While most of Wall Street focuses on large 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 most significant public companies, especially the technology giants, trade at prices up to $1,000 per share, while many are in the low to mid-hundreds. It is tough to get decent share count leverage at those steep prices.
Many investors, especially more aggressive traders, seek lower-priced stocks to generate a profit and increase their share count. That can help the decision-making process, especially when you are on to a winner, as you can always sell and keep half.
For low-price stock skeptics, note that many of the world’s biggest companies, including Apple, Amazon, Netflix, and Nvidia, once traded in the single digits.
We screened our 24/7 Wall St. research database, looking for smaller-cap companies that could offer patient investors enormous returns for the rest of 2025 and beyond. Four companies that appeared on our screens have considerable upside potential.
Why do we cover stocks under $10?
We like to scour the stock market looking for the next big winner, and investors can buy a larger position in lower-priced stocks and have the potential for a parabolic home run, like Nvidia or Netflix. Over the years, we have written about stocks like Zynga, which was acquired by Take-Two Interactive, and Northern Oil & Gas was under $3 when we started covering the company. It did a reverse split.
ADT
This top security company is a well-known protector of homes and businesses. ADT Inc. (NYSE: ADT | ADT Price Prediction) is the largest residential and second-largest commercial security monitoring company in North America. The company provides security, interactive, and smart home solutions to residential and small business customers in the United States. It operates through two segments.
The Consumer and Small Business segment primarily encompasses the sale, installation, servicing, and monitoring of integrated security and automation systems, as well as other related offerings, to owners and renters of residential properties, small business operators, and individual consumers.
The Solar segment primarily includes the sale and installation of solar systems, as well as related solutions and services, to residential homeowners.
ADT’s security offerings include:
- Burglar and life safety alarms
- Smart security cameras
- Smart home automation systems
- Video surveillance systems.
It can also design, install, and sell custom residential solar systems and energy storage solutions, as well as energy efficiency upgrades and roofing services, through dedicated and specialized in-house sales teams.
Goldman Sachs has a Buy rating and a $9.20 target price.
Applied Digital
This is an incredibly cheap way for investors to play the data center trade, which is exploding higher. Applied Digital Corp. (NASDAQ: APLD) is a designer, developer, and operator of next-generation digital infrastructure across North America.
The company offers digital infrastructure solutions and cloud services for high-performance computing (HPC) and artificial intelligence (AI) applications.
Its segments include:
- Blockchain data center hosting (the Datacenter Hosting Business)
- Cloud services, through a wholly owned subsidiary (the Cloud Services Business)
- HPC data center hosting (the HPC Hosting Business)
The Datacenter Hosting segment operates data centers to provide energized space to crypto-mining customers.
The Cloud services segment operates through its Sai Computing brand, providing cloud services to customers, including AI and machine learning developers, to help them develop advanced products and solutions.
The HPC hosting segment designs, builds, and operates data centers, which are designed to support high-computing applications using advanced infrastructures to provide services to customers
Needham has a Buy rating with a target price of $10.
Evolution Petroleum
Evolution Petroleum Corp. (NYSE: EPM) is an energy company that develops, owns, and exploits onshore oil and gas properties in the United States. This small-cap energy stock offers investors a massive dividend, and the company could be a takeover target.
The company holds non-operated interests in:
- The SCOOP and STACK plays are located in Central Oklahoma.
- The Chaveroo Field, situated in Chaves and Roosevelt Counties, New Mexico.
- The Jonah Field, located in Sublette County, Wyoming.
- The Williston Basin, situated in Williston, North Dakota.
- The Barnett Shale field located in North Texas.
- The Hamilton Dome, situated in Hot Springs County, Wyoming.
- The Delhi Field, an onshore CO2-EOR project located in northeast Louisiana in Franklin, Madison, and Richland Parishes, as well as small overriding royalty interests in four onshore central Texas wells.
Northland Securities has a Buy rating with a $6.50 target price.
SoundHound AI
We started following this stock when it was around the $3 level, and it has been a rollercoaster ride ever since. SoundHound AI Inc. (NASDAQ: SOUN) is engaged in conversational intelligence, offering voice and conversational AI solutions that enable businesses to provide personalized experiences to their customers.
Through its proprietary technology, its voice AI delivers speed and accuracy in numerous languages to product creators and service providers across retail, financial services, healthcare, automotive, smart devices, and restaurants via AI-driven products, such as:
- Smart Answering
- Smart Ordering
- Dynamic Drive Thru
- Amelia AI Agents
Along with SoundHound Chat AI, a voice assistant with integrated Generative AI, it powers various products and services, and processes billions of interactions each year for businesses.
Its developer platform, Houndify, is an open-access platform that enables developers to leverage its Voice AI technology and a library of over 100 content domains, including commonly used categories such as points of interest, weather, flight status, sports, and more.
Wedbush has an Outperform rating with a massive $20 price objective.
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