1 Stock Under $10 to Target This Week and 2 Facing Headwinds

Investors can certainly boost their returns by concentrating on stocks trading between $1 and $10. However, a disciplined approach is necessary because many of these businesses are speculative and lack the underlying fundamentals to support their prices.

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 is one stock under $10 that could 100x and two that may have trouble.

Two Stocks Under $10 to Sell:

Quest Resource (QRHC)

Share Price: $2.15

Recycling corporate waste to help companies be more sustainable, Quest Resource (NASDAQ:QRHC) is a provider of waste and recycling services.

Why Do We Steer Clear of QRHC?

1. Annual sales declines of 3.6% for the past two years show its products and services struggled to connect with the market during this cycle
2. Shrinking returns on capital from an already weak position reveal that neither previous nor ongoing investments are yielding the desired results
3. High net-debt-to-EBITDA ratio of 7× increases the risk of forced asset sales or dilutive financing if operational performance weakens

At $2.15 per share, Quest Resource trades at 54x forward P/E. Dive into our free research report to see why there are better opportunities than QRHC.

GoodRx (GDRX)

Share Price: $2.29

Started in 2011 to tackle the problem of high prescription drug costs in America, GoodRx (NASDAQ:GDRX) operates a digital platform that helps consumers find lower prices on prescription medications through price comparison tools and discount codes.

Why Do We Pass on GDRX?

1. Underwhelming customer growth over the past two years shows the company faced challenges in winning new contracts
2. Smaller revenue base of $800.7 million means it hasn’t achieved the economies of scale that some industry juggernauts enjoy
3. Negative returns on capital show that some of its growth strategies have backfired

GoodRx is trading at $2.29 per share, or 6x forward P/E. To fully understand why you should be careful with GDRX, check out our full research report (it’s free).

One Stock Under $10 to Watch:

Clover Health (CLOV)

Share Price: $2.26

Founded in 2014 to improve healthcare for America's seniors through technology, Clover Health (NASDAQ:CLOV) provides Medicare Advantage plans for seniors with a focus on affordable care and uses its proprietary Clover Assistant software to help physicians manage patient care.

Why Does CLOV Catch Our Eye?

1. Average customer growth of 10.3% over the past two years demonstrates success in acquiring new clients that could increase their spending in the future
2. Earnings growth has massively outpaced its peers over the last four years as its EPS has compounded at 65% annually
3. Cash-burning tendencies have improved over the last five years, showing it could become financially independent one day

Clover Health’s stock price of $2.26 implies a valuation ratio of 32.4x forward P/E. Is now the time to initiate a position? Find out in 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 6 Stocks for this week. 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-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.