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 three volatile stocks to steer clear of and a few better alternatives.
ArcBest (ARCB)
Rolling One-Year Beta: 1.58
Historically owning furniture, banking, and other subsidiaries, ArcBest (NASDAQ:ARCB) offers full-truckload, less-than-truckload, and intermodal deliveries of freight.
Why Do We Steer Clear of ARCB?
- Flat unit sales over the past two years imply it may need to invest in improvements to get back on track
- Earnings per share decreased by more than its revenue over the last two years, showing each sale was less profitable
- Eroding returns on capital suggest its historical profit centers are aging
At $84.73 per share, ArcBest trades at 21.5x forward P/E. Read our free research report to see why you should think twice about including ARCB in your portfolio.
AMC Entertainment (AMC)
Rolling One-Year Beta: 1.07
With a profile that was raised due to meme stock mania beginning in 2021, AMC Entertainment (NYSE:AMC) operates movie theaters primarily in the US and Europe.
Why Should You Sell AMC?
- Sales trends were unexciting over the last five years as its 14% annual growth was below the typical consumer discretionary company
- Cash burn makes us question whether it can achieve sustainable long-term growth
- Unfavorable liquidity position could lead to additional equity financing that dilutes shareholders
AMC Entertainment is trading at $1.56 per share, or 13.8x forward EV-to-EBITDA. If you’re considering AMC for your portfolio, see our FREE research report to learn more.
OneMain (OMF)
Rolling One-Year Beta: 1.51
Dating back to 1912 and formerly known as Springleaf, OneMain Holdings (NYSE:OMF) provides personal loans, auto financing, and credit cards to nonprime consumers who have limited access to traditional banking services.
Why Is OMF Not Exciting?
- Sales trends were unexciting over the last five years as its 4.3% annual growth was below the typical financials company
- Earnings growth underperformed the sector average over the last five years as its EPS grew by just 3.4% annually
- Debt-to-equity ratio of 6.6× is concerningly high, indicating excessive leverage that could limit financial flexibility
OneMain’s stock price of $71.40 implies a valuation ratio of 9.3x forward P/E. Check out our free in-depth research report to learn more about why OMF doesn’t pass our bar.
Stocks We Like 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 5 Strong Momentum Stocks for this week. 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-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.