Stocks trading under $10 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.
However, the CFRA analyst team has identified nine cheap, high-quality stocks that could be excellent buying opportunities for frugal investors in 2025. Here are nine of the best stocks to buy under $10, according to CFRA:
Vale SA (VALE)
Vale is a Brazilian miner and is one of the world’s largest iron ore and nickel producers. Vale shares lagged in 2024 and are down about 22% in the past year. The silver lining is the pullback has pushed Vale’s dividend yield up to 15.3%, the highest on this list and a rarity among stocks priced under $10. Analyst Matthew Miller says Vale has refocused on safety following the deadly Brumadinho and Samarco dam disasters, and Vale has a strong balance sheet to support its dividend. CFRA has a “buy” rating and $12 price target for VALE stock, which closed at $9 on April 16.
Nokia Corp. (NOK)
Nokia is a telecom equipment and digital map data vendor that also licenses intellectual property to third parties. Analyst Firdaus Ibrahim says 5G investment in the U.S. and China is supporting Nokia’s demand, and he anticipates the 5G upgrade cycle will be larger and longer-lasting than previous cycles. Ibrahim says Nokia did an excellent job navigating a difficult environment of inflation and supply chain disruptions in recent years, and the company’s positive momentum and strong network infrastructure sales growth will likely continue in 2025. CFRA has a “buy” rating and $5.50 price target for NOK stock, which closed at $5.08 on April 16.
Telefonica SA (TEF)
Telefonica is the leading telecommunications company in Spain. Analyst Adrian Ng says Telefonica has made several major restructuring moves to improve its balance sheet and focus on top-performing markets. The company acquired E-Plus in Germany and GVT in Brazil. It also exited Central America and combined its U.K. telecom assets in a joint venture deal with Liberty Global Ltd. (LBTYK). Ng says Telefonica has a strong position in core markets and is positioned for organic growth in revenue and earnings before interest, taxes depreciation and amortization in 2025. CFRA has a “buy” rating and $5 price target for TEF stock, which closed at $4.80 on April 16.
Snap Inc. (SNAP)
Snap is the parent of Snapchat, and the company is a leading mobile-focused social media advertising company. Analyst Angelo Zino says Snap is a highly speculative investment, but the stock is attractively valued, the company’s user base is growing and Snap’s business fundamentals are improving. Zino projects Snap’s daily active user base will continue to grow in the high-single-digit percentage range through at least 2026, and he is optimistic about engagement improvements. Snap has struggled to monetize users, but Zino says artificial intelligence initiatives could unlock value. CFRA has a “buy” rating and $15 price target for SNAP stock, which closed at $7.74 on April 16.
Korea Electric Power Corp. (KEP)
Korea Electric Power is an integrated electric utility company that transmits and distributes electricity in South Korea. Analyst Ahmad Halim says Korea Electric has an opportunity to continue to build on its strong 2024 performance in 2025. Halim says the company’s profitability has improved significantly thanks to price hikes and generation mix optimization. He says Korea’s long-term investments in nuclear energy and grid improvements are bullish for Korea Electric. CFRA has a “buy” rating and $9 price target for KEP stock, which closed at $8.59 on April 16.
Aegon Ltd. (AEG)
Aegon is a Dutch insurance company that offers insurance, savings, pension, and investment products and services around the world. Analyst Alex Goh says Aegon’s 2025 financial targets are achievable given the company’s history of strong execution. Goh is bullish on the company’s strategy of extracting capital from non-core financial assets and focusing on strategic assets that reduce capital ratio volatility and generate an attractive return on capital. A higher contractual service margin improves financial visibility, and Goh says Aegon’s sizable share buyback program reflects management’s confidence. CFRA has a “buy” rating and $7.50 price target for AEG stock, which closed at $6.05 on April 16.
Cleveland-Cliffs Inc. (CLF)
Cleveland-Cliffs is a fully integrated steel producer and is the largest flat-rolled steel company and iron ore pellet producer in North America. Miller says Cleveland-Cliffs prioritizes maximizing return on invested capital and creating value for investors. He says the company has competitive advantages in the automotive market, and its string of acquisitions in recent years has helped create scale advantages as well. Miller says Cleveland-Cliffs can produce a wide range of different products, but its focus on higher-margin automotive steel will help it outperform its peers. CFRA has a “buy” rating and $13 price target for CLF stock, which closed at $7.18 on April 16.
Goodyear Tire & Rubber Co. (GT)
Goodyear Tire & Rubber is the largest U.S. tire manufacturer. The company also produces other rubber, plastic and chemical products. Analyst Garrett Nelson says Goodyear shares are attractively valued at current levels. He is optimistic the company’s transformation plan will help the market fully appreciate Goodyear’s growth outlook. The plan includes optimizing Goodyear’s portfolio and focusing on expanding margins and reducing debt. Roughly 75% of Goodyear’s tire sales are higher-margin replacement tires, and replacement tire sales will be supported by an aging public vehicle fleet. CFRA has a “strong buy” rating and $11 price target for GT stock, which closed at $9.65 on April 16.
Park Hotels & Resorts Inc. (PK)
Park Hotels & Resorts is a hotel and resort real estate investment trust that owns and operates a portfolio of mostly hotel properties in the U.S. Analyst Nathan Schmidt says Park management has done a commendable job in reopening hotels, improving operations and growing revenue per available room back to pre-pandemic levels. Nevertheless, business travel recovery has lagged leisure travel recovery, and occupancy has not fully recovered to 2019 levels. CFRA has a “buy” rating and $15 price target for PK stock, which closed at $9.55 on April 16.