5 Stocks Under $10 Backed by Solid Management Teams

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Includes: CLNS, GFIG, PDS, SPKKY, STP
by: Kapitall

The following is a list of stocks priced under $10. In addition, all of these stocks have solid management teams, as defined by the return on asset, return on investment and return on equity ratios. Based on average ratios over the past five years, all of these management teams have outperformed their competitors.

Considering the track record of the management teams listed below, are these stocks worth a closer look? Full details below.

Short float and performance data sourced from Finviz, management data sourced from Reuters.

Interactive Chart: Press Play to compare changes in analyst ratings over the last two years for the top six stocks mentioned below. Analyst ratings sourced from Zacks Investment Research. Note: The numbers on top of items represent the forward P/E ratio, if available.



The list has been sorted by price.

1. Precision Drilling Corporation (NYSE:PDS):
Oil & Gas Equipment & Services Industry. Market cap of $2.68B. Price at $9.83. 5-year average ROA at 11.35% vs. industry average at 6.13%. 5-year average ROI at 12.49% vs. industry average at 7.97%. 5-year average ROE at 18.91% vs. industry average at 11.17%. Short float at 0.66%, which implies a short ratio of 2.14 days. The stock has gained 9.95% over the last year.

2. Suntech Power Holdings Co. Ltd. (NYSE:STP): Diversified Electronics Industry. Market cap of $1.62B. Price at $9.17. 5-year average ROA at 4.54% vs. industry average at 3.79%. 5-year average ROI at 6.57% vs. industry average at 5.36%. 5-year average ROE at 10.00% vs. industry average at 8.94%. Short float at 15%, which implies a short ratio of 4.48 days. The stock has lost 49.04% over the last year.

3. Telecom Corp. of New Zealand Ltd. (NZT):
Telecom Services. Market cap of $3.21B. Price at $8.45. 5-year average ROA at 5.06% vs. industry average at 4.16%. 5-year average ROI at 6.81% vs. industry average at 5.85%. 5-year average ROE at 14.81% vs. industry average at 8.6%. Short float at 0.13%, which implies a short ratio of 0.8 days. The stock has lost 3.35% over the last year.

4. NorthStar Realty Finance Corp. (NRF):
REIT. Market cap of $379.63M. Price at $5.13. 5-year average ROA at 4.36% vs. industry average at 2.36%. 5-year average ROI at 4.95% vs. industry average at 2.76%. 5-year average ROE at 17.2% vs. industry average at 4.62%. Short float at 6%, which implies a short ratio of 7.6 days. The stock has gained 23% over the last year.

5. GFI Group Inc. (NYSE:GFIG): Investment Brokerage Industry. Market cap of $572.08M. Price at $4.78. 5-year average ROA at 6.61% vs. industry average at 0.87%. 5-year average ROI at 12.82% vs. industry average at 2.56%. 5-year average ROE at 15.55% vs. industry average at 3.23%. Short float at 4.81%, which implies a short ratio of 8.17 days. The stock has lost 8.72% over the last year.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.