Investors bought the dip on Monday, holding the line at the Nasdaq’s 50-day moving average.
The earnings outlook continued to improve through a bulk of third-quarter earnings season — Nvidia’s report on November 19 marks the unofficial end the reporting season.
Current Zacks estimates call for impressive earnings growth in 2026 and 2027 for big tech companies and the entire market. Every Zacks sector is projected to post YoY earnings growth in 2026 and 2027. On top of that, the Fed is going to favor the labor market side of its dual mandate, meaning more cuts are likely.
This backdrop makes it harder to be bearish. It also adds to the likelihood that investors, big and small, keep buying the pullbacks.
Bullish investors looking to buy stocks in November and beyond might want to consider best-in-class cheap stocks trading for under $10 a share.
Along with their cheap stock prices, the stocks we learn to search for earn strong Zacks Ranks, driven by improving earnings outlooks. Wall Street is also very high on these cheap stocks trading for under $10 a share to buy now.
Penny Stocks
One dollar or less used to be the common threshold for what we call “penny stocks.” Today, the SEC has expanded penny stocks to securities that trade for less than $5 a share. Many investors avoid these stocks because they are speculative in nature.
Meanwhile, penny stocks often trade infrequently and hold wide bid/ask spreads. These stocks also carry many other traits that, in many cases, cause excessive volatility. With that said, some penny stocks perform incredibly well, which helps them remain attractive.
Moving on, let’s briefly discuss the next class of cheap stocks. Stocks that trade in the $5 to $10 range are generally less risky than their penny stock counterparts. Investors might be more likely to have heard of these companies or seen the tickers. They are, however, still inherently more speculative than many other higher-priced stocks.
Investors can obviously find winning stocks for under $10 if they are extremely selective. So today, we narrowed the list of thousands of these more speculative stocks down to a more manageable group of $10 and under stocks that might help boost your portfolio.
(Minimum of at least two analysts covering the stock.)
* % Change F1 Earnings Estimate Revisions — 12 Weeks greater than or equal to 0
(Preferably upward earnings estimate revisions, but definitely no downward revisions.)
Here is one stock out of the roughly 70 highly-ranked stocks trading under $10 a share that made it through the screen today…
Compass, Inc. (COMP) is a leading U.S. real estate technology company. The tech-enabled real estate services firm operates an end-to-end platform for residential real estate agents, integrating tools for customer relationship management, marketing, and transaction services, and more.
Image Source: Zacks Investment Research
COMP’s platform empowers real estate agents with mobile apps, AI-driven features like “Likely to Sell,” and programs like Compass Concierge, which funds home improvements for sellers. The real estate tech firm is projected to grow its revenue by 22% in 2025 and 14% in 2026 to reach $7.87 billion.
Compass is also expected to swing from an adjusted loss of -$0.31 a share last year to +$0.16 in 2026. COMP’s FY26 consensus earnings estimate jumped 33% since its Q3 release on November 4. Its upbeat earnings revisions earn it a Zacks Rank #2 (Buy), and it’s crushed our EPS estimates in the trailing four quarters.
Image Source: Zacks Investment Research
Its strong growth highlights Compass’ ability to thrive despite industry setbacks tied to high mortgage rates and a sluggish housing market. COMP stock has jumped 40% in the past year to outclimb Tech’s 28%, which is part of a 190% run in the last three years.
COMP still trades 14% below its average Zacks price target, and it’s on the cusp of possibly breaking out of the key technical range highlighted above. If it does climb above those levels, Compass might be poised to start charging up to its all-time highs.
Get the rest of the stocks on this list and start looking for the newest companies that fit these criteria. It’s easy to do. And it could help you find your next big winner. Start screening for these companies today with a free trial to the Research Wizard. You can do it.
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Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.
Disclosure: Performance information for Zacks’ portfolios and strategies are available at: http://www.zacks.com/performance_disclosure
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Compass, Inc. (COMP) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
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