Check out our Top 9 Market-Beating Stocks. 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.
