1 Safe-and-Steady Stock with Competitive Advantages and 2 Facing Challenges

Low-volatility stocks may offer stability, but that often comes at the cost of slower growth and the upside potential of more dynamic companies.

Luckily for you, StockStory helps you navigate which companies are truly worth holding. That said, here is one low-volatility stock that could offer consistent gains and two that may not deliver the returns you need.

Two Stocks to Sell:

MDU Resources (MDU)

Rolling One-Year Beta: 0.35

Founded to provide electricity to towns in Minnesota, MDU Resources (NYSE:MDU) provides products and services in the utilities and construction materials industries.

Why Do We Steer Clear of MDU?

1. Customers postponed purchases of its products and services this cycle as its revenue declined by 15.3% annually over the last five years
2. Poor free cash flow margin of -0.6% for the last five years limits its freedom to invest in growth initiatives, execute share buybacks, or pay dividends
3. 7× net-debt-to-EBITDA ratio makes lenders less willing to extend additional capital, potentially necessitating dilutive equity offerings

MDU Resources trades at a stock price of $20.51. To fully understand why you should be careful with MDU, check out our full research report (it’s free).

Valley National Bank (VLY)

Rolling One-Year Beta: 0.84

Tracing its roots back to 1927 during the economic boom before the Great Depression, Valley National Bancorp (NASDAQGS:VLY) operates Valley National Bank, providing commercial, consumer, and wealth management banking services across several states.

Why Do We Think VLY Will Underperform?

1. Annual revenue growth of 3.7% over the last two years was below our standards for the banking sector
2. Annual net interest income growth of 9.5% over the last five years was below our standards for the banking sector
3. Incremental sales over the last five years were less profitable as its earnings per share were flat while its revenue grew

At $12.47 per share, Valley National Bank trades at 0.9x forward P/B. Dive into our free research report to see why there are better opportunities than VLY.

One Stock to Watch:

Berkshire Hathaway (BRK.A)

Rolling One-Year Beta: 0.47

Led by legendary investor Warren Buffett since 1965, transforming it from a struggling textile manufacturer into a corporate giant, Berkshire Hathaway (NYSE:BRK.A) is a diversified holding company that owns businesses across insurance, railroads, utilities, manufacturing, retail, and services sectors.

Why Should BRK.A Be on Your Watchlist?

1. Earnings per share have comfortably outperformed the peer group average over the last two years, increasing by 18.9% annually
2. Balance sheet strength has increased this cycle as its 15.9% annual tangible book value per share growth over the last five years was exceptional
3. Stellar return on equity showcases management’s ability to surface highly profitable business ventures

Berkshire Hathaway’s stock price of $722,319 implies a valuation ratio of 21.5x 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

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