Investing

Goldman Sachs Has 5 Buy-Rated Stocks Under $10 With 100% to 700% Upside Potential

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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. For those leery of low-priced shares, just remember that Amazon and Apple at once time traded in the single digits.

Goldman Sachs is the premier investment bank in the world, so we screened its outstanding research database and found five stocks trading under the $10 level that could provide investors with upside potential ranging from over 100% to an astounding 700%.

While all five are rated Buy at Goldman Sachs, they are much better suited for very aggressive investors. It also is important to remember that no single analyst report should be used as a sole basis for any buying or selling decision.

Alignment Healthcare

This stock is well liked across Wall Street and offers investors a safer, aggressive idea. Alignment Healthcare Inc. (NASDAQ: ALHC), a tech-enabled Medicare advantage company, operates a consumer-centric health care platform. It provides customized health care in the United States to seniors and those who need it through its Medicare advantage plans.

The company owns Medicare advantage plans in California, North Carolina and Nevada. It also coordinates and provides covered health care services, including professional, institutional and ancillary services, to members enrolled in certain benefit plans of unaffiliated Medicare Advantage Health Maintenance Organizations.

Goldman Sachs has an $18 target price, which compares with a $16.22 consensus target. The shares closed on Friday at $9.33.

Codiak BioSciences

This small-cap biotech has been pounded but has giant upside potential. Codiak BioSciences Inc. (NASDAQ: CDAK) is a clinical-stage biopharmaceutical company focused on developing exosome-based therapeutics for the treatment of oncology, neuro-oncology, neurology, neuromuscular diseases, infectious diseases and other diseases.
The company’s lead product candidates are exoSTING and exoIL-12, exosome therapeutic candidates, for the treatment of various solid tumors. The company is also developing exoASO-STAT6 (an antisense oligonucleotide targeting the STAT6 transcription factor), exoASO-NLRP3 (for multiple sclerosis, neuropathy and neurodegeneration) and exoVACC (a modular platform for constructing precision vaccines).

Codiak BioSciences has collaboration agreements with Jazz Pharmaceuticals Ireland, Sarepta Therapeutics, Kayla Therapeutics, Washington University, Ragon Institute of MGH, MIT and Harvard.

The Goldman Sachs price target is $19, and the consensus is even higher at $21. The shares last traded on Friday at $4.51.

IronSource

Traders looking for an interesting tech idea might have just the stock to look at now. IronSource Ltd. (NYSE: IS) operates a business platform for app developers and telecom operators.

The company’s platforms include Sonic solution suite that supports developers to launch, monetize and scale their apps and games by providing solutions for app discovery, user growth, content monetization, analytics and publishing. Its Aura solution suite allows telecom operators to enrich the device experience by creating new engagement touchpoints that deliver relevant content for their users across the entire lifecycle of the device.

The company announced earlier this year that its Platform now supports Custom Product Pages, a newly released feature in the latest Apple iOS 15 update. Custom Product Pages allow developers to create multiple versions of each App Store product page, targeted to different user segments.

Each page can highlight a specific feature, creative or message likely to interest specific users, and the IronSource Platform allows developers to send users to the relevant customized product page. By providing a more relevant and personalized App Store experience, Custom Product Pages are expected to drive higher installs, helping developers more efficiently scale their app’s growth.

The $14 Goldman Sachs price target is well above the $11.39 consensus target. Shares closed trading at $4.70 on Friday.

Lyell Immunopharma

This micro-cap biotech could be the huge home run aggressive traders are looking for. Lyell Immunopharma Inc. (NASDAQ: LYEL) is a T cell reprogramming company, engaged in developing T cell therapies for patients with solid tumors.
The company develops therapies using technology platforms, such as Gen-R, an ex vivo genetic reprogramming technology to overcome T cell exhaustion; and Epi-R, an ex vivo epigenetic reprogramming technology to generate a population of T cells with durable stemness.

Lyell Immunopharma’s pipeline includes LYL797, a T cell product candidate for the treatment of non-small cell lung cancer and triple negative breast cancers; LYL845 for multiple solid tumors; and NY-ESO-1 for synovial sarcoma and other solid tumor indications.

Goldman Sachs has set its price target at $31. The consensus target is $22, and shares last traded on Friday at $6.55. Hitting the target price would be a 400% gain.

Sonendo

This is another company with a solid following across Wall Street. Sonendo Inc. (NASDAQ: SONX) is a commercial-stage medical technology company that develops, manufactures and commercializes devices for root canal therapy in the United States and Canada. It provides GentleWave, a tooth decay treatment device for cleaning and disinfecting the microscopic spaces within teeth without the need to remove the tooth structure.

The company also offers SoundSeal, a material used to build and create a sealing platform on the top of the crown. Its Sonendo-branded liquid solution of ethylenediaminetetraacetic acid is used to help debride and disinfect the root canal system. In addition, it provides The Digital Office, a practice management software that integrates digital offices for dental practitioners.

The price target at Goldman Sachs is an incredible $30. The consensus target is $16.98, and shares were last seen trading on Friday at $3.12. If the stock hits the Goldman Sachs price objective investors, would reap a massive 700% gain.


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.

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