Investing
5 Well-Known 'Strong Buy' Stocks Under $10 With Massive Potential Upside
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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.
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We screened our 24/7 Wall St. research database looking for well-known companies that could very well offer patient investors some huge returns for the rest of 2022 and beyond. Skeptics of low-priced shares should remember that at one point both Amazon and Apple traded in the single digits. One stock we featured over the years, Zynga, recently was purchased by Take-Two Interactive.
While all five stocks are rated Buy, it is important to remember that no single analyst report should be used as a sole basis for any buying or selling decision.
The takeover chatter around this company has been incessant over the past few years. GoPro Inc. (NASDAQ: GPRO) develops and sells cameras, drones and mountable and wearable accessories in the United States and internationally.
The company offers the following:
Jefferies has a $12 price target on GoPro stock. The consensus target is $12.08, and the stock last traded on Friday at $7.15 per share.
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.
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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.
Canaccord Genuity has set its price objective at $13. The consensus price on Lantronix stock is $12.75. The shares closed Friday at $5.57 apiece.
This stock has traded sideways all year long and looks poised to break out. Nerdy Inc. (NASDAQ: NRDY) operates a platform for live online learning. The company’s purpose-built proprietary platform leverages technology, including artificial intelligence, to connect learners of various ages to experts, delivering value on both sides of the network.
The company’s learning destination provides learning experiences across various subjects and multiple formats, including one-on-one instruction, small group classes, large format group classes and adaptive self-study. The company’s flagship business, Varsity Tutors, operates platforms for live online tutoring and classes. Its solutions are available directly to learners, as well as through schools and other institutions
Insiders have been loading up on the shares over the past month. Founder Chris Cohn bought $1,000,000 worth of stock at $5.12 a share, and shares have backed up since then.
Needham’s $8 target price is lower than the $8.56 consensus target. The stock last traded at $3.38 a share on Friday.
This stock has broken out and could be ready to run. Southwestern Energy Co. (NYSE: SWN) is an independent energy company engaged in the exploration, development and production of natural gas, oil, and natural gas liquids (NGLs) in the United States. The company focuses on the development of unconventional natural gas and oil reservoirs located in Pennsylvania, West Virginia, Ohio and Louisiana.
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As of December 31, 2021, it had approximately 768,050 net acres in Appalachia; 1,527 wells on production; and approximately proved natural gas, oil and NGLs reserves of 21,148 billion cubic feet of natural gas equivalent.
Southwestern Energy also engages in the marketing and transportation of natural gas, oil and NGLs. The company serves liquefied natural gas (LNG) exporters, energy companies, utilities and industrial purchasers of natural gas.
The Southwestern Energy stock price target at Seaport Global Securities is $9 but may be ready to move higher. The consensus target of $10.46 compares with a closing share price of $7.30 on Friday.
This is another energy stock that has put in a long base and looks ready to break out and move higher. Tetra Technologies Inc. (NYSE: TTI) is a geographically diversified oil and gas services company, that engages in the completion of fluids and associated products and services.
Its Completion Fluids and Products division manufactures and markets clear brine fluids, additives and associated products and services to the oil and gas industry. The Water and Flowback Services division provides onshore oil and gas operators with comprehensive water management services.
The $6 Stifel target price was just raised to $7. The consensus target is $5.50. Tetra Technologies stock closed trading at $4.51 on Friday.
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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