Market swings can be tough to stomach, and volatile stocks often experience exaggerated moves in both directions. While many thrive during risk-on environments, many also struggle to maintain investor confidence when the ride gets bumpy.
At StockStory, our job is to help you avoid costly mistakes and stay on the right side of the trade. That said, here are two volatile stocks with massive upside potential and one that might not be worth the risk.
One Stock to Sell:
EverQuote (EVER)
Rolling One-Year Beta: 1.11
Aiming to simplify a once complicated process, EverQuote (NASDAQ: EVER) is an online insurance marketplace where consumers can compare and purchase various types of insurance from different providers
Why Are We Wary of EVER?
- Highly competitive market means it’s on the never-ending treadmill of sales and marketing spend
EverQuote is trading at $26.85 per share, or 8.3x forward EV/EBITDA. To fully understand why you should be careful with EVER, check out our full research report (it’s free for active Edge members).
Two Stocks to Watch:
Freshworks (FRSH)
Rolling One-Year Beta: 1.55
Starting as a customer service solution before expanding into a comprehensive software suite, Freshworks (NASDAQ: FRSH) provides AI-powered software-as-a-service solutions that help companies manage customer service, IT support, sales, and marketing functions.
Why Could FRSH Be a Winner?
- ARR trends over the last year show it’s maintaining a steady flow of long-term contracts that contribute positively to its revenue predictability
- Prominent and differentiated software leads to a top-tier gross margin of 84.8%
- FRSH is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders
At $12.30 per share, Freshworks trades at 3.9x forward price-to-sales. Is now the right time to buy? See for yourself in our full research report, it’s free for active Edge members.
Remitly (RELY)
Rolling One-Year Beta: 1.17
With Amazon founder Jeff Bezos as an early investor, Remitly (NASDAQ: RELY) is an online platform that enables consumers to safely and quickly send money globally.
Why Is RELY a Good Business?
- Has the opportunity to boost monetization through new features and premium offerings as its active customers have grown by 31.9% annually over the last two years
- Performance over the past three years shows its incremental sales were extremely profitable, as its annual earnings per share growth of 74.6% outpaced its revenue gains
- Free cash flow margin jumped by 24.7 percentage points over the last few years, giving the company more resources to pursue growth initiatives, repurchase shares, or pay dividends
Remitly’s stock price of $13.80 implies a valuation ratio of 9.3x forward EV/EBITDA. Is now a good time to buy? Find out in our full research report, it’s free for active Edge members.
Stocks We Like Even More
Your portfolio can’t afford to be based on yesterday’s story. The risk in a handful of heavily crowded stocks is rising daily.
The names generating the next wave of massive growth are right here in our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 244% over the last five years (as of June 30, 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 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.
