Analysts Favorite Tech Stocks Trading Under $10
24/7 Wall St. reviews dozens of analyst upgrades, downgrades and initiations each morning of the week. Quite simply, the hunt is on for new ideas of stocks to buy and stocks to sell. Sometimes themes emerge or sector calls are made that stand out from the pack. In this case, it is Wall Street analysts’ favorite technology stocks to buy – in particular, the top tech stocks to buy that are trading at or under $10 per share.
Investors have flocked to lower priced stocks for years. The rationale is that it seems easier to buy 1,000 shares of a $10 tech stock than it is 100 shares of a $150 stock.
While most Wall Street firms prefer higher priced stocks for a multitude of reasons, they do cover a wide variety of lower priced names. We have scanned our Wall Street data base for solid tech stocks trading at or under $10 and which are rated highly by the Street with Buy or Outperform ratings.
Some of the research calls have been made in recent days, and some of these stocks have been analysts’ favorite names for weeks or months. These are Wall Street’s favorite tech stocks trading at or under $10 per share.
Applied Micro Circuits Corp. (NASDAQ: AMCC) received two upgrades recently at Ascendiant Capital and Roth Capital. The company is a global leader in computing and connectivity solutions for next-generation cloud infrastructure and data centers. Applied Micro delivers silicon solutions that dramatically lower total cost of ownership. The Ascendiant price target is $14 and the Roth Capital even higher at $16. The Thomson/First Call consensus is at $13.20, versus Friday’s closing price of $9.71.
Atmel Corporation (NASDAQ: ATML) is a Buy rated stock at Merrill Lynch. The company is a worldwide leader in the design and manufacture of microcontrollers, capacitive touch solutions, advanced logic, mixed-signal, nonvolatile memory and radio frequency (RF) components. The Merrill Lynch price target is set at $11. The Thomson/First Call consensus is at $8.98, and Atmel closed on Friday at $8.11.
Boingo Wireless, Inc. (NASDAQ: WIFI) is a Buy rated stock at Jefferies. The company’s vast footprint of small cell networks covers more than a million DAS and Wi-Fi locations and reaches more than 1 billion consumers annually – in places as varied as airports, stadiums, universities and military bases. Boingo closed at $6.74 on Friday. The Jefferies price target for the stock is $8.00, and the consensus target is even high at $8.88.
8X8 Inc. (NASDAQ: EGHT) is a top analyst pick for upside. While the rest of the stocks in this post are trading at less than $10, 8X8 is trading above that threshold. The company is a provider of secure and reliable cloud-based unified communications and virtual contact center solutions to more than 36,000 small, midsize and distributed enterprise organizations operating in over 40 countries across six continents. The Merrill Lynch price target for this Buy rated stock is $13, and the consensus is at $12.40. 8X8 closed Friday at $10.55.
Extreme Networks Inc. (NASDAQ: EXTR) received a nice boost this last week at Raymond James which initiated coverage with a BUY rating. The company delivers high-performance switching and routing products for data center and core-to-edge networks, wired/wireless LAN access, and unified network management and control. Raymond James has an $8 price target for the stock, the consensus is even higher at $9. Extreme Networks closed Friday at $5.60.
Glu Mobile Inc. (NASDAQ: GLUU) is a top mobile gaming stock to buy at Cowen and Piper Jaffray. The company is now reaping the success of the moves that it made in its past product cycle to monetize its games in a better and more efficient manner. Its strategy of focusing on leveraging platform strength and creating long-term gaming franchises has proved profitable. Shares of Gluu Mobile closed at $4.50 on Friday. The Cowen price target for the stock is $6, and the consensus is at $5.80.
RF Micro Devices Inc. (NASDAQ: RFMD) is a supplier to Apple Inc.’s (NASDAQ: AAPL) iPhone, and a larger screen for expected new iPhones could bode even better for the chip maker. The company is recognized for its diverse portfolio of semiconductor technologies and RF systems expertise. It is a preferred supplier to the world’s leading mobile device, customer premises, and communications equipment providers. The stock is rated as Buy at Merrill Lynch with a $10 price target versus a consensus price target of $8.37. This makes Merrill Lynch’s target the highest of all analysts, and RFMD shares closed at $7.70 on Friday.
While these stocks are certainly not for conservative portfolios, they are not wild penny-stock speculations either. They are all rated as Buy or Outperform at some of the top firms on Wall Street. Investors with some money carved out for riskier assets may want to look closer at these names.