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. That said, here is one low-volatility stock providing safe-and-steady growth and two that may not deliver the returns you need.
Two Stocks to Sell:
Church & Dwight (CHD)
Rolling One-Year Beta: 0.02
Best known for its Arm & Hammer baking soda, Church & Dwight (NYSE:CHD) is a household and personal care products company with a vast portfolio that spans laundry detergent to toothbrushes to hair removal creams.
Why Does CHD Worry Us?
- Lackluster 4.9% annual revenue growth over the last three years indicates the company is losing ground to competitors
- Absence of organic revenue growth over the past two years suggests it may have to lean into acquisitions to drive its expansion
- Estimated sales decline of 1% for the next 12 months implies a challenging demand environment
Church & Dwight is trading at $100.80 per share, or 26.5x forward P/E. If you’re considering CHD for your portfolio, see our FREE research report to learn more.
Annaly Capital Management (NLY)
Rolling One-Year Beta: 0.53
Operating as a real estate investment trust since 1996 with a focus on generating income from interest rate spreads, Annaly Capital Management (NYSE:NLY) is a diversified capital manager that invests in agency mortgage-backed securities, residential mortgage loans, and mortgage servicing rights.
Why Is NLY Risky?
- Loans are facing significant end-market challenges during this cycle as net interest income has declined by 11.4% annually over the last five years
- Net interest margin of 0.6% reflects its high servicing and capital costs
- Earnings per share have contracted by 7.9% annually over the last five years, a headwind for returns as stock prices often echo long-term EPS performance
At $23.08 per share, Annaly Capital Management trades at 1.1x forward P/B. Dive into our free research report to see why there are better opportunities than NLY.
One Stock to Buy:
Visa (V)
Rolling One-Year Beta: 0.87
Processing over 829 million transactions daily and connecting billions of cards to 150 million merchant locations worldwide, Visa (NYSE:V) operates one of the world's largest electronic payments networks, facilitating secure money movement across more than 200 countries through its VisaNet processing platform.
Why Will V Outperform?
- Offerings and unique value proposition resonate with customers, as seen in its above-market 14% annual sales growth over the last five years
- Performance over the past five years was boosted by share buybacks, which enabled its earnings per share to grow faster than its revenue
- Stellar return on equity showcases management’s ability to surface highly profitable business ventures
Visa’s stock price of $314.35 implies a valuation ratio of 24.5x forward P/E. Is now a good time to buy? See for yourself in our full research report, it’s free.
High-Quality Stocks for All Market Conditions
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 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.