This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

$5 Stocks That Analysts Expect to Double

BOSTON (TheStreet) -- Investors in stocks that trade for less than $5 think of nothing more than a quick return.

Some are lucky enough to double their money. Some get wiped out. After all, many large investment firms bar their own managers and traders from holding stocks that cost less than $5. Still, owning a stock that is volatile enough to double in price is Wall Street's version of the brass ring.

To find under-$5 stock candidates for a big return, turn to hard-to-find analysts' reports. Some analysts have boldly predicted that a handful of $5 stocks could double in price over the next several months.

TheStreet sought out five stocks that currently trade below $5 primed to double by examining U.S. companies with coverage by no fewer than five analysts. The following five companies made the grade.

5. Orexigen Therapeutics (OREX) shares rallied Friday after the company said results from a trial showed that patients taking its Contrave obesity drug were two to three times more likely to lose at least 5% or 10% of their body weight compared to those taking a placebo.

Share Price: $5.20 (July 30 close)

Average Price Target: $12.75, based on four analyst price targets of $14, $8, $12 and $13 dating to June. Compared to the current share price for Orexigen, the average price target represents a 138% surge.

2010 Performance: -30.1% (S&P 500 has fallen 1.3% so far this year)

Analysts' View: Eleven analysts cover Orexigen shares, with eight, or 72.7%, rating the stock as a "buy." JPMorgan, Jefferies, Canaccord Genuity and Cowen & Co. are among the research firms that expect the shares to outperform.

1 of 5

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,001.22 -38.27 -0.22%
S&P 500 1,988.40 -3.97 -0.20%
NASDAQ 4,538.5510 +6.4470 0.14%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs