9 Best Cheap Stocks to Buy Under $10

To kick off the summer, here is the latest from U.S. News Invested of the best stocks to buy for investors who are on a budget.  

JUNE 21, 2023 Invested Advice, rankings and stock market news for investors.

Good morning, investors. Markets drop to start the trading week as investors ponder China's interest-rate cut. Highlights of today's newsletter include our market insights plus these new articles: 9 Best Cheap Stocks to Buy Under $10 6 Best Fintech ETFs to Buy 5 Oversold Stocks to Watch in July Should You Invest in C3.ai Stock? 3 Pros, 3 Cons TODAY'S FEATURED STORY 9 Best Cheap Stocks to Buy Under $10 Stocks trading under $10 per share can be attractive for investors looking to scoop up some cheap shares. Unfortunately, quality stocks trading for less than $10 are few and far between. Stocks priced at this level can be a red flag for investors that something serious is wrong with a company. Many of these stocks have challenged underlying business models or difficult near-term outlooks. Fortunately, the CFRA Research analyst team has identified some cheap, high-quality stocks that could be excellent buying opportunities in 2023 for frugal investors. Here are nine of the best stocks to buy under $10, according to CFRA: Nokia Corp. (ticker: NOK). Nokia is a telecom equipment and digital map data vendor that also licenses intellectual property to third parties. Analyst Keith Snyder says the initial 5G investment period in North America and China is gaining momentum and supporting Nokia's demand. Snyder expects the 5G upgrade cycle will be larger and last longer than previous network upgrades. He projects 2023 will be a rebound year for Nokia after the company lost market share and endured pricing pressures in its North American mobile networks business in 2022. CFRA has a "buy" rating and $6.50 price target for NOK stock, which closed at $4.28 on June 16. Telefonica SA (TEF). Telefonica is the leading telecommunications company in Spain. The stock pays an 8.4% forward dividend yield, a rarity among stocks priced under $10. Analyst Adrian Ng says Telefonica has adjusted its portfolio to streamline its business and improve its balance sheet. The company acquired E-Plus in Germany and GTV in Brazil and exited the Central American market. In addition, Telefonica will receive $3.2 billion from combining its U.K. telecom assets in a joint venture deal with Liberty Global PLC (LBTYA). CFRA has a "buy" rating and $4.50 price target for TEF stock, which closed at $3.86 on June 16. Click here to continue reading.