Direct access trading platforms have made online stock trading easier for many. But traders have different objectives from trading. Some have extremely short-term goals while others think from a long-term perspective. The common strategy behind every stock move is to buy when the price of the stock is low and then wait for it to rise. Cheap stocks are therefore attractive, provided they have a significant growth opportunity in the future.
Stocks under $10
Looking for stocks under $10? One of the advantages of stocks that are priced low is that they give you the opportunity to buy a larger position of a company. That really may not be possible with stocks priced higher. Zacks.com analysts have zeroed in on some of these stocks by checking out trends in value, growth and momentum and then applying the Zacks Rank to analyze their potential.
First in the ranking is BlackBerry ($BB). It has a Strong Buy rank of #1. For those who remember, BlackBerry kick-started the smartphone boom with its iconic keypad enabled models. But with newer brands and more advanced but competitively priced smartphones from competitors, the demand for BlackBerry smartphones dwindled to such an extent that the company has stopped making hardware and is focusing on its enterprise software and services division. With an 18.6% annualized long-term projected EPS growth rate, the company has seen its earnings estimate being positively revised.
Its current price tag is $8.26 per share, but at 49.6 times earnings that may seem overvalued. However, its PEG ratio is 2.7 and that reveals there is a reasonable price investors are enjoying for the stock’s earnings growth potential. Looking at the future, BlackBerry’s focus on the in-car and mobile enterprise security segment with a view to become segment leader could provide investors with massive benefits.
Another stock having Zacks #1 Strong Buy rank is Digital Turbine ($APPS), with a current price tag of $2.70 per share. The company had a great third quarter where it topped revenue and earnings estimates. Its operations are in the Internet and software industry and involve connecting mobile operators, OEMs and publishers with app developers and advertisers. The Strong Buy rank is the result of the stock’s positive earnings revision. It is expected to have a swing from a $0.01 per share adjusted loss in the year-ago period to $0.02 per share earnings in the present quarter, according to the Zacks Consensus Estimate. This massive bottom-line growth could continue in the upcoming quarter and fiscal year. Zacks analysts estimate a 26.7% Q4 revenue growth for the company, which would support its bottom-line expansion.
Analysts’ opinions help make the right decisions, depending on your strategy. Advanced stock trading software is also of great assistance because it gives you a clear view of the markets and helps you trade from home. Get in touch with TradeZero for commission free trading and other features. Call us at 1 954-944-3885 or email email@example.com.
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