Volatility cuts both ways - while it creates opportunities, it also increases risk, making sharp declines just as likely as big gains. This unpredictability can shake out even the most experienced investors.
At StockStory, our job is to help you avoid costly mistakes and stay on the right side of the trade. That said, here is one volatile stock that could deliver huge gains and two best left to the gamblers.
Two Stocks to Sell:
Arhaus (ARHS)
Rolling One-Year Beta: 1.59
With an aesthetic that features natural materials such as reclaimed wood, Arhaus (NASDAQ: ARHS) is a high-end furniture retailer that sells everything from sofas to rugs to bookcases.
Why Are We Cautious About ARHS?
- Weak same-store sales trends over the past two years suggest there may be few opportunities in its core markets to open new locations
- Subscale operations are evident in its revenue base of $1.36 billion, meaning it has fewer distribution channels than its larger rivals
- Earnings per share fell by 13.8% annually over the last three years while its revenue grew, partly because it diluted shareholders
Arhaus’s stock price of $11.07 implies a valuation ratio of 23.5x forward P/E. Read our free research report to see why you should think twice about including ARHS in your portfolio.
Wynn Resorts (WYNN)
Rolling One-Year Beta: 1.29
Founded by the former Mirage Resorts CEO, Wynn Resorts (NASDAQ: WYNN) is a global developer and operator of high-end hotels and casinos, known for its luxurious properties and premium guest services.
Why Should You Sell WYNN?
- Muted 18.3% annual revenue growth over the last five years shows its demand lagged behind its consumer discretionary peers
- Lacking free cash flow generation means it has few chances to reinvest for growth, repurchase shares, or distribute capital
- High net-debt-to-EBITDA ratio of 5× increases the risk of forced asset sales or dilutive financing if operational performance weakens
Wynn Resorts is trading at $118.12 per share, or 21.1x forward P/E. Check out our free in-depth research report to learn more about why WYNN doesn’t pass our bar.
One Stock to Watch:
Vicor (VICR)
Rolling One-Year Beta: 2.15
Founded by a researcher at the Massachusetts Institute of Technology, Vicor (NASDAQ: VICR) provides electrical power conversion and delivery products for a range of industries.
Why Is VICR on Our Radar?
- 9.9% annual revenue growth over the last five years surpassed the sector average as its offerings resonated with customers
- Performance over the past two years shows its incremental sales were extremely profitable, as its annual earnings per share growth of 26.1% outpaced its revenue gains
- Free cash flow margin increased by 21.8 percentage points over the last five years, giving the company more capital to invest or return to shareholders
At $142.55 per share, Vicor trades at 68.2x forward P/E. Is now the time to initiate a position? See for yourself in our in-depth 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 9 Market-Beating Stocks. 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 Exlservice (+354% five-year return). Find your next big winner with StockStory today.
