Rock-bottom prices don't always mean rock-bottom businesses. The stocks we're examining today have all touched their 52-week lows, creating a classic investor's dilemma: bargain opportunity or value trap?
While market timing can be an extremely profitable strategy, it has burned many investors and requires rigorous analysis - something we specialize in at StockStory. That said, here are two stocks where the poor sentiment is creating a buying opportunity and one where the outlook is warranted.
One Stock to Sell:
Wiley (WLY)
One-Month Return: -11.4%
With roots dating back to 1807 when Charles Wiley opened a small printing shop in Manhattan, John Wiley & Sons (NYSE: WLY) is a global academic publisher that provides scientific journals, books, digital courseware, and knowledge solutions for researchers, students, and professionals.
Why Do We Think WLY Will Underperform?
- Products and services are facing significant end-market challenges during this cycle as sales have declined by 2.2% annually over the last five years
- Sales are projected to be flat over the next 12 months and imply weak demand
- Free cash flow margin shrank by 4.3 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive
At $31.03 per share, Wiley trades at 1x trailing 12-month price-to-sales. Dive into our free research report to see why there are better opportunities than WLY.
Two Stocks to Watch:
Itron (ITRI)
One-Month Return: -0.8%
Founded by a small group of engineers who wanted to build a more efficient way to read utility meters, Itron (NASDAQ: ITRI) offers energy and water management products for the utility industry, municipalities, and industrial customers.
Why Does ITRI Stand Out?
- Operating margin expanded by 9.3 percentage points over the last five years as it scaled and became more efficient
- Incremental sales over the last two years have been highly profitable as its earnings per share increased by 46% annually, topping its revenue gains
- Free cash flow margin expanded by 7.1 percentage points over the last five years, providing additional flexibility for investments and share buybacks/dividends
Itron is trading at $96.03 per share, or 14.3x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free for active Edge members.
Tradeweb Markets (TW)
One-Month Return: -0.5%
Founded in 1996 as one of the pioneers in electronic bond trading, Tradeweb Markets (NASDAQ: TW) builds and operates electronic marketplaces that connect financial institutions for trading across rates, credit, equities, and money markets.
Why Is TW a Top Pick?
- Annual revenue growth of 25.8% over the past two years was outstanding, reflecting market share gains this cycle
- Earnings per share have massively outperformed its peers over the last two years, increasing by 25.7% annually
Tradeweb Markets’s stock price of $104.53 implies a valuation ratio of 28.1x forward P/E. Is now a good time to buy? See for yourself in our comprehensive research report, it’s free for active Edge members .
High-Quality Stocks for All Market Conditions
Your portfolio can’t afford to be based on yesterday’s story. The risk in a handful of heavily crowded stocks is rising daily.
The names generating the next wave of massive growth are right here in our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 244% over the last five years (as of June 30, 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% 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.
