Hitting a new 52-week low can be a pivotal moment for any stock. These floors often mark either the beginning of a turnaround story or confirmation that a company faces serious headwinds.
While market timing can be an extremely profitable strategy, it has burned many investors and requires rigorous analysis - something we specialize in at StockStory. That said, here is one stock where the poor sentiment is creating a buying opportunity and two where the skepticism is well-placed.
Two Stocks to Sell:
Bally's (BALY)
One-Month Return: -31.4%
Headquartered in Providence, Rhode Island, Bally's Corporation (NYSE:BALY) is a diversified global casino-entertainment company that owns and manages casinos, resorts, and online gaming platforms.
Why Should You Sell BALY?
- Sales trends were unexciting over the last two years as its 6.9% annual growth was below the typical consumer discretionary company
- Eroding returns on capital from an already low base indicate that management’s recent investments are destroying value
- Unfavorable liquidity position could lead to additional equity financing that dilutes shareholders
At $8.93 per share, Bally's trades at 13.1x forward EV-to-EBITDA. Check out our free in-depth research report to learn more about why BALY doesn’t pass our bar.
Primoris (PRIM)
One-Month Return: -9.6%
Listed on the NASDAQ in 2008, Primoris (NYSE:PRIM) builds, maintains, and upgrades infrastructure in the utility, energy, and civil construction industries.
Why Does PRIM Fall Short?
- High input costs result in an inferior gross margin of 10.3% that must be offset through higher volumes
- Earnings per share have contracted by 1.5% annually over the last two years, a headwind for returns as stock prices often echo long-term EPS performance
- Poor free cash flow margin of 2.2% for the last five years limits its freedom to invest in growth initiatives, execute share buybacks, or pay dividends
Primoris’s stock price of $73.00 implies a valuation ratio of 19x forward P/E. Read our free research report to see why you should think twice about including PRIM in your portfolio.
One Stock to Watch:
JBT Marel (JBTM)
One-Month Return: -6.5%
Tracing back to its invention of the mechanical milk bottle filler in 1884, JBT Marel (NYSE:JBTM) designs, manufactures, and sells equipment used for food processing and aviation.
Why Does JBTM Stand Out?
- Annual revenue growth of 54.6% over the last two years was superb and indicates its market share increased during this cycle
- Strong unit economics and 35.4% gross margin provide ample funds for marketing and new product development
- Earnings per share have massively outperformed its peers over the last two years, increasing by 30% annually
JBT Marel is trading at $114.49 per share, or 13.5x forward P/E. Is now a good time to buy? See for yourself in our in-depth research report, it’s free.
Stocks We Like Even More
ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively.
Find out which 5 stocks it’s flagging this month — FREE. Get Our Top 5 Growth Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+214% between June 2020 and June 2025). Find your next big winner with StockStory today.