Stocks trading between $10 and $50 can be particularly interesting as they frequently represent businesses that have survived their early challenges. However, investors should remain vigilant as some may still have unproven business models, leaving them vulnerable to the ebbs and flows of the broader market.
Luckily for you, our mission at StockStory is to help you make money and avoid losses by sorting the winners from the losers. Keeping that in mind, here is one stock under $50 with huge potential and two that may have trouble.
Two Stocks Under $50 to Sell:
Himax (HIMX)
Share Price: $13.63
Taiwan-based Himax Technologies (NASDAQ:HIMX) is a leading manufacturer of display driver chips and timing controllers used in TVs, laptops, and mobile phones.
Why Do We Avoid HIMX?
- Sales tumbled by 7% annually over the last five years, showing market trends are working against it during this cycle
- Capital intensity has ramped up over the last five years as its free cash flow margin decreased by 16.3 percentage points
- 6× net-debt-to-EBITDA ratio makes lenders less willing to extend additional capital, potentially necessitating dilutive equity offerings
Himax’s stock price of $13.63 implies a valuation ratio of 15.2x forward P/E. To fully understand why you should be careful with HIMX, check out our full research report (it’s free).
Caleres (CAL)
Share Price: $12.08
The owner of Dr. Scholl's, Caleres (NYSE:CAL) is a footwear company offering a range of styles.
Why Are We Bearish on CAL?
- Lackluster 2.4% annual revenue growth over the last five years indicates the company is losing ground to competitors
- Shrinking returns on capital from an already weak position reveal that neither previous nor ongoing investments are yielding the desired results
- High net-debt-to-EBITDA ratio of 6× could force the company to raise capital on unfavorable terms if market conditions deteriorate
Caleres is trading at $12.08 per share, or 6.2x forward P/E. Read our free research report to see why you should think twice about including CAL in your portfolio.
One Stock Under $50 to Watch:
CNX Resources (CNX)
Share Price: $33.52
Tracing back to operations that began in 1860, CNX Resources (NYSE:CNX) drills for and produces natural gas from underground shale formations in Pennsylvania, Ohio, and West Virginia.
Why Could CNX Be a Winner?
- Highly-profitable operating model results in strong unit economics and a premier gross margin of 68%
- EBITDA margin failed to increase over the last five years, indicating the company couldn’t optimize its expenses
- Robust free cash flow margin of 23.5% gives it many options for capital deployment
At $33.52 per share, CNX Resources trades at 10.5x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
High-Quality Stocks for All Market Conditions
ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time.
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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.