Investors often hard to find cheap stocks worth buying. There are always penny stocks, but those are volatile and carry a lot of risk. It’s always wise to look for stocks under $10 price range, especially if you’re new to the market and do not want to go through a lot of risky endeavors. These are not only affordable but also have a huge potential to benefit the investors in the future. Sometimes, stocks with great potential may hit rock bottom as a result of unusual circumstances. That is also when many investors find it a perfect time for the entry point to get into the market. If they recover, they could make substantial gains for shareholders.
These are some cheap stocks that look promising as we are heading into the new year.
1. Aquestive Therapeutics, Inc. (AQST):
Aquestive Therapeutics, Inc., is an American pharmaceutical company, that focuses on identifying, developing, and commercializing various products to address unmet medical needs in the United States and internationally. Right now, it is trading at $6.37 with a 52 week low of $3.10 and a 52 week high of $8.06. Aquestive Therapeutics are sitting at a Market Cap of $255 million. Its share price has gone up over 30% in the last month and about 80% in the last 6 months. The total revenues of the company went from $8.3 million in the third quarter 2020 to $13.3 million in the third quarter 2021, which is quite incredible. If this rate continues, the analysts expect the company to grow 69% year-on-year, on average, which is extremely optimistic. They give AQST a rating of 1.8 which is a buy.
2. Gerdau S.A. (GGB):
Gerdau is a Brazilian steel producer with operations throughout Brazil, North America and South Africa. It produces products like rebar, rolled steel, structural steel and slab steel. GGB is currently trading at $4.55, with a 52 week low of $4.16 and a 52 week high of $7.27. Its Market Cap is sitting at $7.76 Billion. According to their recent report, the firm showed a total of $1.18 billion in sales in North America in its most recent earnings results.
In October 2021, President Joe Biden revealed his plan to spend $2 trillion to rebuild crumbling roads and bridges across the U.S. That of course requires a lot of steel, which bodes well for companies like Gerdau. If Gerdau can capitalize on increased steel purchasing in the U.S., there’s no doubt that this stock will move upward. GGB carries a rating of 2.3 from the analysts, meaning it’s a buy, including a high target price of $7.54.
3. Energy Transfer LP (ET):
Energy Transfer LP provides energy-related services. The company owns and operates approximately 9,400 miles of natural gas transportation pipelines and three natural gas storage facilities in Texas; and 12,340 miles of interstate natural gas pipelines. Additionally, the company sells gasoline, and motor fuel at retail, as well as crude oil, and refined products; operates convenience stores; and distributes motor fuels and other petroleum products. ET is currently trading at $8.61, with a 52 week low of 6.03 and a 52 week high of $11.55.
The company has a total Market Cap of 23.29 Billion. The company also offers a dividend of 6.90%. Analysts do give it a very good rating of 1.6, which means this stock is between a buy and a strong buy. The annual price target is $14.19 which is 64% higher than the current price. Since the beginning of the year, ET has delivered a positive financial performance with a few ups and downs along the way. Having said that, there is no denying that this company could prove very profitable for the investors who decide to add it in their portfolio.
4. Enerplus Corporation (ERF):
Founded in 1986, Enerplus Corporation engages in the exploration and development of crude oil and natural gas in the United States and Canada. Right now, ERF is trading at $9.85, with a 52 week low of $2.48 and a 52 week high of $10.33. The company is running on a Market Cap of $2.5 billion. Looking at their 1 year price chart, there has been around 65% change in the share price. The company is even paying a mild dividend yield of 1.35% as of now, which looks very promising for the investors. However, value investors might want to wait for estimates, analyst sentiment and broader factors to turn around in this name first, but once that happens, this stock could be a compelling pick.
5. UWM Holdings Corp. (UWMC):
UWM Holdings is a leading American mortgage origination company. Even though shares have dropped since going public in January, UWM is still worth paying attention to. The company has benefited from the tremendous surge in the housing market as mortgage activity increases. Companies like UWM get more business when people refinance their mortgages. The company is earning heaps of money and is currently trading at $7.01, with a 52 week low of $5.41 and a 52 week high of $14.38. They are sitting at a Market Cap of $11.24 billion. Analysts predict that UWM’s share price will be even more attractive, the price being $8.47. The stock pays a juicy 5.69% dividend, offering investors even another reason to add it in their portfolio.
6. Nokia Corp. (NOK):
Nokia is a leading telecom and networking equipment provider. The company operates through four segments: Mobile Networks, Network Infrastructure, Cloud and Network Services, and Nokia Technologies. NOK is currently trading at $5.60, with a 52 week low of $3.75 and 52 week high of $9.79. The company is running on a Market Cap of $31.55 billion. Their 1 year price chart shows that the price has been quite stable over the past year with a Beta of 0.54, which makes it less risky in the long term. Nokia’s shares have gained 39.6% in the past year compared with the industry’s growth of 23.6%.
In the recent years, Nokia seems to be investing and partnering with various companies like Ooredoo Group, Shinsegae I&C, YADRO and so on to expand and develop their 5G communication technology around the world. The company has also announced to launch cloud-based software subscription service that will be commercially available in early 2022. While Nokia’s revenues have been roughly flat in recent years, analysts see the company returning to a bit of growth as the pandemic disruption winds down and 5G adoption accelerates. They have estimated it to reach $7.34 Nokia, which has been in discussions with potential customers, s5.27%aid it is targeting an addressable market of $3.1 billion for the 2021-2025 period, with an annual growth rate of about 25-30%.
7. Huttig Building Products, Inc. (HBP):
Huttig Building Products, Inc., currently in its 137th year of business, is one of the largest domestic distributors of millwork, building materials, and wood products for new residential construction, in-home improvement, remodeling, and repair work in the United States. HBP is currently trading at $8.69, with a 52 week low of $3.03 and a 52 week high of $9.97. They have a Market Cap of $238 million and ROE of 65. 27% which is really high. It’s always interesting to track share price performance over the longer term. Their 1 year price chart exhibits an escalating stock price throughout the year displaying over 150% improvement.
HBP recently announced their third quarter 2021 results, where they showcased a growth of net sales of $245.3 million compared to $212.7 million, gross margins increased to 23.2% compared to 20.1%, net earnings increased to $18.7 million compared to $6.1 million and the total liquidity increased to $168.5 million compared to $69.8 million. This looks quite promising for the investors.