2 Volatile Stocks on Our Watchlist and 1 to Keep Off Your Radar
A highly volatile stock can deliver big gains - or just as easily wipe out a portfolio if things go south. While some investors embrace risk, mistakes can be costly for those who aren't prepared.
These stocks can be a rollercoaster, and StockStory is here to guide you through the ups and downs. Keeping that in mind, here are two volatile stocks that could reward patient investors and one best left to the gamblers.
One Stock to Sell:
Stitch Fix (SFIX)
Rolling One-Year Beta: 2.73
One of the original subscription box companies, Stitch Fix (NASDAQ:SFIX) is an online personal styling and fashion service that curates personalized clothing selections for customers.
Why Should You Sell SFIX?
Demand for its offerings was relatively low as its number of active clients has underwhelmed
Poor expense management has led to operating losses
Earnings per share decreased by more than its revenue over the last five years, showing each sale was less profitable
Stitch Fix is trading at $3.28 per share, or 11.6x forward EV-to-EBITDA. If you're considering SFIX for your portfolio, see our FREE research report to learn more.
Two Stocks to Watch:
Deckers (DECK)
Rolling One-Year Beta: 1.41
Established in 1973, Deckers (NYSE:DECK) is a footwear and apparel conglomerate with a portfolio of lifestyle and performance brands.
Why Does DECK Stand Out?
Brand and reputation resonate with consumers, as seen in its above-market 18% annual sales growth over the last five years
Free cash flow margin is on track to jump by 2.9 percentage points next year, meaning the company will have more resources to pursue growth initiatives, repurchase shares, or pay dividends
Returns on capital are growing as management capitalizes on its market opportunities
At $118.39 per share, Deckers trades at 18.4x forward P/E. Is now the right time to buy? Find out in our full research report, it's free.
Planet Labs (PL)
Rolling One-Year Beta: 2.79
Pioneering the concept of "agile aerospace" with hundreds of small but powerful satellites, Planet Labs (NYSE:PL) operates the world's largest fleet of Earth observation satellites, capturing daily images of our planet to provide insights on deforestation, agriculture, and climate change.
Why Is PL a Top Pick?
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
an hour ago
- Yahoo
Dollar General Stock: A Value Play Today?
Looking at the stock price today compared to its recent financial results could mislead investors to believe that Dollar General stock is already fairly priced. In reality, there are several reasons to believe that the company is on a road to recovery, paving the way for higher profits and a higher stock price. 10 stocks we like better than Dollar General › Shares of retail chain Dollar General (NYSE: DG) dropped 45% in 2023 and 44% in 2024 as investors fretted over rising unemployment, macroeconomic uncertainty from tariffs, and the retailer's own plunging profit margins. In January, it hit rock bottom. Dollar General stock is stunningly up more than 60% since. Investors today are left wondering whether it's still a value play today or whether the value train already left the station. As of this writing, Dollar General has earned nearly $1.2 billion in net profits over the last 12 months, and the total value of its stock -- its market cap -- is just north of $25 billion. This means that it trades at almost 22 times its profit. In other words, the price-to-earnings (P/E) ratio is 22. On one hand, this means that Dollar General stock doesn't look like a value play today. After all, over the last decade, it's traded at an average P/E ratio of less than 20. From this perspective, it's trading at a more expensive valuation than normal. On the other hand, this chart doesn't tell the entire story. And the rest of the story has me believing that Dollar General is indeed an enticing value play for investors today. Here's why. Generally speaking, stocks go up when earnings per share (EPS) increase. To be sure, one of the easiest ways to grow EPS is with revenue growth. But there are companies that still manage to grow EPS at a nice clip by other means, and this can lead to good stock performance. This isn't a hard rule. After all, gaming platform Roblox is worth over $60 billion and has never reported positive EPS. But as a general rule, long-term EPS growth matters when it comes to a stock's price. I'll be clear: I believe that Dollar General is in a great position to materially grow its EPS over the next five years at least. And I believe the stock is a value play today in light of its future profit potential. Dollar General's profits are under pressure right now. But there are multiple reasons to believe that the pressure is temporary. Allow me to hit the big ones. First, Dollar General's management misstepped