Stocks under $10 pique our interest because they have room to grow (as well as the most affordable option contract premiums). That doesn’t mean they’re bargains though, and we urge investors to be careful as many have risky business models.
The bad behavior exhibited by lower-quality companies in this space can spook even the most seasoned professionals, which is why we started StockStory - to separate the good from the bad. Keeping that in mind, here is one stock under $10 that could 100x and two that could be down big.
Two Stocks Under $10 to Sell:
Hain Celestial (HAIN)
Share Price: $1.53
Sold in over 75 countries around the world, Hain Celestial (NASDAQ: HAIN) is a natural and organic food company whose products range from snacks to teas to baby food.
Why Should You Dump HAIN?
- Absence of organic revenue growth over the past two years suggests it may have to lean into acquisitions to drive its expansion
- Forecasted revenue decline of 5.5% for the upcoming 12 months implies demand will fall even further
- Performance over the past three years shows each sale was less profitable as its earnings per share dropped by 43.5% annually, worse than its revenue
Hain Celestial’s stock price of $1.53 implies a valuation ratio of 3.6x forward P/E. If you’re considering HAIN for your portfolio, see our FREE research report to learn more.
Plug Power (PLUG)
Share Price: $1.46
Powering forklifts for Walmart’s distribution centers, Plug Power (NASDAQ: PLUG) provides hydrogen fuel cells used to power electric motors.
Why Do We Pass on PLUG?
- Annual sales declines of 8.7% for the past two years show its products and services struggled to connect with the market during this cycle
- 531.2 percentage point decline in its free cash flow margin over the last five years reflects the company’s increased investments to defend its market position
- Limited cash reserves may force the company to seek unfavorable financing terms that could dilute shareholders
Plug Power is trading at $1.46 per share, or 1.8x forward price-to-sales. Dive into our free research report to see why there are better opportunities than PLUG.
One Stock Under $10 to Watch:
Planet Labs (PL)
Share Price: $6.59
Pioneering the concept of "agile aerospace" with hundreds of small but powerful satellites, Planet Labs (NYSE: PL) operates the world's largest fleet of Earth observation satellites, capturing daily images of our planet to provide insights on deforestation, agriculture, and climate change.
Why Are We Fans of PL?
- Impressive 21.3% annual revenue growth over the last five years indicates it’s winning market share this cycle
- Incremental sales significantly boosted profitability as its annual earnings per share growth of 27% over the last two years outstripped its revenue performance
- Historical investments are beginning to pay off as its returns on capital are growing
At $6.59 per share, Planet Labs trades at 6.9x forward price-to-sales. Is now the right time to buy? See for yourself in our full research report, it’s free.
Stocks We Like Even More
Trump’s April 2024 tariff bombshell triggered a massive market selloff, but stocks have since staged an impressive recovery, leaving those who panic sold on the sidelines.
Take advantage of the rebound by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today
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