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3 Stocks Under $10 We Think Twice About

SSP Cover Image

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.

E.W. Scripps (SSP)

Share Price: $3.98

Founded as a chain of daily newspapers, E.W. Scripps (NASDAQ: SSP) is a diversified media enterprise operating a range of local television stations, national networks, and digital media platforms.

Why Should You Sell SSP?

  1. Muted 6.5% annual revenue growth over the last five years shows its demand lagged behind its consumer discretionary peers
  2. Diminishing returns on capital from an already low starting point show that neither management’s prior nor current bets are going as planned
  3. High net-debt-to-EBITDA ratio of 5× increases the risk of forced asset sales or dilutive financing if operational performance weakens

E.W. Scripps’s stock price of $3.98 implies a valuation ratio of 7.8x forward EV-to-EBITDA. Dive into our free research report to see why there are better opportunities than SSP.

Target Hospitality (TH)

Share Price: $8.09

Building mini-communities at places such as oil drilling sites, Target Hospitality (NASDAQ: TH) is a provider of specialty workforce lodging accommodations and services.

Why Do We Avoid TH?

  1. Demand for its offerings was relatively low as its number of utilized beds has underwhelmed
  2. Earnings growth underperformed the sector average over the last five years as its EPS grew by just 10.1% annually
  3. Shrinking returns on capital from an already weak position reveal that neither previous nor ongoing investments are yielding the desired results

At $8.09 per share, Target Hospitality trades at 16.5x forward EV-to-EBITDA. If you’re considering TH for your portfolio, see our FREE research report to learn more.

Myriad Genetics (MYGN)

Share Price: $6.15

Founded in 1991 as one of the pioneers in translating genetic discoveries into clinical applications, Myriad Genetics (NASDAQ: MYGN) develops genetic tests that assess disease risk, guide treatment decisions, and provide insights across oncology, women's health, and mental health.

Why Do We Steer Clear of MYGN?

  1. Sales trends were unexciting over the last two years as its 6% annual growth was below the typical healthcare company
  2. Negative returns on capital show management lost money while trying to expand the business, and its falling returns suggest its earlier profit pools are drying up
  3. Shrinking returns on capital from an already weak position reveal that neither previous nor ongoing investments are yielding the desired results

Myriad Genetics is trading at $6.15 per share, or 174x forward P/E. Check out our free in-depth research report to learn more about why MYGN doesn’t pass our bar.

Stocks We Like More

Check out the high-quality names we’ve flagged in our Top 5 Strong Momentum 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 for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today.

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