1 Unpopular Stock That Deserves a Second Chance and 2 We Brush Off

When Wall Street turns bearish on a stock, it’s worth paying attention. These calls stand out because analysts rarely issue grim ratings on companies for fear their firms will lose out in other business lines such as M&A advisory.

Whatever the consensus opinion may be, our team at StockStory cuts through the noise by conducting independent analysis to determine a company’s long-term prospects. That said, here is one stock where you should be greedy instead of fearful and two facing legitimate challenges.

Two Stocks to Sell:

Monro (MNRO)

Consensus Price Target: $20.67 (-1.5% implied return)

Started as a single location in Rochester, New York, Monro (NASDAQ:MNRO) provides common auto services such as brake repairs, tire replacements, and oil changes.

Why Should You Sell MNRO?

1. Store closures and poor same-store sales reveal weak demand and a push toward operational efficiency
2. Lagging same-store sales over the past two years suggest it might have to change its pricing and marketing strategy to stimulate demand
3. Sales were less profitable over the last three years as its earnings per share fell by 29.9% annually, worse than its revenue declines

At $20.99 per share, Monro trades at 38x forward P/E. Check out our free in-depth research report to learn more about why MNRO doesn’t pass our bar.

Boise Cascade (BCC)

Consensus Price Target: $91.33 (6.8% implied return)

Formed through the merger of two lumber companies, Boise Cascade Company (NYSE:BCC) manufactures and distributes wood products and other building materials.

Why Do We Think BCC Will Underperform?

1. Customers postponed purchases of its products and services this cycle as its revenue declined by 2.3% annually over the last two years
2. 6.8 percentage point decline in its free cash flow margin over the last five years reflects the company’s increased investments to defend its market position
3. Waning returns on capital imply its previous profit engines are losing steam

Boise Cascade is trading at $85.49 per share, or 26.5x forward P/E. To fully understand why you should be careful with BCC, check out our full research report (it’s free).

One Stock to Buy:

Powell (POWL)

Consensus Price Target: $368 (-13.7% implied return)

Originally a metal-working shop supporting local petrochemical facilities, Powell (NYSE:POWL) has grown from a small Houston manufacturer to a global provider of electrical systems.

Why Will POWL Beat the Market?

1. Market share has increased this cycle as its 25.7% annual revenue growth over the last two years was exceptional
2. Additional sales over the last two years increased its profitability as the 86.5% annual growth in its earnings per share outpaced its revenue
3. Free cash flow margin grew by 21.1 percentage points over the last five years, giving the company more chips to play with

Powell’s stock price of $426.65 implies a valuation ratio of 27.4x forward P/E. Is now the right time to buy? See for yourself in our comprehensive research report, it’s free.

High-Quality Stocks for All Market Conditions

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 Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.