7 Stocks Under $10 to Buy in February

As an investor, you can get some amazing deals in the stock market. You can even fund some great stocks under $10 to buy if you know where to look.

What’s the attraction to buying a stock under $10? Well, not everyone likes to spend $100 or more on a large-cap stock that carries a big price tag. Buying a stock under $10 means that for that same $100 you can pick up 10 shares instead of just one.

Generally, stocks under $10 to buy are more likely to be growth stocks with longer runways to provide investors with some great returns.

If you need help identifying stocks under $10 to buy, then I’ve got you covered. My Portfolio Grader tool evaluates and ranks stocks on an A through F scale based on a variety of metrics including earnings, recent performance, analyst sentiment and momentum.

If you’re looking for stocks under $10 to buy, you can do a lot worse than these highly-rated picks.

BigBear.ai (BBAI)

BigBear.ai (NASDAQ:BBAI) may have an unusual name, but it’s one of the hottest stocks on Wall Street and one of the best stocks under $10 to buy.

The tech company’s stock is up more than 520% since the first of the year, going from less than 80 cents to about $4.20.

The company uses artificial intelligence and other technology to analyze data to identify and manage risk. It’s used by manufacturers, hospitals and by the defense and intelligence communities.

BigBear.ai was awarded a $900 million contract in January from the Air Force that identifies it as a prime contractor to compete for task orders. That gives it plenty of leverage to grow the business, which is why BBIA stock started moving higher this year.

But I don’t think investors have been left behind at all. BBAI stock has a consensus price target of $5, which is still an 18% upside. And if the company is successful in growing its business thanks to its new status as a prime contractor, then the sky’s the limit.

BBAI stock has a “B” rating in the Portfolio Grader.

AppHarvest (APPH)

Kentucky-based AppHarvest (NASDAQ:APPH) is an up-and-coming consumer stock that is laser-focused on producing food more efficiently than traditional farming.

The company has four indoor farms growing tomatoes, strawberries, cucumbers and salad greens. And it recently delivered the first harvest of tomatoes from its Richmond, Kentucky facility.

AppHarvest says its processes are superior because it uses less water than traditional farms, and produces yields that are as much as 30 times greater.

The company just completed a stock offering of 40 million shares of common stock valued at $1 per share in an effort to raise more capital to grow the company.

The offering was announced when the stock price was more than $2 so not surprisingly, the stock price quickly fell to about $1.

That’s a bummer if you were holding APPH at the time, but if you’ve not bought in yet, then this is a golden time to do so because AppHarvest stock will likely bounce off its low and return to its previous levels soon.

APPH stock has a “B” rating in the Portfolio Grader.

Durect (DRRX)

California-based Durect (NASDAQ:DRRX) is a biopharmaceutical company that is focused on treating acute organ injury and chronic liver diseases.

The stock is just over $5 per share, but that’s in part because Durect held a 1-to-10 reverse stock split in December.

The company also announced in February that it would sell 1.7 million shares of common stock for $5 to unidentified institutional investors.

The $10 million raised in the sale will be used for general corporate purposes, including clinical trials, expansion, general and administrative costs, and working capital.

Durect’s Larsucosterol drug, which would treat patients with severe alcohol-associated hepatitis, is its lead drug candidate and is in late-stage clinical development.

Durect stock is up 50% so far this year – an impressive jump it diluted shares with its recent stock offering. But there’s serious potential in this company.

The consensus price target is $34.67, which represents a 568% upside.

DRRX stock has a “B” rating in the Portfolio Grader.

Applied UV (AUVI)

Applied UV (NASDAQ:AUVI) is a tech company that uses narrow-range ultraviolet light and catalytic bioconversion technology to destroy airborne pathogens and reduce the risk of infection.

Its products are used in healthcare, hospitality and commercial markets. Its clients include hospitals, Veterans Affairs facilities and sports venues such as Fenway Park in Boston and JetBlue Park in Fort Myers, Florida.

Shares trade for a little over $1, but are up 30% so far this year. That includes a huge 50% jump in late January when Applied UV hired a law firm to investigate naked short selling in the stock.

AUVI officials said they were concerned about the possibility of market manipulation to depress the stock price.

AUVI has a consensus price target of $5.25, which would be more than 340% higher than the current price. Applied UV has a “B” rating in the Portfolio Grader.

Ardelyx (ARDX)

I’m bullish on Ardelyx (NASDAQ:ARDX), a biotech company that is expected to get full regulatory approval for its flagship tenapanor drug candidate.

The drug, which would be marketed under the name Xphozah, would treat patients with kidney disease.

Enthusiasm for the drug pushed Ardelyx stock up more than 220% in the last six months. Piper Sandler analysts project that Xphozah could generate about $800 million within five years of its commercial launch.

It’s already getting about $20 million annually selling tenapanor as a treatment for irritable bowel syndrome. That’s the lion’s share of Ardelyx’s revenue based on the fact that it brought in $5 million in revenue last quarter.

If and when it gets approval for Xphozah, Ardelyx will have a tremendous increase in resources, allowing it to become profitable and invest more money into research to expand its research pipelines.

Ardelyx is the highest-rated stock on this list, getting an “A” rating from the Portfolio Grader.

Lizhi (LIZI)

Chinese audio tech innovator Lizhi (NASDAQ:LIZI) operates an interactive audio entertainment platform that marries audio entertainment and social networking.

Its Lizhi app was launched in 2013 in China, and the Tiya social networking app came to the U.S. in 2020.

The company uses artificial intelligence for content distribution, recommends products and matches systems and users on its platforms.

The company brought in $79.5 million in revenue in the third quarter, an increase of 12% from the previous year.

This was despite total mobile monthly average users dropping to 49.7 million in the third quarter, compared to 58.9 million a year ago. Company officials attributed the drop to a decrease in advertising spending directed at low-spending users.

LIZI stock trades for only $1 per share, but that’s still an increase of 60% so far this year. Lizhi has a “B” rating in the Portfolio Grader.

Transocean (RIG)

Switzerland-based Transocean (NYSE:RIG) provides offshore contract drilling services around the world.

Unlike some of the movers and shakers on this list, Transocean has been around for about 100 years.

The company maintains a fleet of 38 rigs, including ultra-deepwater, harsh environment, deepwater and midwater floaters.

Those rigs are staying busy, as the company is currently operating off the coast of Brazil, in the Gulf of Mexico, the North Sea and elsewhere, with work billing at hundreds of thousands of dollars per day.

As of this month, Transocean reported a backlog of $8.5 billion in contracted work.

So it may come as a pleasant surprise that a company with that kind of backlog and a market capitalization of more than $5 billion can still be had for less than $10 per share.

The company is consistently beating earnings estimates as well, bringing in $691 million in revenue in the third quarter.

RIG stock is up 66% so far in 2023, and has a “B” rating in the Portfolio Grader.

On the date of publication, neither Louis Navellier nor the InvestorPlace Research Staff member primarily responsible for this article held (either directly or indirectly) any positions in the securities mentioned in this article.