Most Volatile Stocks in the US (October 2024)

For this screener, the filters have been chosen to identify mid-cap stocks with a high level of volatility. 

Market Cap: By focusing on companies with a market capitalization between $250 million and $2 billion, we target businesses that are sizable enough to offer liquidity and stability, yet small enough to experience significant growth potential and market fluctuations. 

Beta (1 Year): A Beta greater than 1 indicates that these stocks are more volatile than the overall market, which can be attractive for investors seeking higher returns in exchange for higher risk. This combination of mid-cap stocks with high volatility aims to present opportunities for substantial gains, ideal for those with a higher risk tolerance.

• Market Cap: $394 M
• Beta: 2.85

✔️ Liquid assets exceed short term obligations

✔️ Strong Return over the last month

3D Systems Corporation provides 3D printing and digital manufacturing solutions. The company offers 3D printers technologies, such as stereolithography (SLA), selective laser sintering, direct metal printing, multi jet printing, color jet printing, polymer extrusion, and more.

• Market Cap: $526.7 M
• Beta: 3.7

✔️ Holds more cash than debt on its balance sheet

✔️ Trading at a low P/E multiple relative to near-term earnings growth

Scientific Energy, Inc., together with its subsidiaries, focuses on e-commerce platform business. It is involved in developing a website that provides an e-commerce platform, where registered members could exchange goods and services.

• Market Cap: $335 M
• Beta: 2.06

✔️ Trading at a low revenue valuation multiple

✔️ High shareholder yield

Stitch Fix, Inc., sells a range of apparel, shoes, and accessories for women’s, petite, maternity, men’s, plus, and kids through its website and mobile application in the United States. It offers denim, dresses, blouses, skirts, shoes, jewelry, and handbags under the Stitch Fix brand.

• Market Cap: $668.6 M
• Beta: 3.23

✔️ Holds more cash than debt on its balance sheet

✔️ Impressive gross profit margins

Jumia Technologies AG operates an e-commerce platform in West Africa, North Africa, East and South Africa, Europe, the United Arab Emirates, and internationally. The company’s platform consists of marketplace that connects sellers with customers; logistics service, which enables the shipment and delivery of packages from sellers to consumers; and payment service, which facilitates transactions to participants active on the company’s platform in selected markets under the JumiaPay name.

• Market Cap: $516.5 M
• Beta: 1.13

✔️ Impressive gross profit margins

✔️ Valuation implies a strong free cash flow yield

Lands’ End, Inc. operates as a digital retailer of apparel, swimwear, outerwear, accessories, footwear, home products, and uniform in the United States, Europe, Asia, and internationally. It operates through U.S. eCommerce, International, Outfitters, Third Party, and Retail segments. The company also sells uniform and logo apparel.

• Market Cap: $389.3 M
• Beta: 1.69

✔️ Holds more cash than debt on its balance sheet

✔️ Strong return over the last 5 years

Lifeway Foods, Inc. produces and markets probiotic-based products in the United States and internationally. Its primary product is drinkable kefir, a cultured dairy product in various organic and non-organic sizes, flavors, and types.

• Market Cap: $579.1 M
• Beta: 2.13

✔️ Impressive gross profit margins

✔️ Management has been aggressively buying back shares

CEVA, Inc. provides silicon and software IP solutions to semiconductor and original equipment manufacturer (OEM) companies worldwide. Its 5G mobile and infrastructure products include Ceva-XC vector digital signal processors (DSPs) for 5G handsets, 5G RAN, and general-purpose baseband processing.

You can find volatile stocks easily using Investing Pro. Here are the steps:

• Click on the Screener tool.
• Select ‘Market Cap’ as a filter and set the values between $250 million and $2 billion (2,000 million)
• For US-centric stocks, select ‘United States’ under the ‘Trading Region’ tab drop-down, and make sure to check (select) the ‘Primary Trading Item’ option.

• Add a filter for ‘Beta (1 Year)’ greater than 1

Volatile stocks are those that experience significant price fluctuations over a short period. These fluctuations can be caused by various factors such as news, earnings reports, market sentiment, or changes in industry trends.

Volatility can stem from a variety of factors including market conditions, company performance, investor sentiment, and external events. Stocks of newer or smaller companies, for example, tend to be more volatile as they are more susceptible to market shifts and news.

Investing in volatile stocks can be risky due to the potential for large price swings. While volatility can lead to quick gains, it can also result in significant losses if the market moves against you. Additionally, volatile stocks may be more prone to sudden downturns or crashes.

Diversification is key to managing risk in any investment portfolio. By spreading your investments across different asset classes and sectors, you can reduce the impact of volatility on your overall portfolio. It’s also important to conduct thorough research and stay informed about the companies you’re investing in.

Some investors specialize in trading volatile stocks, employing strategies such as momentum trading, swing trading, or day trading. These strategies involve buying and selling stocks quickly to capitalize on short-term price movements. However, they require a high level of skill and discipline.