We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Here's How to Find Great Cheap Stocks Under $10 to Buy in June
Read MoreHide Full Article
The stock market has cooled off to close May and start June. The downturn appears to be a healthy recalibration following a bullish stretch wrapped inside an impressive YTD run and a large surge off the market’s October 2023 lows.
The recent pullback likely sets up more attractive buying opportunities for strong stocks. The last several years also highlight why investors are often best suited to stay constantly exposed to the market and buy into weakness.
Investors who want to keep buying stocks in June might consider adding exposure to cheap stocks that trade for $10 a share or less.
Along with the cheap price tags, the stocks we learn how to search for earn strong Zacks Ranks, driven by improving earnings outlooks. On top of that, Wall Street is high on all of these stocks.
Penny Stocks
One dollar or less used to be the common threshold for what we call “penny stocks.” Today, the SEC has expanded penny stocks to securities that trade for less than $5 a share. Many investors avoid these stocks because they are speculative in nature.
Meanwhile, penny stocks often trade infrequently and hold wide bid/ask spreads. These stocks also carry many other traits that, in many cases, cause excessive volatility. With that said, some penny stocks perform incredibly well, which helps them remain attractive.
Stocks Under $10
Moving on, let’s briefly discuss the next class of cheap stocks. Stocks that trade in the $5 to $10 range are generally less risky than their penny stock counterparts. Investors might be more likely to have heard of these companies or seen the tickers. They are, however, still inherently more speculative than many other higher-priced stocks.
Investors can obviously find winning stocks for under $10 if they are extremely selective. So today, we narrowed the list of thousands of these more speculative stocks down to a more manageable group of $10 and under stocks that might help boost your portfolio.
Screen Parameters
• Price less than or equal to $10
• Volume greater than or equal to 1,000,000
• Zacks Rank less than or equal to 2
(No Holds, Sells or Strong Sells.)
• Average Broker Rating less than or equal to 3.5
(Average Broker Rating of a Hold or Better.)
• # of Analysts in Rating greater than or equal to 2
(Minimum of at least two analysts covering the stock.)
• % Change F1 Earnings Estimate Revisions -- 12 Weeks greater than or equal to 0
(Preferably upward earnings estimate revisions, but definitely no downward revisions.)
Here is one stock out of the nearly 70 highly-ranked names trading under $10 a share that made it through the screen today…
Inter & Co. is the holding company of Grupo Inter. The core offering is the firm’s wide-ranging digital financial app it calls the Super App. Inter & Co.’s digital finance app includes full-scale banking, investments, credit, insurance, cross-border solutions, and more. The company boasts that its leading financial Super App serves over 32 million customers across the Americas, from Brazil and beyond.
Inter & Co.’s portfolio also includes a digital marketplace that brings together top retailers from Brazil and the U.S. The fintech company is part of a growing wave of digital financial firms shaking up the banking and financial services sector in countries such as Brazil that have large economies with huge populations but can be held back by outdated traditional banks with burdensome red tape.
Image Source: Zacks Investment Research
INTR is projected to grow its revenue by 21% in 2024 and 17% in FY25 to reach $1.34 billion. On top of that, Inter & Co. is expected to boost its adjusted earnings by 153% this year and add another 37% to the bottom-line next year to reach $0.52 a share in FY25 vs. $0.15 in 2023. INTR’s overall upbeat earnings revisions activity helps it grab a Zacks Rank #2 (Buy) right now.
Inter & Co. shares have climbed 85% the last year to double its highly ranked Zacks Technology Services industry. INTR has pulled back from its recent highs to slide below its 50-day moving average. The stock might test its 200-day in the near term.
The nearby chart shows that INTR stock has swung from heavily overbought RSI levels to nearly oversold. Inter & Co. trades at a 63% discount to its industry despite its outperformance. Inter & Co. also trades at a 16% discount to its one-year median.
Get the rest of the stocks on this list and start screening for the best stocks under $10 for yourself. And don't forget to backtest your strategy so you'll know how successful it's been before you put any of your money at risk.
Start screening for these companies today with a free trial to the Research Wizard. You can do it.
Want more articles from this author? Scroll up to the top of this article and click the FOLLOW AUTHOR button to get an email each time a new article is published.
Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
Image: Bigstock
Here's How to Find Great Cheap Stocks Under $10 to Buy in June
The stock market has cooled off to close May and start June. The downturn appears to be a healthy recalibration following a bullish stretch wrapped inside an impressive YTD run and a large surge off the market’s October 2023 lows.
The recent pullback likely sets up more attractive buying opportunities for strong stocks. The last several years also highlight why investors are often best suited to stay constantly exposed to the market and buy into weakness.
Investors who want to keep buying stocks in June might consider adding exposure to cheap stocks that trade for $10 a share or less.
Along with the cheap price tags, the stocks we learn how to search for earn strong Zacks Ranks, driven by improving earnings outlooks. On top of that, Wall Street is high on all of these stocks.
Penny Stocks
One dollar or less used to be the common threshold for what we call “penny stocks.” Today, the SEC has expanded penny stocks to securities that trade for less than $5 a share. Many investors avoid these stocks because they are speculative in nature.
Meanwhile, penny stocks often trade infrequently and hold wide bid/ask spreads. These stocks also carry many other traits that, in many cases, cause excessive volatility. With that said, some penny stocks perform incredibly well, which helps them remain attractive.
Stocks Under $10
Moving on, let’s briefly discuss the next class of cheap stocks. Stocks that trade in the $5 to $10 range are generally less risky than their penny stock counterparts. Investors might be more likely to have heard of these companies or seen the tickers. They are, however, still inherently more speculative than many other higher-priced stocks.
Investors can obviously find winning stocks for under $10 if they are extremely selective. So today, we narrowed the list of thousands of these more speculative stocks down to a more manageable group of $10 and under stocks that might help boost your portfolio.
Screen Parameters
• Price less than or equal to $10
• Volume greater than or equal to 1,000,000
• Zacks Rank less than or equal to 2
(No Holds, Sells or Strong Sells.)
• Average Broker Rating less than or equal to 3.5
(Average Broker Rating of a Hold or Better.)
• # of Analysts in Rating greater than or equal to 2
(Minimum of at least two analysts covering the stock.)
• % Change F1 Earnings Estimate Revisions -- 12 Weeks greater than or equal to 0
(Preferably upward earnings estimate revisions, but definitely no downward revisions.)
Here is one stock out of the nearly 70 highly-ranked names trading under $10 a share that made it through the screen today…
Inter & Co. Inc. ((INTR - Free Report) )
Inter & Co. is the holding company of Grupo Inter. The core offering is the firm’s wide-ranging digital financial app it calls the Super App. Inter & Co.’s digital finance app includes full-scale banking, investments, credit, insurance, cross-border solutions, and more. The company boasts that its leading financial Super App serves over 32 million customers across the Americas, from Brazil and beyond.
Inter & Co.’s portfolio also includes a digital marketplace that brings together top retailers from Brazil and the U.S. The fintech company is part of a growing wave of digital financial firms shaking up the banking and financial services sector in countries such as Brazil that have large economies with huge populations but can be held back by outdated traditional banks with burdensome red tape.
Image Source: Zacks Investment Research
INTR is projected to grow its revenue by 21% in 2024 and 17% in FY25 to reach $1.34 billion. On top of that, Inter & Co. is expected to boost its adjusted earnings by 153% this year and add another 37% to the bottom-line next year to reach $0.52 a share in FY25 vs. $0.15 in 2023. INTR’s overall upbeat earnings revisions activity helps it grab a Zacks Rank #2 (Buy) right now.
Inter & Co. shares have climbed 85% the last year to double its highly ranked Zacks Technology Services industry. INTR has pulled back from its recent highs to slide below its 50-day moving average. The stock might test its 200-day in the near term.
The nearby chart shows that INTR stock has swung from heavily overbought RSI levels to nearly oversold. Inter & Co. trades at a 63% discount to its industry despite its outperformance. Inter & Co. also trades at a 16% discount to its one-year median.
Get the rest of the stocks on this list and start screening for the best stocks under $10 for yourself. And don't forget to backtest your strategy so you'll know how successful it's been before you put any of your money at risk.
Start screening for these companies today with a free trial to the Research Wizard. You can do it.
Click here to sign up for a free trial to the Research Wizard today.
Want more articles from this author? Scroll up to the top of this article and click the FOLLOW AUTHOR button to get an email each time a new article is published.
Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
Disclosure: Performance information for Zacks’ portfolios and strategies are available at: www.zacks.com/performance_disclosure