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1 Stock Under $50 on Our Buy List and 2 We Ignore

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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. Keeping that in mind, here is one stock under $50 with massive upside potential and two that could be down big.

Two Stocks Under $50 to Sell:

Ibotta (IBTA)

Share Price: $35.97

Originally launched as a way to make grocery shopping more rewarding for budget-conscious consumers, Ibotta (NYSE:IBTA) is a mobile shopping app that allows consumers to earn cash back on everyday purchases by completing tasks and submitting receipts.

Why Are We Wary of IBTA?

  1. Revenue base of $369.5 million puts it at a disadvantage compared to larger competitors exhibiting economies of scale

Ibotta is trading at $35.97 per share, or 11.4x forward EV-to-EBITDA. If you’re considering IBTA for your portfolio, see our FREE research report to learn more.

Arbor Realty Trust (ABR)

Share Price: $11.40

With roots dating back to 2003 and a focus on the stability of multifamily housing, Arbor Realty Trust (NYSE:ABR) is a specialized lender that provides financing solutions for multifamily and commercial real estate while also originating and servicing government-backed mortgage loans.

Why Should You Sell ABR?

  1. Products and services are facing significant end-market challenges during this cycle as sales have declined by 8.7% annually over the last two years
  2. Performance over the past two years shows each sale was less profitable as its earnings per share dropped by 23.9% annually, worse than its revenue
  3. Tangible book value per share tumbled by 3.3% annually over the last two years, showing bank sector trends are working against its favor during this cycle

At $11.40 per share, Arbor Realty Trust trades at 1x forward P/B. Check out our free in-depth research report to learn more about why ABR doesn’t pass our bar.

One Stock Under $50 to Buy:

CECO Environmental (CECO)

Share Price: $45.50

With roots dating back to 1869 and a focus on creating cleaner industrial operations, CECO Environmental (NASDAQ:CECO) provides technology and expertise that helps industrial companies reduce emissions, treat water, and improve energy efficiency across various sectors.

Why Is CECO a Top Pick?

  1. Market share has increased this cycle as its 18.6% annual revenue growth over the last two years was exceptional
  2. Projected revenue growth of 23% for the next 12 months is above its two-year trend, pointing to accelerating demand
  3. Adjusted operating margin improvement of 11.8 percentage points over the last five years demonstrates its ability to scale efficiently

CECO Environmental’s stock price of $45.50 implies a valuation ratio of 35.3x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.

Stocks We Like Even More

Donald Trump’s April 2024 "Liberation Day" tariffs sent markets into a tailspin, but stocks have since rebounded strongly, proving that knee-jerk reactions often create the best buying opportunities.

The smart money is already positioning for the next leg up. Don’t miss out on the recovery - 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 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

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