1 Undervalued Stock Poised for a Rebound and 2 Encountering Obstacles

Stocks Hitting New Lows: What It Means for Investors

When a stock reaches its lowest price in a year, it can signal a critical turning point. Sometimes, this marks the start of a recovery, while in other cases, it highlights ongoing challenges for the company.

Stock price movements only reveal part of the picture. At StockStory, we dig deeper into each company's financial health to distinguish between short-term troubles and more fundamental issues. Below, we highlight one stock that could present a buying opportunity and two others where caution is warranted.

Two Stocks to Consider Selling

Angi (ANGI)

One-Month Performance: -38.9%

Formed through the merger of Angie’s List and HomeAdvisor under IAC, Angi (NASDAQ: ANGI) is the largest digital platform for home services in the United States.

Reasons for Concern with ANGI:

• Customer acquisition has been a challenge, with service requests dropping by an average of 21.3%.
• Analysts expect lackluster demand in the coming year, projecting only 1.1% growth.
• The company operates in a fiercely competitive sector, requiring constant investment in sales and marketing just to keep pace.

Currently, Angi trades at $7.80 per share, reflecting a forward EV/EBITDA ratio of 3.7.

AECOM (ACM)

One-Month Performance: +0.9%

Established in 1990 through the merger of five engineering firms, AECOM (NYSE: ACM) offers a range of consulting services for infrastructure projects.

Why We’re Wary of ACM:

• Over the past two years, the company has struggled to secure new contracts, resulting in an average 4% decline in its project backlog.
• With an operating margin of just 4.8%, AECOM has limited resources to improve operations or fend off competitors.
• Weak free cash flow generation restricts its ability to reinvest, buy back shares, or return capital to shareholders.

AECOM is currently priced at $97.72 per share, with a forward P/E ratio of 16.5.

One Stock Worth Watching

Boston Scientific (BSX)

One-Month Performance: -16.8%

Boston Scientific (NYSE: BSX), founded in 1979, specializes in developing and producing medical devices for minimally invasive procedures across cardiovascular, urological, neurological, and gastrointestinal fields.

Why We’re Optimistic About BSX:

• The company’s core business segments have delivered strong organic growth, averaging 16.6% over the past two years, without relying on major acquisitions.
• Over the last five years, earnings per share have grown by 26% annually, outpacing revenue growth and indicating high profitability from additional sales.
• Boston Scientific’s free cash flow margin has improved by 7 percentage points in five years, giving it more flexibility for investments, share repurchases, and dividends.

Boston Scientific is currently valued at $76.48 per share, with a forward P/E of 21.9. Wondering if it’s the right time to invest?

Our Top Stock Picks

Don’t Miss: The 9 Stocks Outperforming the Market

The most successful stocks consistently deliver strong results—year after year. These companies stand out for their impressive revenue growth, expanding free cash flow, and exceptional returns on capital. Investors have already recognized their achievements.

But according to our AI-driven analysis, there’s still room for further gains. Discover which nine stocks made our list this week—completely free.

Our 2020 selections included well-known names like Nvidia, which soared 1,326% from June 2020 to June 2025, as well as lesser-known companies such as Kadant, which delivered a 351% five-year return.