A stock with low volatility can be reassuring, but it doesn’t always mean strong long-term performance. Investors who prioritize stability may miss out on higher-reward opportunities elsewhere.
Choosing the wrong investments can cause you to fall behind, which is why we started StockStory - to separate the winners from the losers. That said, here is one low-volatility stock that could offer consistent gains and two that may not deliver the returns you need.
Two Stocks to Sell:
Sunrun (RUN)
Rolling One-Year Beta: 0.68
Helping homeowners use solar energy to power their homes, Sunrun (NASDAQ:RUN) provides residential solar electricity, specializing in panel installation and leasing services.
Why Does RUN Fall Short?
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Products and services are facing significant end-market challenges during this cycle as sales have declined by 7.1% annually over the last two years
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Eroding returns on capital from an already low base indicate that management’s recent investments are destroying value
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Unfavorable liquidity position could lead to additional equity financing that dilutes shareholders
At $7.37 per share, Sunrun trades at 10.6x forward EV-to-EBITDA. Check out our free in-depth research report to learn more about why RUN doesn’t pass our bar.
Crane NXT (CXT)
Rolling One-Year Beta: 0.89
Born from a corporate transformation completed in 2023, Crane NXT (NYSE:CXT) provides specialized technology solutions for payment processing, banknote security, and authentication systems for financial institutions and businesses.
Why Do We Think Twice About CXT?
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Organic revenue growth fell short of our benchmarks over the past two years and implies it may need to improve its products, pricing, or go-to-market strategy
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Revenue base of $1.50 billion puts it at a disadvantage compared to larger competitors exhibiting economies of scale
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Earnings per share have contracted by 2.2% annually over the last one years, a headwind for returns as stock prices often echo long-term EPS performance
Crane NXT is trading at $53 per share, or 12.2x forward P/E. If you’re considering CXT for your portfolio, see our FREE research report to learn more.
One Stock to Watch:
KBR (KBR)
Rolling One-Year Beta: 0.80
Known for projects like the construction of Guantanamo Bay, KBR provides professional services and technologies, specializing in engineering, construction, and government services sectors.
Why Does KBR Stand Out?
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Solid 10.3% annual revenue growth over the last two years indicates its offering’s solve complex business issues
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Operating margin expanded by 4.9 percentage points over the last five years as it scaled and became more efficient
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Performance over the past five years was turbocharged by share buybacks, which enabled its earnings per share to grow faster than its revenue
KBR’s stock price of $48.20 implies a valuation ratio of 12.5x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.
High-Quality Stocks for All Market Conditions
Market indices reached historic highs following Donald Trump’s presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth.
While this has caused many investors to adopt a "fearful" wait-and-see approach, we’re leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out 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 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-small-cap company Comfort Systems (+782% 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
