Stocks with low volatility can be a great foundation for a portfolio, especially for investors looking to reduce risk. While they don’t often make headlines, these companies provide consistency in an unpredictable market.
Identifying the best investments takes time and skill, which is why we built StockStory. Keeping that in mind, here are three low-volatility stocks that could offer consistent gains.
McDonald's (MCD)
Rolling One-Year Beta: 0.28
With nicknames spanning Mickey D's in the U.S. to Makku in Japan, McDonald’s (NYSE:MCD) is a fast-food behemoth known for its convenience and broken ice cream machines.
Why Could MCD Be a Winner?
- Fast expansion of new restaurants to reach markets with few or no locations is justified by its same-store sales growth
- Attractive franchise model leads to wonderful unit economics and a best-in-class gross margin of 57.2%
- MCD is a free cash flow machine with the flexibility to invest in growth initiatives or return capital to shareholders, and its improved cash conversion implies it’s becoming a less capital-intensive business
At $235.62 per share, McDonald's trades at 17.8x forward P/E. Is now the right time to buy? Find out in our full research report, it’s free.
Federated Hermes (FHI)
Rolling One-Year Beta: 0.30
With roots dating back to 1955 and a pioneering role in money market funds, Federated Hermes (NYSE:FHI) is an investment management firm that offers a wide range of funds and strategies for institutional and individual investors.
Why Do We Like FHI?
- 10.2% annual revenue growth over the last two years was better than the sector average, highlighting the value of its products and services
- Share buybacks propelled its annual earnings per share growth to 21.1%, which outperformed its revenue gains over the last two years
Federated Hermes’s stock price of $56.07 implies a valuation ratio of 9.9x forward P/E. Is now the time to initiate a position? See for yourself in our in-depth research report, it’s free.
Tradeweb Markets (TW)
Rolling One-Year Beta: 0.16
Founded in 1996 as one of the pioneers in electronic bond trading, Tradeweb Markets (NASDAQ:TW) builds and operates electronic marketplaces that connect financial institutions for trading across rates, credit, equities, and money markets.
Why Is TW a Good Business?
- Annual revenue growth of 20.8% over the past two years was outstanding, reflecting market share gains this cycle
- Incremental sales over the last five years have been more profitable as its earnings per share increased by 21% annually, topping its revenue gains
Tradeweb Markets is trading at $110.59 per share, or 25.7x forward P/E. Is now a good time to buy? Find out in our full research report, it’s free.
Stocks We Like Even More
ONE MORE THING: Top 6 Stocks for This Week. This market is separating quality stocks from expensive ones fast. AI is taking down whole sectors with no warning. In a rotation this fast, you need more than a list of good companies.
Our AI system flagged Palantir before it ran 1,662% between October 2022 and February 2026. AppLovin before it ran 753% between February 2024 and February 2026. Nvidia before it ran 1,178% between January 2023 and February 2026. Each week it produces 6 new names that pass the same tests. Get Our Top 6 Stocks for Free HERE.
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+214% between June 2020 and June 2025). Find your next big winner with StockStory today.