Market swings can be tough to stomach, and volatile stocks often experience exaggerated moves in both directions. While many thrive during risk-on environments, many also struggle to maintain investor confidence when the ride gets bumpy.
Navigating these stocks isn’t easy, which is why StockStory helps you find Comfort In Chaos. That said, here is one volatile stock that could deliver huge gains and two best left to the gamblers.
Two Stocks to Sell:
Red Robin (RRGB)
Rolling One-Year Beta: 2.39
Known for its bottomless steak fries, Red Robin (NASDAQ: RRGB) is a chain of casual restaurants specializing in burgers and general American fare.
Why Do We Steer Clear of RRGB?
- Poor same-store sales performance over the past two years indicates it’s having trouble bringing new diners into its restaurants
- Earnings per share have dipped by 19% annually over the past six years, which is concerning because stock prices follow EPS over the long term
- 9× net-debt-to-EBITDA ratio shows it’s overleveraged and increases the probability of shareholder dilution if things turn unexpectedly
Red Robin’s stock price of $3.61 implies a valuation ratio of 8.9x forward EV-to-EBITDA. Check out our free in-depth research report to learn more about why RRGB doesn’t pass our bar.
Oracle (ORCL)
Rolling One-Year Beta: 1.51
Starting as a database company in 1977 and now powering mission-critical systems across the globe, Oracle (NYSE: ORCL) provides enterprise software and hardware products and services that help businesses manage their information technology needs.
Why Do We Avoid ORCL?
- Average billings growth of 10.4% over the last year was subpar, suggesting it struggled to push its software and might have to lower prices to stimulate demand
- Free cash flow margin is forecasted to shrink by 10.8 percentage points in the coming year, suggesting the company will consume more capital to keep up with its competitors
- Unfavorable liquidity position could lead to additional equity financing that dilutes shareholders
At $156.03 per share, Oracle trades at 6x forward price-to-sales. Dive into our free research report to see why there are better opportunities than ORCL.
One Stock to Buy:
Corpay (CPAY)
Rolling One-Year Beta: 1.23
Formerly known as FLEETCOR until its 2024 rebrand, Corpay (NYSE: CPAY) provides specialized payment solutions for businesses to manage vehicle expenses, corporate payments, and lodging costs with enhanced control and reporting capabilities.
Why Will CPAY Beat the Market?
- Annual revenue growth of 13.6% over the last five years beat the sector average and underscores the unique value of its offerings
- Earnings per share have outperformed the peer group average over the last five years, increasing by 14% annually
- Stellar return on equity showcases management’s ability to surface highly profitable business ventures
Corpay is trading at $348.37 per share, or 13.2x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.
Stocks We Like Even More
If your portfolio success hinges on just 4 stocks, your wealth is built on fragile ground. You have a small window to secure high-quality assets before the market widens and these prices disappear.
Don’t wait for the next volatility shock. Check 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 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.
