Investing
5 Sizzling Well-Known Stocks Under $10 With Giant Upside Potential
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Most of Wall Street focuses on large-cap and mega-cap stocks. After all, they provide a degree of safety and liquidity. Yet, 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. Then you can always sell half and keep half.
Skeptics of low-priced shares should remember that at one point Amazon, Apple and Netflix traded in the single digits. Nvidia, which has exploded higher on AI semiconductor chips, traded under $10 for years. One stock we featured over the years, Zynga, was purchased by Take-Two Interactive. Cogent Biosciences, which we featured last March, has tripled since then. (Last week’s under $10 stock picks included Fisker and SoundHound AI.)
We screened our 24/7 Wall St. research database for smaller cap companies that could offer patient investors some huge returns going forward. These five under $10 stock picks are rated Buy and have a ton of Wall Street coverage. Yet, it is important to remember that no single analyst report should be used as a sole basis for any buying or selling decision.
Do-it-yourself car enthusiasts know this old-school company well. Holley Inc. (NYSE: HLLY) designs, manufactures and markets automotive aftermarket products for car and truck enthusiasts in the United States, Canada, Europe and China.
The company’s products include the following:
The company sells its products under the Holley, Holley EFI, APR, MSD, Flowmaster, Powerteq, Accel and Simpson brands to retailers directly, as well as through distributors and online channels.
The stock was recently added to the small-cap Russell 2000, which is a huge advantage as index funds that replicate the index in its entirety have to buy the shares. In addition, the company posted stellar second-quarter results.
While Benchmark has a $12 target for Holley stock, the consensus target is just $9.33. On Friday, shares last traded at $4.53.
This electric vehicle (EV) company could be in the sights of a larger car maker. Lucid Group Inc. (NASDAQ: LCID) is an automotive company focused on the design, development, customer experience, sale and service of EVs, as well as electric powertrains for Formula E and energy storage systems, starting with its Air sedan, to be followed by additional models through 2030. (These 19 executives pay themselves over $150 million a year.)
The company’s vehicles are manufactured off of Lucid Electric Advanced Platform (LEAP), a skateboard architecture that will underpin numerous models, and offered to consumers through a direct sales and service model.
While the EV industry has become a do-or-die proposition, Aston Martin recently announced it would be taking up with Lucid Motors for future battery EV development and stepping away from Mercedes-Benz’s EV technology.
Needham has set its target price at $9. The consensus target for Lucid stock is $7.35. The shares closed on Friday at $5.16.
This stock was the birthplace for a large part of the meme stock revolution and has continued to attract big trading volume. Robinhood Markets Inc. (NASDAQ: HOOD) operates a financial services platform in the United States that allows users to invest in stocks, exchange-traded funds ETFs), options, gold and cryptocurrencies. (These 19 executives pay themselves over $150 million a year.)
The company also offers various learning and education solutions
The $24 JMP Securities price target is almost double the consensus target of $12.38. Robinhood Markets stock last traded at $9.14 on Friday.
This energy stock has put in a long base and looks ready to breakout 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.
Tetra’s 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 company is evolving its business model by expanding into the low carbon energy markets with its chemistry expertise, key mineral acreage and global infrastructure. Recently announced initiatives include commercialization of Tetra PureFlow, an ultra-pure zinc bromide for stationary batteries and energy storage; advancing an innovative carbon capture utilization and storage technology with CarbonFree to capture CO2 and mineralize emissions to make commercial, carbon-negative chemicals; and development of Tetra’s lithium and bromine mineral acreage to meet the growing demand for oil and gas products and energy storage.
Tetra Technologies stock has an $8 target price at Benchmark. That compares with a $7.80 consensus target, as well as a share price of $6.30 last seen on Friday.
The sports apparel stock has been crushed but looks like a solid bargain. Under Armour Inc. (NYSE: UAA) engages in the developing, marketing and distributing performance apparel, footwear and accessories for men, women and youth. The company offers its apparel in compression, fitted and loose-fit types.
The company also provides footwear products for running, training, basketball, cleated sports, recovery and outdoor applications. The company’s accessories include gloves, bags, headwear and sports masks, and it offers digital subscription and advertising services under the MapMyRun and MapMyRide platforms.
Under Armor primarily offers its products under the Under Armor, UA, HeatGear, ColdGear, HOVR, Protect This House, I Will, UA Logo, Armour Fleece and Armour Bra brands. The company sells its products through wholesale channels, including national and regional sporting goods chains, independent and specialty retailers, department store chains, mono-branded Under Armour retail stores, institutional athletic departments, and leagues and teams, as well as independent distributors and directly to consumers through a network of 422 brand and factory house stores, as well as through e-commerce.
UBS’s $12 target price is shy of the $13 consensus figure. Under Armour stock closed trading on Friday at $6.21.
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These are five under $10 stock picks 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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