1 Unpopular Stock That Deserves a Second Chance and 2 Facing Headwinds

1 Unpopular Stock That Deserves a Second Chance and 2 Facing Headwinds

Wall Street has issued downbeat forecasts for the stocks in this article. These predictions are rare - financial institutions typically hesitate to say bad things about a company because it can jeopardize their other revenue-generating business lines like M&A advisory.

Whatever the consensus opinion may be, our team at StockStory cuts through the noise by conducting independent analysis to determine a company's long-term prospects. That said, here is one stock poised to prove Wall Street wrong and two where the outlook is warranted.

Two Stocks to Sell:

Albany (AIN)

Consensus Price Target: $58.67 (-21.2% implied return)

Founded in 1895, Albany (NYSE:AIN) is a global textiles and materials processing company, specializing in machine clothing for paper mills and engineered composite structures for aerospace and other industries.

Why Is AIN Risky?

Flat sales over the last two years suggest it must find different ways to grow during this cycle Free cash flow margin shrank by 5.2 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive Shrinking returns on capital from an already weak position reveal that neither previous nor ongoing investments are yielding the desired results

Albany's stock price of $74.44 implies a valuation ratio of 1.8x trailing 12-month price-to-sales. To fully understand why you should be careful with AIN, check out our full research report (it's free).

International Paper (IP)

Consensus Price Target: $39.36 (2.7% implied return)

Established in 1898, International Paper (NYSE:IP) produces containerboard, pulp, paper, and materials used in packaging and printing applications.

Why Are We Out on IP?

Annual sales growth of 3.9% over the last five years lagged behind its industrials peers as its large revenue base made it difficult to generate incremental demand Earnings per share fell by 15.5% annually over the last five years while its revenue grew, showing its incremental sales were much less profitable Shrinking returns on capital from an already weak position reveal that neither previous nor ongoing investments are yielding the desired results

At $38.32 per share, International Paper trades at 22.2x forward P/E. If you're considering IP for your portfolio, see our FREE research report to learn more.

One Stock to Buy:

Progressive (PGR)

Consensus Price Target: $230.86 (2.4% implied return)

Starting as a small auto insurance company in 1937 with a pioneering focus on high-risk drivers, Progressive (NYSE:PGR) is a major auto, property, and commercial insurance provider that offers policies through independent agents, online platforms, and over the phone.

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Why Will PGR Outperform?

Market penetration was impressive this cycle as its net premiums earned expanded by 16.5% annually over the last two years Incremental sales significantly boosted profitability as its annual earnings per share growth of 41.6% over the last two years outstripped its revenue performance Stellar return on equity showcases management's ability to surface highly profitable business ventures

Progressive is trading at $225.55 per share, or 3.6x forward P/B. Is now the right time to buy? See for yourself in our full research report, it's free.

High-Quality Stocks for All Market Conditions

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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 Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.

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