Top 5 Stocks Under $20

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20 dollar bills_185What can $20 buy you? Nowadays, it doesn’t seem like much. Depending on where you are and what you drive, a $20 bill may buy you half a tank of gas — if you’re lucky. You could buy two movie tickets or dinner for two at a fast food place. Perhaps, if you’re really thrifty, you can stretch $20 to pay for your lunch for a week.

It’s no secret that the dollar doesn’t stretch as far as it used to. On the stock market, it could take a few hundred dollars to buy a single share of your big-name companies like Apple (NASDAQ:AAPL), MasterCard (NYSE:MA) or Amazon (NASDAQ:AMZN). That being said, it’s important to know that there are some untapped springs of wealth you can dive into at bargain prices.

I’ve put together a list of five stocks that you can establish a position in for less than $20 per share. In no time, you’ll see your profits multiply as these top-rated stocks take off.

Zagg Inc. (NASDAQ:ZAGG) stands for Zealous About Great Gadgets. This company caters to the inner geek in many of us, making accessories that protect our beloved gadgets, including smartphones, laptops, GPS devices and watch faces. The company got its start in 2005 when someone made the connection that a thin polyurethane film, invented by the military to protect helicopter blades, could also cover fragile display screens on pricey electronics.

Chances are that if you own a smart phone or MP3 player and have purchased a protective screen for it, then Zagg has had a hand in protecting it. Zagg recently hit a major homerun with its portable keyboard screen design for Apple’s iPad models. Over the past year, this little-known stock has soared 69%. ZAGG’s full year growth is expected to be over double that of the rest of the industry. At nearly $13 per share, this stock is a steal. As the company continues to zealously produce great gadgets, consumers will continue to snatch them up and the stock will keep climbing.

Majesco Entertainment Company (NASDAQ:COOL) develops games for Sony’s PlayStation, Microsoft’s Xbox and Nintendo’s Wii game systems, as well as games for personal computers. The company is originally known for action titles such as BloodRayne, Black & Bruised and Blowout, but more recently made headlines with the very popular Zumba Fitness video game for the Wii. Majesco Entertainment has made a critical shift in 2011 and investors can’t get enough of the stock. Majesco moved its development efforts to lower-priced value offerings, which gave the company its first profitable quarter in 12 months.

With a new business strategy in hand and several profitable game franchises in development, Majesco will likely be a heavyweight in the gaming world for the foreseeable future. By the end of the year, COOL is expected to have grown 1,100% compared with 30.9% for the rest of the industry. Shares of COOL can be purchased for just over $3 a pop.

Caribou Coffee Company Inc. (NASDAQ:CBOU) is the nation’s second-largest coffee retailer and is a very solid growth story as it increases its income, margins and revenue at a stronger pace than number-one Starbucks (NASDAQ:SBUX). 

It’s been a tough year for retailers of all kinds, however Caribou has managed to keep grinding out coffee and the stock has appreciated 25% in the past year. With over 500 locations attached to its name and counting, Caribou is going to continue to build its empire and shrink the gap between its No. 1 competitor. Join the race by establishing a position in this fast-growing stock for around $12 per share.

Darling International Inc. (NYSE:DAR) has three main divisions: rendering, bakery feeds and restaurant services. In the rendering division the company collects byproducts from food processing companies and recycles them into components for everything from jet fuel and bio-plastics to pet food. The bakery feeds division collects waste from bakery and snack food manufacturers and converts it into “Cookie Meal” — a product that replaces standard animal feed. Finally, the restaurant services division aids restaurants in disposing of cooking oil, installing used oil storage systems and cleaning grease traps.

DAR is looking to haul in over 220% earnings growth for 2011. Analysts are also predicting a 151.4% increase in sales for the year. Now is a great time to stake your claim in this food services play. Shares can be purchased for under $14 per share.

Trinity Biotech PLC (NASDAQ:TRIB) is a diagnostics company that makes both laboratory-based tests and point-of-care diagnostics, which are typically administered and read in the presence of the patient. The company’s broad laboratory portfolio includes tests for diagnosing blood disorders, infectious diseases and diabetes. Trinity sells its test and diagnostic products in about 80 countries.

Trinity is one health care company that was definitely worth the investment this year. The company posted a strong 12.5% earnings surprise for the third quarter. Over the past twelve months TRIB has popped over 46% in value. If you’re looking for a solid health care or global play, kill two birds with one stone by adding shares of TRIB for just over $10 per share.


Article printed from InvestorPlace Media, https://investorplace.com/2011/10/cheap-stocks-zagg-cool-dar-trib-cbou/.

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