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2 Safe-and-Steady Stocks to Keep an Eye On and 1 Facing Challenges

HON Cover Image

Low-volatility stocks may offer stability, but that often comes at the cost of slower growth and the upside potential of more dynamic companies.

Finding the right balance between safety and returns isn’t easy, which is why StockStory is here to help. That said, here are two low-volatility stocks providing safe-and-steady growth and one stuck in limbo.

One Stock to Sell:

Honeywell (HON)

Rolling One-Year Beta: 0.73

Originally founded in 1906 as a thermostat company, Honeywell (NASDAQ: HON) is a multinational conglomerate known for its aerospace systems, building technologies, performance materials, and safety and productivity solutions.

Why Are We Wary of HON?

  1. Absence of organic revenue growth over the past two years suggests it may have to lean into acquisitions to drive its expansion
  2. Estimated sales growth of 4.8% for the next 12 months is soft and implies weaker demand
  3. 2.6 percentage point decline in its free cash flow margin over the last five years reflects the company’s increased investments to defend its market position

Honeywell is trading at $216.99 per share, or 20.2x forward P/E. Check out our free in-depth research report to learn more about why HON doesn’t pass our bar.

Two Stocks to Watch:

Amgen (AMGN)

Rolling One-Year Beta: 0.40

Founded in 1980 during the early days of the biotechnology revolution, Amgen (NASDAQ: AMGN) is a biotechnology company that discovers, develops, and manufactures innovative medicines to treat serious illnesses like cancer, osteoporosis, and autoimmune diseases.

Why Does AMGN Stand Out?

  1. Annual revenue growth of 14.6% over the last two years beat the sector average and underscores the unique value of its offerings
  2. Economies of scale give it more fixed cost leverage than its smaller competitors
  3. AMGN is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders

At $284.72 per share, Amgen trades at 13.6x forward P/E. Is now the time to initiate a position? Find out in our full research report, it’s free.

BioMarin Pharmaceutical (BMRN)

Rolling One-Year Beta: 0.53

Pioneering treatments for conditions that often had no previous therapeutic options, BioMarin Pharmaceutical (NASDAQ: BMRN) develops and commercializes therapies that address the root causes of rare genetic disorders, particularly those affecting children.

Why Are We Positive On BMRN?

  1. Annual revenue growth of 17.1% over the past two years was outstanding, reflecting market share gains this cycle
  2. Incremental sales significantly boosted profitability as its annual earnings per share growth of 22.2% over the last five years outstripped its revenue performance
  3. Free cash flow margin increased by 13.6 percentage points over the last five years, giving the company more capital to invest or return to shareholders

BioMarin Pharmaceutical’s stock price of $59.76 implies a valuation ratio of 13.4x forward P/E. Is now the right time to buy? See for yourself in our in-depth research report, it’s free.

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 5 Growth Stocks for this month. 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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