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1 Volatile Stock for Long-Term Investors and 2 We Avoid

HOOD Cover Image

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.

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 that could deliver huge gains and two that might not be worth the risk.

Two Stocks to Sell:

Lindblad Expeditions (LIND)

Rolling One-Year Beta: 1.97

Founded by explorer Sven-Olof Lindblad in 1979, Lindblad Expeditions (NASDAQ:LIND) offers cruising experiences to remote destinations in partnership with National Geographic.

Why Is LIND Not Exciting?

  1. Subpar operating margin of 3.8% constrains its ability to invest in process improvements or effectively respond to new competitive threats
  2. Capital intensity will likely ramp up in the next year as its free cash flow margin is expected to contract by 2.4 percentage points
  3. Push for growth has led to negative returns on capital, signaling value destruction

At $12.37 per share, Lindblad Expeditions trades at 6x forward EV-to-EBITDA. Dive into our free research report to see why there are better opportunities than LIND.

Sealed Air (SEE)

Rolling One-Year Beta: 1.26

Founded in 1960, Sealed Air Corporation (NYSE: SEE) specializes in the development and production of protective and food packaging solutions, serving a variety of industries.

Why Should You Dump SEE?

  1. Declining unit sales over the past two years imply it may need to invest in improvements to get back on track
  2. Sales were less profitable over the last two years as its earnings per share fell by 3.9% annually, worse than its revenue declines
  3. Waning returns on capital imply its previous profit engines are losing steam

Sealed Air’s stock price of $34.85 implies a valuation ratio of 11.5x forward P/E. Read our free research report to see why you should think twice about including SEE in your portfolio.

One Stock to Buy:

Robinhood (HOOD)

Rolling One-Year Beta: 3.22

With a mission to democratize finance, Robinhood (NASDAQ:HOOD) is an online consumer finance platform known for its commission-free stock and crypto trading.

Why Should You Buy HOOD?

  1. Customers are spending more money on its platform as its average revenue per user has increased by 40.9% annually over the last two years
  2. Incremental sales significantly boosted profitability as its annual earnings per share growth of 54.6% over the last three years outstripped its revenue performance
  3. Strong free cash flow margin of 67% enables it to reinvest or return capital consistently, and its rising cash conversion increases its margin of safety

Robinhood is trading at $139.75 per share, or 43.5x forward EV/EBITDA. Is now the right time to buy? Find out in our full research report, it’s free for active Edge members.

Stocks We Like Even More

When Trump unveiled his aggressive tariff plan in April 2025, markets tanked as investors feared a full-blown trade war. But those who panicked and sold missed the subsequent rebound that’s already erased most losses.

Don’t let fear keep you from great opportunities and take a look at Top 6 Stocks for this week. 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-small-cap company Comfort Systems (+782% 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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