A stock with low volatility can be reassuring, but it doesn’t always mean strong long-term performance. Investors who prioritize stability may miss out on higher-reward opportunities elsewhere.
Finding the right balance between safety and returns isn’t easy, which is why StockStory is here to help. Keeping that in mind, here is one low-volatility stock that could offer consistent gains and two stuck in limbo.
Two Stocks to Sell:
Matthews (MATW)
Rolling One-Year Beta: 0.53
Originally a death care company, Matthews International (NASDAQ: MATW) is a diversified company offering ceremonial services, brand solutions and industrial technologies.
Why Are We Out on MATW?
- Products and services have few die-hard fans as sales have declined by 7.4% annually over the last five years
- Cash burn makes us question whether it can achieve sustainable long-term growth
- Shrinking returns on capital from an already weak position reveal that neither previous nor ongoing investments are yielding the desired results
Matthews is trading at $18.83 per share, or 24.4x forward P/E. Check out our free in-depth research report to learn more about why MATW doesn’t pass our bar.
Calumet (CLMT)
Rolling One-Year Beta: -0.62
With roots dating back to 1919 and facilities strategically positioned from Louisiana to Montana, Calumet (NASDAQ: CLMT) refines crude oil into specialty products like lubricating oils, solvents, and waxes used in cosmetics, batteries, and industrial applications.
Why Is CLMT Risky?
- High extraction costs and unfavorable asset economics are reflected in its low gross margin of 7.2%
- Negative free cash flow raises questions about the return timeline for its investments
- 5× net-debt-to-EBITDA ratio shows it’s overleveraged and increases the probability of shareholder dilution if things turn unexpectedly
Calumet’s stock price of $53.55 implies a valuation ratio of 22.8x forward P/E. To fully understand why you should be careful with CLMT, check out our full research report (it’s free).
One Stock to Watch:
Skyward Specialty Insurance (SKWD)
Rolling One-Year Beta: 0.05
Founded in 2006 to serve markets where standard insurance coverage falls short, Skyward Specialty Insurance (NASDAQ: SKWD) provides customized commercial property, casualty, and health insurance solutions for underserved or specialized market niches.
Why Do We Like SKWD?
- Strong 29.5% annualized net premiums earned expansion over the last two years shows it’s capturing market share this cycle
- Expected revenue growth of 17.5% for the next year suggests its market share will rise
- Annual book value per share growth of 25.8% over the last two years was superb and indicates its capital strength increased during this cycle
At $54.76 per share, Skyward Specialty Insurance trades at 1.8x forward P/B. Is now a good 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.
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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-small-cap company Exlservice (+271% between June 2020 and June 2025). Find your next big winner with StockStory today.
