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1 Stock Under $50 for Long-Term Investors and 2 We Brush Off

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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.

Luckily for you, our mission at StockStory is to help you make money and avoid losses by sorting the winners from the losers. That said, here is one stock under $50 that could 10x and two that could be down big.

Two Stocks Under $50 to Sell:

Arhaus (ARHS)

Share Price: $9.85

With an aesthetic that features natural materials such as reclaimed wood, Arhaus (NASDAQ: ARHS) is a high-end furniture retailer that sells everything from sofas to rugs to bookcases.

Why Does ARHS Worry Us?

  1. Weak same-store sales trends over the past two years suggest there may be few opportunities in its core markets to open new locations
  2. Modest revenue base of $1.41 billion gives it less fixed cost leverage and fewer distribution channels than larger companies
  3. Earnings per share fell by 24.2% annually over the last three years while its revenue grew, showing its incremental sales were much less profitable

At $9.85 per share, Arhaus trades at 19.7x forward P/E. Dive into our free research report to see why there are better opportunities than ARHS.

Steven Madden (SHOO)

Share Price: $47.34

As seen in the infamous Wolf of Wall Street movie, Steven Madden (NASDAQ: SHOO) is a fashion brand famous for its trendy and innovative footwear, appealing to a young and style-conscious audience.

Why Is SHOO Risky?

  1. Sales trends were unexciting over the last five years as its 13.4% annual growth was below the typical consumer discretionary company
  2. Low free cash flow margin of 6.8% for the last two years gives it little breathing room, constraining its ability to self-fund growth or return capital to shareholders
  3. Eroding returns on capital from an already low base indicate that management’s recent investments are destroying value

Steven Madden’s stock price of $47.34 implies a valuation ratio of 19.5x forward P/E. Check out our free in-depth research report to learn more about why SHOO doesn’t pass our bar.

One Stock Under $50 to Watch:

Douglas Dynamics (PLOW)

Share Price: $41.61

Once manufacturing snowplows designed for the iconic jeep vehicle precursor, Douglas Dynamics (NYSE: PLOW) offers snow and ice equipment for the roads and sidewalks.

Why Does PLOW Stand Out?

  1. Solid 10.4% annual revenue growth over the last two years indicates its offerings solve complex business issues
  2. Incremental sales significantly boosted profitability as its annual earnings per share growth of 43.6% over the last two years outstripped its revenue performance
  3. Free cash flow margin grew by 11 percentage points over the last five years, giving the company more chips to play with

Douglas Dynamics is trading at $41.61 per share, or 13.1x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.

High-Quality Stocks for All Market Conditions

WHILE YOU’RE HERE: Top 9 Market-Beating Stocks. The best stocks don’t just beat the market once. They do it again. And again. Robust revenue growth, rising free cash flow, returns on capital that leave their competition in the dust. The market has already rewarded these businesses.

But our AI platform says the party isn’t over. Find out which 9 stocks made the cut this week — FREE. Get Our Top 9 Market-Beating Stocks for Free HERE.

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 Tecnoglass (+1,552% between June 2020 and June 2025). Find your next big winner with StockStory today.

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