Market swings can be tough to stomach, and volatile stocks often experience exaggerated moves in both directions. While many thrive during risk-on environments, many also struggle to maintain investor confidence when the ride gets bumpy.
At StockStory, our job is to help you avoid costly mistakes and stay on the right side of the trade. Keeping that in mind, here is one volatile stock that could reward patient investors and two that could just as easily collapse.
Two Industrials Stocks to Sell:
Tecnoglass (TGLS)
Rolling One-Year Beta: 1.33
The first-ever Colombian company to trade on the NASDAQ, Tecnoglass (NYSE: TGLS) is a manufacturer of architectural glass, windows, and aluminum products.
Why Are We Cautious About TGLS?
- Muted 7.3% annual revenue growth over the last two years shows its demand lagged behind its industrials peers
- Earnings per share have contracted by 3.2% annually over the last two years, a headwind for returns as stock prices often echo long-term EPS performance
- 10.4 percentage point decline in its free cash flow margin over the last five years reflects the company’s increased investments to defend its market position
At $50.41 per share, Tecnoglass trades at 13.2x forward P/E. If you’re considering TGLS for your portfolio, see our FREE research report to learn more.
Great Lakes Dredge & Dock (GLDD)
Rolling One-Year Beta: 1.43
Founded as Lydon & Drews dredging company, Great Lakes Dredge & Dock (NASDAQ: GLDD) provides dredging services, land reclamation, and coastal protection projects in the United States and internationally.
Why Does GLDD Fall Short?
- New orders were hard to come by as its average backlog growth of 4.2% over the past two years underwhelmed
- Gross margin of 16.9% reflects its high production costs
- Cash-burning history makes us doubt the long-term viability of its business model
Great Lakes Dredge & Dock’s stock price of $14.76 implies a valuation ratio of 15.5x forward P/E. Dive into our free research report to see why there are better opportunities than GLDD.
One Industrials Stock to Buy:
American Superconductor (AMSC)
Rolling One-Year Beta: 2.07
Founded in 1987, American Superconductor (NASDAQ: AMSC) has shifted from superconductor research to developing power systems, adapting to changing energy grid needs and naval technology requirements.
Why Will AMSC Outperform?
- Annual revenue growth of 43.7% over the last two years was superb and indicates its market share increased during this cycle
- Free cash flow flipped to positive over the last five years, indicating the company has achieved financial self-sustainability
- Historical investments are beginning to pay off as its returns on capital are growing
American Superconductor is trading at $25.26 per share, or 27.7x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.
Stocks We Like Even 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 6 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-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today.