and bought too much inventory back in 2022. This is clearly seen in the chart below -- inventory growth suddenly flew right past revenue growth. The result of this miscalculation was devastating for Dollar General's profits. Besides merchandise getting damaged and stolen, management also had to lower prices to quickly downsize. And this hurt the company's profits. But now, with inventory returning to more appropriate levels, this headwind should abate, leading the way to better pricing and higher profit margins. Second, Dollar General's customers have changed their shopping habits recently, which also impacts profits in the near term. About a year ago, management shared that most of its customers are low-income and anticipate missing credit card payments. This meant they were buying more food and less discretionary items. The problem for Dollar General is that food items tend to have lower profit margins than discretionary items. While it's questionable whether macroeconomic conditions have yet improved since management shared this, it's reasonable to assume that they eventually will. A normalized mix of food items and discretionary purchases could help profit margins improve as well. There are more reasons to believe that Dollar General's profits will improve over the next five years or more. For example, sales for the company's private label brands are steadily growing, which can have better margins. But suffice it to say that there are multiple drivers for Dollar General's profits in coming years. The chart below shows that Dollar General's profit margin is about half of what its 10-year average is. I'm not necessarily hoping that the company does better than ever. On the contrary, simply returning to normal margins within the next few years would allow profits to double. Keep in mind that I'm only talking about Dollar General's higher profits due to normalized profit margins. This doesn't account for the incremental profit potential from opening new locations. Moreover, its same-store sales usually increase, leading to more revenue growth. Dollar General stock is fairly priced today compared to profits that are under pressure. But it's a value play for those who assume that its stores remain relevant, its top line further grows, and its profit margins return to normal. I personally assume all of those things. This is why Dollar General stock is a value play that I'm still happy to hold in my own stock portfolio today. Before you buy stock in Dollar General, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Dollar General wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $669,517!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $868,615!* Now, it's worth noting Stock Advisor's total average return is 792% — a market-crushing outperformance compared to 171% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 2, 2025 Jon Quast has positions in Dollar General. The Motley Fool has positions in and recommends Roblox. The Motley Fool has a disclosure policy. Dollar General Stock: A Value Play Today? was originally published by The Motley Fool Sign in to access your portfolio
Yahoo
an hour ago
- Yahoo
Georgia Power names Arthur Tripp as vice president of Economic Development
Company builds on longstanding national reputation as a top utility for economic development ATLANTA, June 9, 2025 /PRNewswire/ -- Georgia Power, the state's leading electric utility serving 2.8 million customers, has named Arthur Tripp as the vice president of Economic Development. Tripp replaces Walt Farrell, who was recently named president and CEO of Atlanta Gas Light and Chattanooga Gas. In his new role, Tripp is responsible for driving initiatives that enhance the economic prosperity of the state, creating sustainable growth opportunities and building on the company's success as a top utility for economic development – a recognition that has held for more than 25 years. "At Georgia Power, we're proud of our longstanding partnership with the state in successful economic development, which has brought new jobs and investment, ultimately making our communities stronger and providing a higher quality of life for Georgia families," said Trey Kilpatrick, senior vice president of External Affairs for Georgia Power. "At the center of this process are relationships that are built on trust, and Arthur's extensive background in economic development and deep knowledge of policy, paired with strong external relationships, are all important assets that will help move Georgia forward as the number one state for business." Prior to joining Georgia Power in 2024, Tripp served as the state executive director of the USDA Farm Service Agency in Georgia, appointed by the Biden administration. He also worked as a senior policy advisor to U.S. Rep. David Scott, a senior administrator in the Office of the President