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. That said, here is one stock under $50 with massive upside potential and two best left ignored.
Two Stocks Under $50 to Sell:
Hormel Foods (HRL)
Share Price: $24.23
Best known for its SPAM brand, Hormel (NYSE: HRL) is a packaged foods company with products that span meat, poultry, shelf-stable foods, and spreads.
Why Do We Pass on HRL?
- Shrinking unit sales over the past two years show it’s struggled to move its products and had to rely on price increases
- Demand will likely be weak over the next 12 months as Wall Street expects flat revenue
- Easily substituted products (and therefore stiff competition) result in an inferior gross margin of 16.2% that must be offset through higher volumes
Hormel Foods’s stock price of $24.23 implies a valuation ratio of 16x forward P/E. To fully understand why you should be careful with HRL, check out our full research report (it’s free).
ProPetro (PUMP)
Share Price: $12.86
Operating exclusively in the Permian Basin—one of America's most prolific oil-producing regions—ProPetro (NYSE: PUMP) provides hydraulic fracturing services that pump high-pressure fluid and sand into oil wells to release trapped hydrocarbons.
Why Is PUMP Risky?
- Subscale operations are evident in its revenue base of $1.16 billion, meaning it has fewer distribution channels than its larger rivals
- Gross margin of 27.3% is below its competitors, leaving less money to invest in exploration and production
- Costs have risen faster than its revenue over the last five years, causing its EBITDA margin to decline by 5.9 percentage points
At $12.86 per share, ProPetro trades at 51.9x forward P/E. Check out our free in-depth research report to learn more about why PUMP doesn’t pass our bar.
One Stock Under $50 to Watch:
Tetra Tech (TTEK)
Share Price: $35.82
With a 50-year legacy of "Leading with Science" and operations on all seven continents, Tetra Tech (NASDAQ: TTEK) provides high-end consulting and engineering services focused on water management, environmental solutions, and sustainable infrastructure for government and commercial clients worldwide.
Why Should TTEK Be on Your Watchlist?
- Annual revenue growth of 12.4% over the past five years was outstanding, reflecting market share gains this cycle
- Share buybacks catapulted its annual earnings per share growth to 24.1%, which outperformed its revenue gains over the last two years
- Impressive free cash flow profitability enables the company to fund new investments or reward investors with share buybacks/dividends
Tetra Tech is trading at $35.82 per share, or 21.6x forward P/E. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free.
Stocks We Like Even More
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.
Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE.
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-small-cap company Exlservice (+271% between June 2020 and June 2025). Find your next big winner with StockStory today.
