Hitting a new 52-week low can be a pivotal moment for any stock. These floors often mark either the beginning of a turnaround story or confirmation that a company faces serious headwinds.
While market timing can be an extremely profitable strategy, it has burned many investors and requires rigorous analysis - something we specialize in at StockStory. Keeping that in mind, here are three stocks where the outlook is warranted and some alternatives with better fundamentals.
Campbell's (CPB)
One-Month Return: -6.5%
With its iconic canned soup as its cornerstone product, Campbell's (NASDAQ:CPB) is a packaged food company with an illustrious portfolio of brands.
Why Should You Sell CPB?
- Flat unit sales over the past two years indicate demand is soft and that the company may need to revise its product strategy
- Projected sales decline of 2.3% for the next 12 months points to a tough demand environment ahead
- Incremental sales over the last three years were much less profitable as its earnings per share fell by 1.3% annually while its revenue grew
Campbell's is trading at $28.73 per share, or 11.6x forward P/E. If you’re considering CPB for your portfolio, see our FREE research report to learn more.
Bark (BARK)
One-Month Return: -7.3%
Making a name for itself with the BarkBox, Bark (NYSE:BARK) specializes in subscription-based, personalized pet products.
Why Do We Avoid BARK?
- 9.8% annual revenue growth over the last five years was slower than its consumer discretionary peers
- Cash burn makes us question whether it can achieve sustainable long-term growth
- Short cash runway increases the probability of a capital raise that dilutes existing shareholders
Bark’s stock price of $0.67 implies a valuation ratio of 27.5x forward EV-to-EBITDA. To fully understand why you should be careful with BARK, check out our full research report (it’s free for active Edge members).
Insight Enterprises (NSIT)
One-Month Return: -6.2%
With over 35 years of IT expertise and partnerships with more than 8,000 technology providers, Insight Enterprises (NASDAQ:NSIT) provides end-to-end digital transformation solutions that help businesses modernize their IT infrastructure and maximize the value of technology.
Why Do We Steer Clear of NSIT?
- Sales stagnated over the last five years and signal the need for new growth strategies
- Sales are projected to be flat over the next 12 months and imply weak demand
- Earnings per share lagged its peers over the last two years as they only grew by 1.9% annually
At $83.11 per share, Insight Enterprises trades at 8.5x forward P/E. Check out our free in-depth research report to learn more about why NSIT 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-micro-cap company Tecnoglass (+1,754% 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
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