Stocks Under 10 Dollars: Top Picks for September
Stocks under 10 dollars appeal to many retail investing budgets. These low-priced stocks are within the means of most investors. A round, hundred-share lot of a 10-dollar stock costs $1,000. One hundred shares of Amazon (AMZN) costs over 200 grand, which is a big allocation for all but the largest portfolios.
If you’re looking for even cheaper options than stocks under 10 dollars, check out our top picks for stocks under 5 dollars; stocks under 1 dollar; and the top penny stocks. Make sure to check our lithium battery & mining stocks page.
To help introduce you to the world of ten-dollar stocks, we’ve laid out our top 5 picks for the best stocks under ten dollars. These stocks are all based in the United States (Aurora Cannabis is based in Canada) and trade on either the NYSE or NASDAQ exchange.
Digital Turbine, Inc. (NASDAQ: APPS)
Digital Turbine is on a tear in 2019. Shares are up 36.36% in the last month and over 315% year-to-date. There’s no sign that this one is slowing down, even after its monstrous 2019 gains.
This company generates most of its revenue from mobile advertising and delivery. The revenue outlook for this industry remains strong because of its insulation from tariff threats and other uncertainties in the market. Customer and revenue growth trends look good, and the firm is adding features to improve user experience and keep the momentum going.
We’re not the only ones that like this one, Zack’s upgraded its FY 2020 earnings forecast by 42.9% after DT’s recent earnings call in late August. The chart looks strong and the fundamentals are sound. There might be even more upside in store for APPS shareholders in 2019.
Coeur Mining, Inc. (NYSE: CDE)
If you held onto some gold through its rally this year, you’re sitting on roughly 20% gains. However, the bull run in gold hasn’t been good for every gold miner. Shares of silver and gold miner Coeur Mining lost over 90% of their value between late February and the end of May, but CDE regained most of that lost ground after a wild summer rally.
The recent runup gives this stock a lot of momentum as it attempts to break through its previous 2019 high. If CDE can get past this key technical resistance point, there’s a possibility that it could notch further gains.
Overall sentiment in the gold/silver industry is strong and- if the performance of the sector-at-large is any indicator- CDE could ride this wave of bullish sentiment to more gains.
Catalyst Pharmaceuticals, Inc. (NASDAQ: CPRX)
Biotech stocks are notoriously unpredictable, but Catalyst Pharmaceuticals could be worth a look after posting a double-line beat on its recent earnings report. Both earnings and revenues beat consensus estimates, helping power the stock to 21.2% gains in the past month.
Catalyst’s flagship therapy is Firdapse, an FDA-approved treatment for Lamber-Eaton myasthenic syndrome (LEMS). It’s still early but revenues from Firdapse’s recent commercial launch are encouraging. The treatment netted $28.8 million in the second quarter and helped power overall EPS to $0.10 per diluted share, compared to a loss of $0.06 per share during the same quarter a year ago.
The chart is showing a double top-ish pattern that could be interpreted to signal a coming correction. However, if momentum can carry prices past key resistance at $6.35, there could be more gains in store for CPRX shareholders.
Daktronics, Inc. (NASDAQ: DAKT)
This visual display systems manufacturer is bouncing back hard from a multiple-bottom after it smashed consensus estimates on its recent earnings report. Daktronics specializes in large-scale visual displays used in sporting events, billboards, digital signage, and roadway displays. The firm beat Wall Street estimates by 60% with diluted EPS of $0.16 and topped revenue forecasts by about $24 million, about 15%.
The big beat fueled an 18.8% rally in share prices that stopped just shy of the 200-day SMA. Could this be the beginning of a swing trade setup for DAKT? Even with the recent rally, prices currently 21.3% below their 52-week high. That’s a lot of room left to the upside if the stock can breakthrough.
The 200-day SMA looks like the last line of defense for the bears. If DAKT can break above this key resistance level it could rally even higher.
Infinera Corporation (NASDAQ: INFN)
Infinera provides fiber-optic systems that are critical to high-latency communications networks. Shares rallied over 21% in a single session last August after the company released a better-than-expected earnings report. However, low expectations made it an easy hurdle to clear. Revenues came in at the high end of consensus estimates but overall losses widened to 15 cents per share, worse than the Street expected.
A 15% increase in bookings helped convince investors that the company was on the verge of a turnaround, but the company released weak guidance in anticipation of another big loss next quarter.
Despite the negative outlook, the technical trend is noteworthy. Prices smashed through the 200-day SMA and the chart appears to be setting up for a golden cross. It’s unclear how much higher this telecommunications stock can go, but momentum traders should take note of the strong trend.
Best Stocks Under 10 – Value Vs. Price
Thanks to low prices, these stocks are accessible to most investors. Don’t confuse low prices with low value, many stocks under 10 dollars have significant long-term potential. Oftentimes, it’s easy to find overlooked companies in stocks under 10 dollars.
In this context, value isn’t limited to traditional value-gauging metrics. For example, rapid revenue growth and price momentum can both be valuable traits for stocks under 5 dollars. Our list of the best 5-dollar stocks includes both value and growth stocks that could be worth watching.
How To Find Stocks Under 10 Dollars
There are hundreds of stocks that trade for under 10 dollars, and it’s easy to find additional opportunities by using a stock screener. Stock screeners help traders find stocks that meet certain criteria. It’s like a search engine for stocks.
Most brokers have stock screeners built into their platforms. However, Finviz offers a free stock screener that is good enough for most investors, and more advanced features are available with Finviz Elite. You can find the Finviz stock screener here.
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