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10 Cheap Tech Stocks to Buy for Under $10

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Cheap stocks – those that trade for a small nominal dollar amount, say, less than $10 – are a double-edged sword. And those blades can be even sharper in the case of tech stocks.

On the one hand, while the actual dollar price of a stock typically doesn’t tell you much about it (a $50 stock can be every bit as secure as a $500 stock), at a certain point, stock price does matter. Some institutional buyers (such as mutual funds) will avoid stocks under $10, and even more will give the cold shoulder under $5. Under the $1 mark, exchanges such as the New York Stock Exchange and Nasdaq likely will threaten to delist the stocks. That’s because typically, at those prices, stocks are trying to tell you something – and it’s often not a positive message.

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The flip side? Institutional buyers can inflate stock valuations, so a lack thereof can keep them undervalued. The same goes for Wall Street analysts – typically, sub-$10 stocks may only have a few pros paying attention, further lowering the likelihood that these shares are overcrowded.

Here are 10 cheap tech stocks to buy that all trade for less than $10. Importantly, they all show significant growth potential, and according to TipRanks’ data covering the past few months, they all boast a “Moderate Buy” or “Strong Buy” consensus rating from the few Street analysts still covering the stocks. Just remember: Cheap stocks often are cheap for a reason; all of these carry considerable risk. Only approach these plays with funds from the speculative portion of your portfolio.

SEE ALSO: 20 Top Stock Picks the Analysts Love for 2019

Data is as of March 10.

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