
3 Stocks Under $50 in the Doghouse

Stocks trading between $10 and $50 can be particularly interesting as they frequently represent businesses that have survived their early challenges. However, investors should remain vigilant as some may still have unproven business models, leaving them vulnerable to the ebbs and flows of the broader market.
This is precisely where StockStory comes in - we do the heavy lifting to identify companies with solid fundamentals so you can invest with confidence. That said, here are three stocks under $50 to swipe left on and some alternatives you should look into instead.
Couchbase (BASE)
Share Price: $13.45
Formed in 2011 with the merger of Membase and CouchOne, Couchbase (NASDAQ:BASE) is a database-as-a-service platform that allows enterprises to store large volumes of semi-structured data.
Why Do We Think Twice About BASE?
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19.2% annual revenue growth over the last three years was slower than its software peers
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Competitive market means the company must spend more on sales and marketing to stand out even if the return on investment is low
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Historical operating losses point to an inefficient cost structure
At $13.45 per share, Couchbase trades at 3.1x forward price-to-sales. If you’re considering BASE for your portfolio, see our FREE research report to learn more .
Kulicke and Soffa (KLIC)
Share Price: $27.01
Headquartered in Singapore, Kulicke & Soffa (NASDAQ: KLIC) is a provider of production equipment and tools used to assemble semiconductor devices
Why Do We Steer Clear of KLIC?
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Products and services are facing significant end-market challenges during this cycle as sales have declined by 24.2% annually over the last two years
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Performance over the past five years shows its incremental sales were much less profitable, as its earnings per share fell by 28.3% annually
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Free cash flow margin shrank by 10.2 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive
Kulicke and Soffa’s stock price of $27.01 implies a valuation ratio of 14.3x forward price-to-earnings. Check out our free in-depth research report to learn more about why KLIC doesn’t pass our bar .
NV5 Global (NVEE)
Share Price: $15.20
Operating from over 100 locations across the U.S. and internationally, NV5 Global (NASDAQ:NVEE) provides engineering, environmental, geospatial, and technical consulting services to public and private sector clients for infrastructure and building projects.
Why Does NVEE Worry Us?
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Expenses have increased as a percentage of revenue over the last four years as its adjusted operating margin fell by 5.1 percentage points
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Earnings per share fell by 4.9% annually over the last two years while its revenue grew, showing its incremental sales were much less profitable
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Free cash flow margin dropped by 8.3 percentage points over the last four years, implying the company became more capital intensive as competition picked up