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.
Luckily for you, our mission at StockStory is to help you make money and avoid losses by sorting the winners from the losers. Keeping that in mind, here are three stocks under $50 to swipe left on and some alternatives you should look into instead.
Playa Hotels & Resorts (PLYA)
Share Price: $13.48
Sporting a roster of beachfront properties, Playa Hotels & Resorts (NASDAQ: PLYA) is an owner, operator, and developer of all-inclusive resorts in prime vacation destinations.
Why Does PLYA Fall Short?
- Revenue per room has disappointed over the past two years due to weaker trends in its daily rates and occupancy levels
- Estimated sales for the next 12 months are flat and imply a softer demand environment
- Below-average returns on capital indicate management struggled to find compelling investment opportunities
Playa Hotels & Resorts is trading at $13.48 per share, or 21.7x forward P/E. If you’re considering PLYA for your portfolio, see our FREE research report to learn more.
Proto Labs (PRLB)
Share Price: $37.61
Pioneering the concept of online quoting and manufacturing for custom prototypes and low-volume production parts, Proto Labs (NYSE: PRLB) offers injection molding, 3D printing, and sheet metal fabrication for manufacturers in various industries.
Why Should You Dump PRLB?
- Sales stagnated over the last two years and signal the need for new growth strategies
- Day-to-day expenses have swelled relative to revenue over the last five years as its operating margin fell by 7.3 percentage points
- Falling earnings per share over the last five years has some investors worried as stock prices ultimately follow EPS over the long term
Proto Labs’s stock price of $37.61 implies a valuation ratio of 25.5x forward P/E. Dive into our free research report to see why there are better opportunities than PRLB.
Delta (DAL)
Share Price: $47.13
One of the ‘Big Four’ airlines in the US, Delta Air Lines (NYSE: DAL) is a major global air carrier that serves both business and leisure travelers through its domestic and international flights.
Why Do We Avoid DAL?
- Performance surrounding its revenue passenger miles has lagged its peers
- Estimated sales decline of 1.1% for the next 12 months implies a challenging demand environment
- Push for growth has led to negative returns on capital, signaling value destruction
At $47.13 per share, Delta trades at 7.6x forward P/E. If you’re considering DAL for your portfolio, see our FREE research report to learn more.
Stocks We Like More
Market indices reached historic highs following Donald Trump’s presidential victory in November 2024, but the outlook for 2025 is clouded by new trade policies that could impact business confidence and growth.
While this has caused many investors to adopt a "fearful" wait-and-see approach, we’re leaning into our best ideas that can grow regardless of the political or macroeconomic climate. Take advantage of Mr. Market by checking out our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today
