
Stocks trading between $10 and $50 can be particularly interesting as they frequently represent businesses that have survived their early challenges. However, investors should remain vigilant as some may still have unproven business models, leaving them vulnerable to the ebbs and flows of the broader market.
These dynamics can cause headaches for even the most seasoned professionals, which is why we started StockStory - to help you separate the good companies from the bad. That said, here are three stocks under $50 to swipe left on and some alternatives you should look into instead.
Pegasystems (PEGA)
Share Price: $26.75
With a "Center-out Business Architecture" approach that transcends organizational silos, Pegasystems (NASDAQ:PEGA) develops software that helps organizations automate workflows and use artificial intelligence to improve customer experiences and business processes.
Why Should You Sell PEGA?
- Customers had second thoughts about committing to its platform over the last year as its average billings growth of 5.9% underwhelmed
- Competitive market means the company must spend more on sales and marketing to stand out even if the return on investment is low
- Expenses have increased as a percentage of revenue over the last year as its operating margin fell by 6.5 percentage points
At $26.75 per share, Pegasystems trades at 2.6x forward price-to-sales. To fully understand why you should be careful with PEGA, check out our full research report (it’s free).
Carlyle (CG)
Share Price: $44.58
Founded in 1987 with just $5 million in capital and named after the iconic New York hotel where the founders first met, The Carlyle Group (NASDAQ:CG) is a global investment firm that raises, manages, and deploys capital across private equity, credit, and investment solutions.
Why Do We Think CG Will Underperform?
- Sales stagnated over the last two years and signal the need for new growth strategies
- Earnings growth over the last two years fell short of the peer group average as its EPS only increased by 2.1% annually
Carlyle’s stock price of $44.58 implies a valuation ratio of 11x forward P/E. Check out our free in-depth research report to learn more about why CG doesn’t pass our bar.
HA Sustainable Infrastructure Capital (HASI)
Share Price: $38.41
With a proprietary "CarbonCount" metric that quantifies the environmental impact of each dollar invested, HA Sustainable Infrastructure Capital (NYSE:HASI) is an investment firm that finances and develops climate-positive infrastructure projects across renewable energy, energy efficiency, and ecological restoration.
Why Are We Cautious About HASI?
- Performance over the past two years shows its incremental sales were less profitable, as its 9.7% annual earnings per share growth trailed its revenue gains
- Low return on equity reflects management’s struggle to allocate funds effectively
HA Sustainable Infrastructure Capital is trading at $38.41 per share, or 12.6x forward P/E. Read our free research report to see why you should think twice about including HASI in your portfolio.
High-Quality Stocks for All Market Conditions
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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.