There's cheap, then there's cheap.
Some stocks are cheap in the sense of the definition of the word relating to relatively low price compared to their potential value. Others are cheap under another definition of the word -- because they are of inferior quality.
In a lot of cases, stocks with prices below $10 fall into the latter category. However, there are some that fit into the former group. Three top stocks under $10 that I'd keep an eye on are Insys Therapeutics (NASDAQ: INSY), Novavax (NASDAQ: NVAX), and 22nd Century Group (NYSEMKT: XXII).
Source: Fool.com