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.
This is precisely where StockStory comes in - we do the heavy lifting to identify companies with solid fundamentals so you can invest with confidence. That said, here are three stocks under $50 to pass on and some alternatives you should look into instead.
BILL (BILL)
Share Price: $44.68
Transforming the messy back-office financial operations that plague small business owners, BILL (NYSE:BILL) provides a cloud-based platform that automates accounts payable, accounts receivable, and expense management for small and midsize businesses.
Why Does BILL Worry Us?
- Products, pricing, or go-to-market strategy may need some adjustments as its 12.7% average billings growth over the last year was weak
- Estimated sales growth of 10.7% for the next 12 months implies demand will slow from its two-year trend
- Operating profits and efficiency rose over the last year as it benefited from some fixed cost leverage
At $44.68 per share, BILL trades at 2.5x forward price-to-sales. If you’re considering BILL for your portfolio, see our FREE research report to learn more.
BankUnited (BKU)
Share Price: $43.41
Born from the ashes of a failed Florida thrift during the 2009 financial crisis, BankUnited (NYSE:BKU) is a regional bank that provides commercial lending, deposit services, and treasury solutions to businesses and consumers primarily in Florida and the New York metropolitan area.
Why Is BKU Risky?
- 5.5% annual net interest income growth over the last five years was slower than its banking peers
- Inferior net interest margin of 2.9% means it must compensate for lower profitability through increased loan originations
- Earnings per share were flat over the last five years while its revenue grew, showing its incremental sales were less profitable
BankUnited is trading at $43.41 per share, or 1x forward P/B. Check out our free in-depth research report to learn more about why BKU doesn’t pass our bar.
Viavi Solutions (VIAV)
Share Price: $37.38
Once known as JDS Uniphase before its 2015 rebranding, Viavi Solutions (NASDAQ:VIAV) provides testing, monitoring and assurance solutions for telecommunications, cloud, enterprise, military, and other critical networks and infrastructure.
Why Are We Cautious About VIAV?
- Annual revenue growth of 4.8% over the last five years was below our standards for the industrials sector
- Efficiency has decreased over the last five years as its operating margin fell by 7.4 percentage points
- Shrinking returns on capital from an already weak position reveal that neither previous nor ongoing investments are yielding the desired results
Viavi Solutions’s stock price of $37.38 implies a valuation ratio of 22.2x forward P/E. Dive into our free research report to see why there are better opportunities than VIAV.
Stocks We Like More
ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively.
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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 Tecnoglass (+1,552% between June 2020 and June 2025). Find your next big winner with StockStory today.