Volatility cuts both ways - while it creates opportunities, it also increases risk, making sharp declines just as likely as big gains. This unpredictability can shake out even the most experienced investors.
At StockStory, our job is to help you avoid costly mistakes and stay on the right side of the trade. Keeping that in mind, here is one volatile stock that could deliver huge gains and two that might not be worth the risk.
Two Stocks to Sell:
Amplitude (AMPL)
Rolling One-Year Beta: 1.50
Born from the realization that companies were flying blind when it came to understanding user behavior in their digital products, Amplitude (NASDAQ: AMPL) provides a digital analytics platform that helps businesses understand how people use their digital products to improve user experiences and drive revenue growth.
Why Do We Pass on AMPL?
- Products, pricing, or go-to-market strategy may need some adjustments as its 9.9% average billings growth over the last year was weak
- Net revenue retention rate of 100% trails the industry benchmark of 110%+ and shows it has a tough time increasing customer spending
- Operating margin failed to increase over the last year, indicating the company couldn’t optimize its expenses
Amplitude’s stock price of $10.06 implies a valuation ratio of 3.6x forward price-to-sales. Dive into our free research report to see why there are better opportunities than AMPL.
AGCO (AGCO)
Rolling One-Year Beta: 1.17
With a history that features both organic growth and acquisitions, AGCO (NYSE: AGCO) designs, manufactures, and sells agricultural machinery and related technology.
Why Do We Avoid AGCO?
- Organic revenue growth fell short of our benchmarks over the past two years and implies it may need to improve its products, pricing, or go-to-market strategy
- Performance over the past two years shows each sale was less profitable as its earnings per share dropped by 70% annually, worse than its revenue
- Eroding returns on capital suggest its historical profit centers are aging
At $105.14 per share, AGCO trades at 19x forward P/E. Read our free research report to see why you should think twice about including AGCO in your portfolio.
One Stock to Buy:
BancFirst (BANF)
Rolling One-Year Beta: 1.09
Operating as a "super community bank" with a decentralized management approach that emphasizes local responsiveness, BancFirst Corporation (NASDAQ: BANF) operates as a financial holding company providing commercial banking services to retail customers and small to medium-sized businesses primarily in Oklahoma and Texas.
Why Should You Buy BANF?
- Solid 8.7% annual revenue growth over the last five years indicates its offering’s solve complex business issues
- Performance over the past five years shows its incremental sales were extremely profitable, as its annual earnings per share growth of 16.9% outpaced its revenue gains
- Balance sheet strength has increased this cycle as its 11% annual tangible book value per share growth over the last five years was exceptional
BancFirst is trading at $120.09 per share, or 2.2x forward P/B. Is now the time to initiate a position? Find out in our full research report, it’s free for active Edge members.
High-Quality Stocks for All Market Conditions
Donald Trump’s April 2025 "Liberation Day" tariffs sent markets into a tailspin, but stocks have since rebounded strongly, proving that knee-jerk reactions often create the best buying opportunities.
The smart money is already positioning for the next leg up. Don’t miss out on the recovery - check out our Top 6 Stocks for this week. 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
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