at the University of Georgia and district director for Georgia's 7th Congressional District. Tripp is a native of Warner Robins and holds a bachelor's in political science from the University of Georgia. He is a graduate of the 2019 Class of Leadership Georgia and served as a program chair for the 2020 class. He actively contributes to several boards and has previously served on the board for the Athens Chamber of Commerce. For almost a century, Georgia Power has helped Georgia grow and prosper by locating new businesses to the state and providing them with the energy they need. The company's team of experts offers no-cost consultation and services to the state, site selection consultants, community partners, and businesses. Additionally, Georgia Power's regional economic development managers live and work in the regions they serve, helping local leaders with strategic growth plans and with existing businesses to ensure long-term success. This collaborative approach to economic development has supported over 1,100 projects resulting in more than 214,000 new jobs, and nearly $89 billion in new capital investment over the years. To read more about Georgia Power Economic Development, visit About Georgia PowerGeorgia Power is the largest electric subsidiary of Southern Company (NYSE: SO), America's premier energy company. Value, Reliability, Customer Service and Stewardship are the cornerstones of the company's promise to 2.8 million customers in all but four of Georgia's 159 counties. Committed to delivering clean, safe, reliable and affordable energy, Georgia Power maintains a diverse, innovative generation mix that includes nuclear, coal and natural gas, as well as renewables such as solar, hydroelectric and wind. Georgia Power focuses on delivering world-class service to its customers every day and the company is recognized by J.D. Power as an industry leader in customer satisfaction. For more information, visit and connect with the company on Facebook ( X ( and Instagram ( View original content to download multimedia: SOURCE Georgia Power Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
an hour ago
- Yahoo
Merck's Cholesterol Lowering Drug Hits Primary Goal In Two Pivotal Trials
Merck & Co., Inc. (NYSE:MRK) on Monday shared topline results from the first two of three Phase 3 clinical trials evaluating the safety and efficacy of enlicitide decanoate, an investigational, oral proprotein convertase subtilisin/kexin type 9 (PCSK9) inhibitor for hyperlipidemia on lipid-lowering therapies, including at least a statin. Hyperlipidemia refers to having high levels of lipids (fats) in the blood, including cholesterol and triglycerides. It's a condition that can increase the risk of heart disease and other health problems. The CORALreef HeFH and CORALreef AddOn trials met their primary and all key secondary endpoints, demonstrating statistically significant and clinically meaningful greater reductions in low-density lipoprotein cholesterol (LDL-C) for: Enlicitide compared to placebo (CORALreef HeFH) and other oral non-statin therapies (CORALreef AddOn). There were no clinically meaningful differences in incidences of adverse events (AE) and serious adverse events (SAE) in either from the three Phase 3 trials in the CORALreef clinical development program will be presented at a future scientific congress. Key takeaways from CORALreef HeFH and CORALreef AddOn studies: CORALreef HeFH: Statistically significant and clinically meaningful reductions in LDL-C for enlicitide versus placebo in adults with heterozygous familial hypercholesterolemia (HeFH) who have a history of or are at risk for atherosclerotic cardiovascular disease (ASCVD) and are treated with a statin. CORALreef AddOn: Statistically significant and clinically meaningful reductions in LDL-C for enlicitide versus ezetimibe, versus bempedoic acid and versus ezetimibe and bempedoic acid in adults with hyperlipidemia who have a history of or are at risk for ASCVD and are treated with a statin. The efficacy and safety of enlicitide are being evaluated through the comprehensive CORALreef Phase 3 clinical development program, which aims to enroll approximately 17,000 patients across several trials, including two large ongoing trials, CORALreef Lipids and CORALreef Outcomes. Price Action: MRK stock is trading higher by 0.19% to $79.12 at last check Monday. Read Next:Photo by tada images via Shutterstock Up Next: Transform your trading with Benzinga Edge's one-of-a-kind market trade ideas and tools. Click now to access unique insights that can set you ahead in today's competitive market. Get the latest stock analysis from Benzinga? MERCK & CO (MRK): Free Stock Analysis Report This article Merck's Cholesterol Lowering Drug Hits Primary Goal In Two Pivotal Trials originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved.
