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.

Luckily for you, our mission at StockStory is to help you make money and avoid losses by sorting the winners from the losers. That said, here are three stocks under $10 to avoid and some other investments you should consider instead.

Share Price: $4.44

Specializing in local media coverage, Gray Television (NYSE:GTN) is a broadcast company supplying digital media to various markets in the United States.

Why Do We Avoid GTN?

Muted 5.4% annual revenue growth over the last five years shows its demand lagged behind its consumer discretionary peers

Stagnant returns on capital show management has failed to improve the company’s business quality

High net-debt-to-EBITDA ratio of 8× could force the company to raise capital at unfavorable terms if market conditions deteriorate

Gray Television is trading at $4.44 per share, or 1.4x forward P/E. Check out our free in-depth research report to learn more about why GTN doesn’t pass our bar.

Share Price: $9.20

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 Pass on TH?

Performance surrounding its utilized beds has lagged its peers

Earnings per share fell by 3.7% annually over the last five years while its revenue grew, showing its incremental sales were much less profitable

Waning returns on capital from an already weak starting point displays the inefficacy of management’s past and current investment decisions

Target Hospitality’s stock price of $9.20 implies a valuation ratio of 14.7x forward EV-to-EBITDA. To fully understand why you should be careful with TH, check out our full research report (it’s free).

Share Price: $1.27

Formerly known as Nuturn, NN (NASDAQ:NNBR) provides metal components, bearings, and plastic and rubber components to the automotive, aerospace, medical, and industrial sectors.

Why Are We Out on NNBR?

Products and services are facing end-market challenges during this cycle, as seen in its flat sales over the last five years

Negative free cash flow raises questions about the return timeline for its investments

Waning returns on capital from an already weak starting point displays the inefficacy of management’s past and current investment decisions

At $1.27 per share, NN trades at 24.2x forward P/E. If you’re considering NNBR for your portfolio, see our FREE research report to learn more.

ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren't just high-quality businesses. Something is happening with them right now. Elite fundamentals meeting near-term momentum — both boxes checked at the same time.

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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.