2 Volatile Stocks Worth Investigating and 1 That Underwhelm

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.

Navigating these stocks isn’t easy, which is why StockStory helps you find Comfort In Chaos. Keeping that in mind, here are two volatile stocks that could reward patient investors and one that could just as easily collapse.

One Stock to Sell:

Lincoln Educational (LINC)

Rolling One-Year Beta: 1.10

Established in 1946, Lincoln Educational (NASDAQ:LINC) is a provider of specialized technical training in the United States, offering career-oriented programs to provide practical skills required in the workforce.

Why Should You Sell LINC?

1. Demand for its offerings was relatively low as its number of enrolled students has underwhelmed
2. Cash-burning tendencies make us wonder if it can sustainably generate shareholder value
3. Shrinking returns on capital suggest that increasing competition is eating into the company’s profitability

Lincoln Educational is trading at $21.95 per share, or 10.9x forward EV-to-EBITDA. To fully understand why you should be careful with LINC, check out our full research report (it’s free).

Two Stocks to Watch:

Monolithic Power Systems (MPWR)

Rolling One-Year Beta: 1.83

Founded in 1997 by its longtime CEO Michael Hsing, Monolithic Power Systems (NASDAQ:MPWR) is an analog and mixed signal chipmaker that specializes in power management chips meant to minimize total energy consumption.

Why Is MPWR a Good Business?

1. Annual revenue growth of 29.9% over the past five years was outstanding, reflecting market share gains this cycle
2. MPWR is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders, and its growing cash flow gives it even more resources to deploy
3. ROIC punches in at 45.9%, illustrating management’s expertise in identifying profitable investments

Monolithic Power Systems’s stock price of $908 implies a valuation ratio of 50.8x forward P/E. Is now the right time to buy? See for yourself in our in-depth research report, it’s free.

Hims & Hers Health (HIMS)

Rolling One-Year Beta: 2.60

Originally launched with a focus on stigmatized conditions like hair loss and sexual health, Hims & Hers Health (NYSE:HIMS) operates a consumer-focused telehealth platform that connects patients with healthcare providers for prescriptions and wellness products.

Why Is HIMS Interesting?

1. Business is winning new contracts that can potentially increase in value as its customer base averaged 43.3% growth over the past two years
2. Free cash flow margin expanded by 14.5 percentage points over the last five years, providing additional flexibility for investments and share buybacks/dividends
3. Historical investments are beginning to pay off as its returns on capital are growing

At $53.50 per share, Hims & Hers Health trades at 43.5x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.

High-Quality Stocks for All Market Conditions

Trump’s April 2025 tariff bombshell triggered a massive market selloff, but stocks have since staged an impressive recovery, leaving those who panic sold on the sidelines.

Take advantage of the rebound by checking out our Top 5 Growth Stocks for this month. 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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