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1 Stock Under $50 with Solid Fundamentals and 2 We Avoid


Adam Hejl /
2026/01/11 11:32 pm EST

Stocks in the $10-50 range offer a sweet spot between affordability and stability as they’re typically more established than penny stocks. But their headline prices don’t guarantee quality, and investors should exercise caution as some have shaky business models.

Luckily for you, our mission at StockStory is to help you make money and avoid losses by sorting the winners from the losers. That said, here is one stock under $50 with massive upside potential and two that may have trouble.

Two Stocks Under $50 to Sell:

Radian Group (RDN)

Share Price: $35.65

Founded during the housing boom of 1977 and weathering multiple real estate cycles since, Radian Group (NYSE:RDN) provides mortgage insurance and real estate services, helping lenders manage risk and homebuyers achieve affordable homeownership.

Why Are We Wary of RDN?

  1. Insurance offerings face significant market challenges this cycle as net premiums earned contracted by 3.2% annually over the last five years
  2. Operational productivity has decreased over the last two years as its combined ratio worsened by 13.7 percentage points
  3. Earnings per share lagged its peers over the last two years as they only grew by 2.2% annually

Radian Group’s stock price of $35.65 implies a valuation ratio of 1x forward P/B. If you’re considering RDN for your portfolio, see our FREE research report to learn more.

Super Group (SGHC)

Share Price: $10.62

With betting operations spanning 20 jurisdictions and attracting nearly 5 million monthly customers, Super Group (NYSE:SGHC) operates global online sports betting and gaming platforms through its two primary offerings: the Betway sports betting brand and Spin multi-brand casino portfolio.

Why Should You Sell SGHC?

  1. Underwhelming customer growth over the past two years shows the company faced challenges in winning new contracts
  2. Performance over the past four years shows its incremental sales were much less profitable, as its earnings per share fell by 6% annually
  3. Free cash flow margin is forecasted to shrink by 1.5 percentage points in the coming year, suggesting the company will consume more capital to keep up with its competitors

At $10.62 per share, Super Group trades at 15.3x forward P/E. Read our free research report to see why you should think twice about including SGHC in your portfolio.

One Stock Under $50 to Watch:

German American Bancorp (GABC)

Share Price: $40.24

Founded in 1910 during a wave of community banking expansion in the Midwest, German American Bancorp (NASDAQ:GABC) is a financial holding company that provides banking, wealth management, and insurance services across southern Indiana and Kentucky.

Why Could GABC Be a Winner?

  1. Net interest margin increased by 35 basis points (100 basis points = 1 percentage point) over the last two years, giving the firm more capital to invest or return to shareholders
  2. Efficiency ratio improvement of -5.2 percentage points is projected for next year as the firm achieves greater operating leverage
  3. Annual tangible book value per share growth of 26.1% over the past two years was outstanding, reflecting strong capital accumulation this cycle

German American Bancorp is trading at $40.24 per share, or 1.3x forward P/B. 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

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 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-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today.