Investing
5 Very Well-Known Stocks to Buy Under $10 With Serious Upside Potential
Published:
Last Updated:
While most of Wall Street focuses on large-cap and mega-cap stocks, as they provide a degree of safety and liquidity, many investors are limited in the number of shares they can buy. Many of the biggest public companies, especially the technology giants, trade in the hundreds, all the way up to over $1,000 per share or more. At those steep prices, it is difficult to get any decent share count leverage.
Many investors, especially more aggressive traders, look at lower-priced stocks as a way not only to make some good money but to get a higher share count. That can really help the decision-making process, especially when you are on to a winner, as you can always sell half and keep half.
Each week we screen our 24/7 Wall St. research database looking for stocks rated Buy at major firms priced under the $10 level, and this week was no exception as we found five new stocks that could provide investors with some solid upside potential. Skeptics of low-priced shares should remember that at one point both Amazon and Apple traded in the single digits.
While more suited for aggressive investors (and with the number of new traders skyrocketing over the past year and making good ideas to trade even harder to find), they could prove exciting additions for traders looking for solid alpha potential. It is important to remember that no single analyst report should be used as a sole basis for any buying or selling decision.
This is a small-cap gold stock for aggressive investors looking for sector exposure. B2Gold Corp. (NYSE: BTG) is a global, growth-oriented mid-tier gold producer whose primary assets include gold mines located in Nicaragua (La Libertad and El Limon), the Philippines (Masbate) and Namibia (Otjikoto) and Mali (Fekola).
Last year, the company announced positive drill results from the Mamba zone, which is located within the Anaconda area, approximately 20 kilometers from the Fekola Mine, as well as positive infill drill results from the Fekola mineral resource area and step-out results north of the Fekola resource.
Investors receive a strong 4.34% dividend. Raymond James has a $6.50 price target on B2Gold stock, and the consensus target is $6.20. The shares closed on Friday at $3.69 apiece.
The top master limited partnership is a very safe way for investors looking for energy exposure and income. Energy Transfer L.P. (NYSE: ET) owns and operates one of the largest and most diversified portfolios of energy assets in the United States, with a strategic footprint in all of the major domestic production basins.
The company is a publicly traded limited partnership with core operations that include complementary natural gas midstream, intrastate and interstate transportation and storage assets; crude oil, natural gas liquids (NGL) and refined product transportation and terminalling assets; NGL fractionation; and various acquisition and marketing assets.
Through its ownership of Energy Transfer Operating, formerly known as Energy Transfer Partners, the company also owns Lake Charles LNG, as well as the general partner interests, the incentive distribution rights and 28.5 million common units of Sunoco, and the general partner interests and 39.7 million common units of USA Compression Partners.
Investors receive a 7.31% distribution. This past week, Wells Fargo raised its $13 price target to $15. The consensus target on Energy Transfer stock is $13.82. The shares were last seen on Friday at $8.35.
This company is producing solid revenue and is a great idea for aggressive traders. Lantronix Inc. (NASDAQ: LTRX) provides software as a service (SaaS), engineering services, and hardware for edge computing, the Internet of Things (IoT), and remote environment management (REM) in the Americas, Europe, the Middle East, Africa, and the Asia Pacific Japan.
The company’s IoT products include IoT Connectivity, which provides wired and wireless connections that enhance the value and utility of modern electronic systems and equipment through secure network connectivity, application hosting, protocol conversion, secure access for distributed IoT deployments, and various other functions.
Further, its SaaS platform enables customers to deploy, monitor, manage and automate across their global deployments through a single platform login. The company offers its products through value-added resellers, systems integrators, distributors, online retailers and original equipment manufacturers, and it has an e-commerce site for direct sales. Lantronix was founded in 1989 and is headquartered in Irvine, California.
The $13 Needham price target is well above the $8.67 consensus target. Lantronix stock closed at $6.73 a share on Friday.
This very well-known oilfield services stock offers more conservative traders a solid energy play. Patterson-UTI Energy Inc. (NASDAQ: PTEN) provides onshore contract drilling services to oil and natural gas operators in the United States and Canada. It operates through three segments.
The Contract Drilling Services segment markets its contract drilling services, primarily in west Texas and southeastern New Mexico, north central and east Texas, northern Louisiana, Colorado, Wyoming, North Dakota, south Texas, western Oklahoma, Pennsylvania, Ohio and West Virginia.
The Pressure Pumping Services segment offers pressure pumping services that consist of well stimulation for the completion of new wells and remedial work on existing wells, as well as hydraulic fracturing, cementing and acid pumping services in Texas and the Appalachian region.
The Directional Drilling Services segment provides a suite of directional drilling services, including directional drilling and measurement-while-drilling services; supply and rental of downhole performance motors and wireline steering tools; and services that enhance the accuracy of horizontal wellbore placement.
Investors are paid a 1% dividend. Morgan Stanley has set a $12 target price on Patterson-UTI Energy stock. The consensus target is $11.06. On Friday, shares closed at $8.01 apiece.
More and more people are using satellite radio, and this is a solid idea for aggressive investors. Sirius XM Holdings Inc. (NASDAQ: SIRI) is the world’s largest radio company measured by revenue, and it has approximately 33.1 million subscribers. The company creates and offers commercial-free music; premier sports talk and live events; comedy; news; exclusive talk and entertainment; and a wide-range of Latin music, sports and talk programming. Sirius XM is available in vehicles from every major car company and on smartphones and other connected devices as well as online.
Sirius XM is also a leading provider of connected vehicles services, giving customers access to a suite of safety, security and convenience services, including automatic crash notification, stolen vehicle recovery assistance, enhanced roadside assistance and turn-by-turn navigation.
Shareholders receive a 1.38% dividend. The $7.50 BofA Securities price target may be going higher soon, while consensus target for Sirius XM stock is $7.16. Shares closed on Friday at $6.38.
These are five stocks for aggressive investors looking to get share count leverage on companies that have sizable upside potential. While not suited for all investors, they are not penny stocks with absolutely no track record or liquidity, and major Wall Street firms have research coverage. Energy and commodities could be big 2022 plays and here are some great ideas for investors looking for companies that fit the bill.
Want retirement to come a few years earlier than you’d planned? Or are you ready to retire now, but want an extra set of eyes on your finances?
Now you can speak with up to 3 financial experts in your area for FREE. By simply clicking here you can begin to match with financial professionals who can help you build your plan to retire early. And the best part? The first conversation with them is free.
Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.
Have questions about retirement or personal finance? Email us at [email protected]!
By emailing your questions to 24/7 Wall St., you agree to have them published anonymously on a673b.bigscoots-temp.com.
By submitting your story, you understand and agree that we may use your story, or versions of it, in all media and platforms, including via third parties.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.