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.
Finding the right balance between safety and returns isn’t easy, which is why StockStory is here to help. That said, here are two low-volatility stocks that could succeed under all market conditions and one stuck in limbo.
One Stock to Sell:
SolarEdge (SEDG)
Rolling One-Year Beta: 0.92
Established in 2006, SolarEdge (NASDAQ: SEDG) creates advanced systems to improve the efficiency of solar panels.
Why Do We Steer Clear of SEDG?
- Number of megawatts shipped has disappointed over the past two years, indicating weak demand for its offerings
- Waning returns on capital from an already weak starting point displays the inefficacy of management’s past and current investment decisions
- Negative earnings profile makes it challenging to secure favorable financing terms from lenders
SolarEdge is trading at $30.37 per share, or 1.4x forward price-to-sales. Dive into our free research report to see why there are better opportunities than SEDG.
Two Stocks to Buy:
S&P Global (SPGI)
Rolling One-Year Beta: 0.86
Tracing its roots back to 1860 when it published the first railroad industry manual, S&P Global (NYSE: SPGI) provides credit ratings, market intelligence, commodity data, automotive analytics, and financial indices that help investors and businesses make decisions.
Why Will SPGI Beat the Market?
- 10.6% annual revenue growth over the last two years was better than the sector average, highlighting the value of its products and services
- Share buybacks propelled its annual earnings per share growth to 20%, which outperformed its revenue gains over the last two years
- Market-beating return on equity illustrates that management has a knack for investing in profitable ventures
S&P Global’s stock price of $541.53 implies a valuation ratio of 27.8x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.
Arthur J. Gallagher (AJG)
Rolling One-Year Beta: 0.39
Founded in 1927 and operating in approximately 130 countries through direct operations and correspondent networks, Arthur J. Gallagher (NYSE: AJG) provides insurance brokerage, reinsurance, consulting, and third-party claims settlement services to businesses and individuals worldwide.
Why Is AJG a Top Pick?
- Annual revenue growth of 16% over the past two years was outstanding, reflecting market share gains this cycle
- Earnings per share have massively outperformed its peers over the last five years, increasing by 18.7% annually
- AJG is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders
At $270.65 per share, Arthur J. Gallagher trades at 20x forward P/E. Is now the time to initiate a position? See for yourself in our full research report, it’s free.
High-Quality Stocks for All Market Conditions
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 Kadant (+351% five-year return). Find your next big winner with StockStory today.
