Market swings can be tough to stomach, and volatile stocks often experience exaggerated moves in both directions. While many thrive during risk-on environments, many also struggle to maintain investor confidence when the ride gets bumpy.

These stocks can be a rollercoaster, and StockStory is here to guide you through the ups and downs. Keeping that in mind, here is one volatile stock with massive upside potential and two best left to the gamblers.

Two Industrials Stocks to Sell:

Generac (GNRC)

Rolling One-Year Beta: 1.05

With its name deriving from a combination of “generating” and “AC”, Generac (NYSE: GNRC) offers generators and other power products for residential, industrial, and commercial use.

Why Are We Cautious About GNRC?

1. 4.7% annual revenue growth over the last two years was slower than its industrials peers
2. Free cash flow margin shrank by 6 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive
3. Eroding returns on capital suggest its historical profit centers are aging

Generac is trading at $190.60 per share, or 23.5x forward P/E. Dive into our free research report to see why there are better opportunities than GNRC.

Perma-Fix (PESI)

Rolling One-Year Beta: 1.38

Tackling hazardous waste challenges since 1990, Perma-Fix (NASDAQ: PESI) provides environmental waste treatment services.

Why Is PESI Risky?

1. Products and services are facing significant end-market challenges during this cycle as sales have declined by 8.1% annually over the last five years
2. 31.6 percentage point decline in its free cash flow margin over the last five years reflects the company’s increased investments to defend its market position
3. Diminishing returns on capital from an already low starting point show that neither management’s prior nor current bets are going as planned

Perma-Fix’s stock price of $11.44 implies a valuation ratio of 194.5x forward P/E. Read our free research report to see why you should think twice about including PESI in your portfolio.

One Industrials Stock to Watch:

DXP (DXPE)

Rolling One-Year Beta: 1.88

Founded during the emergence of Big Oil in Texas, DXP (NASDAQ: DXPE) provides pumps, valves, and other industrial components.

Why Are We Fans of DXPE?

1. Offerings and unique value proposition resonate with customers, as seen in its above-market 10.4% annual sales growth over the last five years
2. Operating profits increased over the last five years as the company gained some leverage on its fixed costs and became more efficient
3. Share buybacks catapulted its annual earnings per share growth to 32.6%, which outperformed its revenue gains over the last two years

At $116.19 per share, DXP trades at 20.6x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.

Stocks We Like Even More

Trump’s April 2025 tariff bombshell triggered a massive market selloff, but stocks have since staged an impressive recovery, leaving those who panic sold on the sidelines.

Take advantage of the rebound by checking out our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 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 for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today

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