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Stocks in the $10-50 range offer a sweet spot between affordability and stability as they’re typically more established than penny stocks. But their headline prices don’t guarantee quality, and investors should exercise caution as some have shaky business models.

These dynamics can cause headaches for even the most seasoned professionals, which is why we started StockStory - to help you separate the good companies from the bad. Keeping that in mind, here are three stocks under $50 to swipe left on and some alternatives you should look into instead.

Macy's (M)

Share Price: $11.20

With a storied history that began with its 1858 founding, Macy’s (NYSE:M) is a department store chain that sells clothing, cosmetics, accessories, and home goods.

Why Do We Think M Will Underperform?

1. Poor same-store sales performance over the past two years indicates it’s having trouble bringing new shoppers into its brick-and-mortar locations

2. Projected sales decline of 5.4% over the next 12 months indicates demand will continue deteriorating

3. Below-average returns on capital indicate management struggled to find compelling investment opportunities

Macy’s stock price of $11.20 implies a valuation ratio of 5x forward price-to-earnings. If you’re considering M for your portfolio, see our FREE research report to learn more.

G-III (GIII)

Share Price: $25.22

Founded as a small leather goods business, G-III (NASDAQ:GIII) is a fashion and apparel conglomerate with a diverse portfolio of brands.

Why Should You Dump GIII?

1. Sales stagnated over the last two years and signal the need for new growth strategies

2. Forecasted revenue decline of 2.4% for the upcoming 12 months implies demand will fall off a cliff

3. ROIC of 7.8% reflects management’s challenges in identifying attractive investment opportunities

G-III is trading at $25.22 per share, or 6.3x forward price-to-earnings. Dive into our free research report to see why there are better opportunities than GIII.

Mueller Water Products (MWA)

Share Price: $26.24

As one of the oldest companies in the water infrastructure industry, Mueller (NYSE:MWA) is a provider of water infrastructure products and flow control systems for various sectors.

Why Are We Wary of MWA?

1. Annual revenue growth of 2.8% over the last two years was below our standards for the industrials sector

2. Organic sales performance over the past two years indicates the company may need to make strategic adjustments or rely on M&A to catalyze faster growth

3. Demand will likely be soft over the next 12 months as Wall Street’s estimates imply tepid growth of 2.8%