Stability is great, but low-volatility stocks may struggle to deliver market-beating returns over time as they sometimes underperform during bull markets.

Finding the right balance between safety and returns isn’t easy, which is why StockStory is here to help. Keeping that in mind, here is one low-volatility stock that could succeed under all market conditions and two that may not keep up.

Rolling One-Year Beta: 0.56

Largely targeting the professional customer, Genuine Parts (NYSE:GPC) sells auto and industrial parts such as batteries, belts, bearings, and machine fluids.

Why Are We Wary of GPC?

Sizable revenue base leads to growth challenges as its 4% annual revenue increases over the last three years fell short of other consumer retail companies

Disappointing same-store sales over the past two years show customers aren’t responding well to its product selection and store experience

Free cash flow margin dropped by 3.3 percentage points over the last year, implying the company became more capital intensive as competition picked up

At $136.82 per share, Genuine Parts trades at 16.5x forward P/E. If you’re considering GPC for your portfolio, see our FREE research report to learn more.

Rolling One-Year Beta: 0.85

Started as a family business, Latham (NASDAQ:SWIM) is a global designer and manufacturer of in-ground residential swimming pools and related products.

Why Do We Think SWIM Will Underperform?

Sales trends were unexciting over the last five years as its 8.9% annual growth was below the typical consumer discretionary company

Operating margin of 4.8% falls short of the industry average, and the smaller profit dollars make it harder to react to unexpected market developments

Projected 1.1 percentage point decline in its free cash flow margin next year reflects the company’s plans to increase its investments to defend its market position

Latham is trading at $6.84 per share, or 38.7x forward P/E. Check out our free in-depth research report to learn more about why SWIM doesn’t pass our bar.

Rolling One-Year Beta: 0.57

Operating one of Latin America's leading PIN debit networks called ATH, EVERTEC (NYSE:EVTC) is a payment transaction processor and financial technology provider that enables merchants and financial institutions across Latin America and the Caribbean to accept and process electronic payments.

Why Are We Backing EVTC?

Annual revenue growth of 16.8% over the last two years was superb and indicates its market share increased during this cycle

Earnings per share have grown at a respectable 12.5% annual rate over the last five years, a bit better than the industry average

Industry-leading 30.8% return on equity demonstrates management’s skill in finding high-return investments

EVERTEC’s stock price of $31.20 implies a valuation ratio of 8x forward P/E. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free.

If your portfolio success hinges on just 4 stocks, your wealth is built on fragile ground. You have a small window to secure high-quality assets before the market widens and these prices disappear.

Don’t wait for the next volatility shock. Check out 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-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today.