Stocks trading in the $1-10 range are generally smaller players with less risk than their penny stock counterparts. But that doesn’t mean the underlying businesses are cheap, and we advise caution as many have questionable fundamentals.
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. That said, here are three stocks under $10 to swipe left on and some alternatives you should look into instead.
Upland Software (UPLD)
Share Price: $0.94
Operating under the mantra "land and expand," Upland Software (NASDAQ: UPLD) provides cloud-based applications that help organizations manage projects, workflows, and digital transformation across various business functions.
Why Does UPLD Worry Us?
- Products and services have few die-hard fans as sales have declined by 3.4% annually over the last five years
- Sales are projected to tank by 14% over the next 12 months as its demand continues evaporating
- Ability to fund investments or reward shareholders with increased buybacks or dividends is restricted by its weak free cash flow margin of 11.1% for the last year
At $0.94 per share, Upland Software trades at 0.1x forward price-to-sales. Check out our free in-depth research report to learn more about why UPLD doesn’t pass our bar.
AMC Entertainment (AMC)
Share Price: $1.17
With a profile that was raised due to meme stock mania beginning in 2021, AMC Entertainment (NYSE: AMC) operates movie theaters primarily in the US and Europe.
Why Are We Hesitant About AMC?
- Flat sales over the last two years suggest it must innovate and find new ways to grow
- Cash-burning tendencies make us wonder if it can sustainably generate shareholder value
- Short cash runway increases the probability of a capital raise that dilutes existing shareholders
AMC Entertainment is trading at $1.17 per share, or 14.6x forward EV-to-EBITDA. Read our free research report to see why you should think twice about including AMC in your portfolio.
Franklin BSP Realty Trust (FBRT)
Share Price: $9.04
Operating as a specialized real estate investment trust (REIT) with roots dating back to 2012, Franklin BSP Realty Trust (NYSE: FBRT) originates and manages a diversified portfolio of commercial real estate debt investments secured by properties in the United States and abroad.
Why Do We Pass on FBRT?
- Annual net interest income growth of 6.1% over the last five years was below our standards for the banking sector
- Earnings per share have dipped by 51.5% annually over the past three years, which is concerning because stock prices follow EPS over the long term
- Products and services are facing significant credit quality challenges during this cycle as tangible book value per share has declined by 7.5% annually over the last five years
Franklin BSP Realty Trust’s stock price of $9.04 implies a valuation ratio of 0.6x forward P/B. To fully understand why you should be careful with FBRT, check out our full research report (it’s free).
High-Quality Stocks for All Market Conditions
Your portfolio can’t afford to be based on yesterday’s story. The risk in a handful of heavily crowded stocks is rising daily.
The names generating the next wave of massive growth are right here in 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 244% over the last five years (as of June 30, 2025).
Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today.
