2 Volatile Stocks with Promising Prospects and 1 Facing Challenges

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. Keeping that in mind, here are two volatile stocks that could deliver huge gains and one that could just as easily collapse.

One Stock to Sell:

Fifth Third Bancorp (FITB)

Rolling One-Year Beta: 1.24

Named after the merger of Third National Bank and Fifth National Bank in 1908, Fifth Third Bancorp (NASDAQ:FITB) is a financial services company that provides banking, lending, wealth management, and investment services to individuals and businesses across the Midwest and Southeast.

Why Do We Think Twice About FITB?

1. 4.1% annual net interest income growth over the last five years was slower than its banking peers
2. Performance over the past two years shows each sale was less profitable, as its earnings per share fell by 2.8% annually
3. Loan losses and capital returns have eroded its tangible book value per share this cycle as its tangible book value per share declined by 1.2% annually over the last five years

At $47.82 per share, Fifth Third Bancorp trades at 1.6x forward P/B. To fully understand why you should be careful with FITB, check out our full research report (it’s free for active Edge members).

Two Stocks to Watch:

Amazon (AMZN)

Rolling One-Year Beta: 1.41

Founded by Jeff Bezos after quitting his stock-picking job at D.E. Shaw, Amazon (NASDAQ:AMZN) is the world’s largest online retailer and provider of cloud computing services.

Why Are We Positive On AMZN?

1. Amazon revolutionized the way consumers shop. This isn’t the only tailwind to its impressive revenue growth, as its highly profitable AWS segment has also driven top-line momentum.
2. The company's best-in-class revenue growth coupled with modest operating leverage on its past infrastructure investments has led to elite EPS growth over a multi-year period.
3. Though dominant, Amazon's capital-intensive e-commerce business means its profitability is structurally lower than its pure-play tech peers. Can the company pull it up, or are we reaching a ceiling?

Amazon is trading at $231.66 per share, or 31.3x forward price-to-earnings. Is now the time to initiate a position? See for yourself in our full research report, it’s free for active Edge members.

AMD (AMD)

Rolling One-Year Beta: 1.71

Founded in 1969 by a group of former Fairchild semiconductor executives led by Jerry Sanders, Advanced Micro Devices (NASDAQ:AMD) is one of the leading designers of computer processors and graphics chips used in PCs and data centers.

Why Are We Bullish on AMD?

1. Impressive 29.9% annual revenue growth over the last five years indicates it’s winning market share this cycle
2. Projected revenue growth of 27.1% for the next 12 months is above its two-year trend, pointing to accelerating demand
3. Earnings per share grew by 27.9% annually over the last five years and trumped its peers

AMD’s stock price of $215.23 implies a valuation ratio of 38.8x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free for active Edge members.

Stocks We Like Even More

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 5 Growth Stocks for this month. 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 Kadant (+351% 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.