The $10-50 price range often includes mid-sized businesses with proven track records and plenty of growth runway ahead. They also usually carry less risk than penny stocks, though they’re not immune to volatility as many lack the scale advantages of their larger peers.
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 are two stocks under $50 with massive upside potential and one that may have trouble.
One Stock Under $50 to Sell:
Gap (GAP)
Share Price: $20.48
Operating under the Gap, Old Navy, Banana Republic, and Athleta brands, Gap (NYSE: GAP) is an apparel and accessories retailer selling casual clothing to men, women, and children.
Why Does GAP Worry Us?
- Products fail to spark excitement with consumers, as seen in its flat sales over the last three years
- Lack of new stores puts a ceiling on its growth and reflects a focus on optimizing sales at existing locations
- ROIC of 8.4% reflects management’s challenges in identifying attractive investment opportunities
At $20.48 per share, Gap trades at 8.3x forward P/E. Check out our free in-depth research report to learn more about why GAP doesn’t pass our bar.
Two Stocks Under $50 to Watch:
Chipotle (CMG)
Share Price: $37.41
Born from a desire to offer quick meals with fresh, flavorful ingredients, Chipotle (NYSE: CMG) is a fast-food chain known for its healthy, Mexican-inspired cuisine and customizable dishes.
Why Is CMG on Our Radar?
- Rapidly increasing restaurant base reflects a desire to sell in new markets and scale quickly
- Massive revenue base of $12.42 billion makes it a household name that influences purchasing decisions
- Stellar returns on capital showcase management’s ability to surface highly profitable business ventures, and its returns are climbing as it finds even more attractive growth opportunities
Chipotle’s stock price of $37.41 implies a valuation ratio of 29.4x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.
FuelCell Energy (FCEL)
Share Price: $21.43
Founded in 1969, FuelCell Energy (NASDAQ: FCEL) is a leading manufacturer and developer of carbonate fuel cell technology for stationary power generation.
Why Is FCEL a Top Pick?
- Impressive 38.8% annual revenue growth over the last two years indicates it’s winning market share this cycle
- Earnings growth has massively outpaced its peers over the last two years as its EPS has compounded at 40.6% annually
- Negative free cash flow margin has improved over the last five years, showing the company is one step closer to financial self-sufficiency
FuelCell Energy is trading at $21.43 per share, or 5.7x forward price-to-sales. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free.
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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 Kadant (+214% between June 2020 and June 2025). Find your next big winner with StockStory today.
