A stock with low volatility can be reassuring, but it doesn’t always mean strong long-term performance.
Investors who prioritize stability may miss out on higher-reward opportunities elsewhere.
Luckily for you, StockStory helps you navigate which companies are truly worth holding. Keeping that in mind, here is one low-volatility stock providing safe-and-steady growth and two that may not keep up.
Two Stocks to Sell:
Graphic Packaging Holding (GPK)
Rolling One-Year Beta: 0.41
Founded in 1991, Graphic Packaging (NYSE:GPK) is a provider of paper-based packaging solutions for a wide range of products.
Why Is GPK Risky?
- Flat unit sales over the past two years indicate demand is soft and that the company may need to revise its strategy
- Sales are expected to decline once again over the next 12 months as it continues working through a challenging demand environment
- Earnings per share have contracted by 21.5% annually over the last two years, a headwind for returns as stock prices often echo long-term EPS performance
Graphic Packaging Holding is trading at $12.37 per share, or 13.3x forward P/E. Check out our free in-depth research report to learn more about why GPK doesn’t pass our bar.
Prosperity Bancshares (PB)
Rolling One-Year Beta: 0.59
With a network of banking centers spanning the Lone Star State and beyond, Prosperity Bancshares (NYSE:PB) operates full-service banking locations throughout Texas and Oklahoma, offering a wide range of financial products and services to businesses and consumers.
Why Do We Pass on PB?
- Flat net interest income over the last five years suggest it must find different ways to grow during this cycle
- Flat earnings per share over the last five years lagged its peers
- Tangible book value per share is projected to decrease by 4.9% over the next 12 months as capital generation weakens
At $72.83 per share, Prosperity Bancshares trades at 0.9x forward P/B. Read our free research report to see why you should think twice about including PB in your portfolio.
One Stock to Buy:
Bowhead Specialty (BOW)
Rolling One-Year Beta: 0.02
Named after the Arctic bowhead whale known for navigating challenging waters, Bowhead Specialty Holdings (NYSE:BOW) is a specialty insurance company that provides customized coverage for complex and high-risk commercial sectors.
Why Should You Buy BOW?
- Net premiums earned expanded by 37.9% annually over the last two years, demonstrating exceptional market penetration this cycle
- Revenue outlook for the upcoming 12 months is outstanding and shows it’s on track to gain market share
- Earnings per share have outperformed the peer group average over the last two years, increasing by 25.6% annually
Bowhead Specialty’s stock price of $24.74 implies a valuation ratio of 1.8x forward P/B. Is now a good time to buy? Find out in our full research report, it’s free.
Stocks We Like Even More
The market’s up big this year - but there’s a catch. Just 4 stocks account for half the S&P 500’s entire gain. That kind of concentration makes investors nervous, and for good reason. While everyone piles into the same crowded names, smart investors are hunting quality where no one’s looking - and paying a fraction of the price. Check out the high-quality names we’ve flagged 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-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today.