2 Stocks Under $50 Worth Investigating and 1 Facing Challenges

via StockStory
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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. That said, here are two stocks under $50 with massive upside potential and one that may have trouble.

One Stock Under $50 to Sell:

Malibu Boats (MBUU)

Share Price: $27.57

Founded in California in 1982, Malibu Boats (NASDAQ:MBUU) is a manufacturer of high-performance sports boats and luxury watercrafts.

Why Should You Sell MBUU?

  1. 1.5% annual revenue growth over the last five years was slower than its consumer discretionary peers
  2. Forecasted free cash flow margin suggests the company will fail to improve its cash conversion over the next year
  3. Eroding returns on capital from an already low base indicate that management’s recent investments are destroying value

Malibu Boats is trading at $27.57 per share, or 12.9x forward P/E. Read our free research report to see why you should think twice about including MBUU in your portfolio.

Two Stocks Under $50 to Watch:

Keurig Dr Pepper (KDP)

Share Price: $31.30

Born out of a 2018 merger between Keurig Green Mountain and Dr Pepper Snapple, Keurig Dr Pepper (NASDAQ:KDP) is a consumer staples powerhouse boasting a portfolio of beverages including sodas, coffees, and juices.

Why Does KDP Stand Out?

  1. Unit sales averaged 4.8% growth over the past two years and imply healthy demand for its products
  2. Large revenue base of $16.94 billion and strong customer awareness make retailers more likely to stock its products
  3. Market share is on track to rise over the next 12 months as its 72.3% projected revenue growth implies demand will accelerate from its three-year trend

At $31.30 per share, Keurig Dr Pepper trades at 13.1x forward P/E. Is now a good time to buy? See for yourself in our full research report, it’s free.

StepStone Group (STEP)

Share Price: $43.20

Operating as both an advisor and asset manager with over $100 billion in assets under management, StepStone Group (NASDAQ:STEP) is an investment firm that provides clients with access to private market investments across private equity, real estate, private debt, and infrastructure.

Why Does STEP Catch Our Eye?

  1. Impressive 40.9% annual revenue growth over the last two years indicates it’s winning market share this cycle
  2. Earnings per share have massively outperformed its peers over the last two years, increasing by 33.1% annually

StepStone Group’s stock price of $43.20 implies a valuation ratio of 18.3x 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

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-micro-cap company Tecnoglass (+1,552% between June 2020 and June 2025). Find your next big winner with StockStory today.

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