Updated from 10:19 a.m. EST
Many investors prefer to invest in lower-priced stocks because they believe that the percentage gains can be much greater than with higher-priced stocks. It is interesting that George Soros, one of the top investors in the world, has a substantial part of his portfolio invested in stocks that sell for less than $15 a share. Stockpickr has compiled these names in a portfolio called the
Soros, with an estimated net worth of $8.5 billion, is the founder of the Quantum Fund, which is considered one of the top-performing hedge funds. A $100,000 investment in his fund when he started it in 1969 would've been worth $150 million by 1994.
One of the stocks that Soros owns is
Level 3 Communications
, which sells for less than $4 a share. This telecommunications switching-service company yesterday reported a narrowed fourth-quarter loss and increased sales, both of which beat analyst expectations.
Level 3 is also owned by the
, which invests at least 80% of its assets in communications services or communications equipment companies.
Another low-priced stock of Soros' is
Wind River Systems
, which sells for less than $9 a share. This provider of software optimization solutions just reported that it has reorganized into four product divisions in order to improve profitability. The stock has a forward price-to-earnings (P/E) ratio of 17 and a P/E-to-growth (PEG) ratio of 1.2.
Wind River also shows up in an interesting portfolio called
. This portfolio also lists
, which has a PEG of 1.2, and
, with a 0.8 PEG.
sells for less than $11 a share and is another shareholding of Soros. This semiconductor company has scheduled its earnings call for March 8. The stock has a forward P/E of 15 and a PEG of 1.2.
Marvell shares also are owned by the
, which is rated five stars by Morningstar. It also holds
Alliance Data Systems
, which has a PEG of 0.7,
Research In Motion
, with a PEG of 1, and
, with a 0.9 PEG.
To see the entire dozen under-$15 stocks Soros owns, check out the
At the time of publication, Altucher and/or his fund had no positions in stocks mentioned, although positions may change at any time.
James Altucher is president of
LLC, a wholly owned subsidiary of TheStreet.com and part of its network of Web properties, and a managing partner at Formula Capital, an alternative asset management firm that runs a fund of hedge funds. He is also a weekly columnist for the
and the author of
Trade Like a Hedge Fund
Trade Like Warren Buffett
. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Altucher appreciates your feedback;
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