5 Stocks Under $10
Source: Motley Fool (Original Article)
In these belt-tightening Dollar Menu days, it’s good to know that there are still plenty of low-priced stocks that have the potential to give you more bang for your buck.
I’ve been singling out attractive stocks that happen to be trading in the single digits, dating all the way back to my original “5 Stocks Under $10″ column seven years ago. Naturally, there are beefy risks here. You don’t trade for less than a Hamilton unless you have either done something wrong or have failed to be recognized for doing something right.
Many of my picks will never make it out of the gutter, but the upside is explosive for those that do break out. Let’s go over this month’s list.
eLong (Nasdaq: LONG) — $7.69
Market sentiment has turned on Chinese travel portals. Even the upcoming Olympic Games in Beijing are being spun as a negative, with limited hotel availability crimping the commission-generating potential. eLong has never been a market darling, but even niche leader Ctrip.com (Nasdaq: CTRP) has shed nearly 30% of its value since last month’s peak.
So why believe in eLong? Well, let’s start with its yuan-stocked balance sheet. The company isn’t trading for much more than its $6.27 a share in cash. It isn’t posting the revenue gains or even the profitability of larger rival Ctrip, but travel in China is going to be a booming business for several more years.
This isn’t just about the Olympics. If anything, the global spotlight will hopefully do more to stir up demand for future travel in China than just the near-term flurry this summer.
Web.com (Nasdaq: WWWW) — $8.36
Known as Website Pros until this month’s name change, Web.com is a one-stop shop for companies looking to establish a Web presence. From site-building tools to search-engine optimization and lead generation, the company does it all.
An iffy economy may inspire displaced workers to get entrepreneurial in cyberspace. The pumpkin carving pattern company’s most recent quarter was strong, …continue reading