3 Stocks Under $10 To Buy In May
By Rick Munarriz – May 11, 2026 at 6:12AM EST
Key Points
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Archer Aviation trades for a third of the enterprise value of its similar rival.
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Snap is still growing its audience and its revenue per user.
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StubHub has fallen on business model concerns, but this broken IPO is currently trading for 6 times next year’s profit target.
1. Archer Aviation
the promise of its speedy short-haul flights, Archer Aviation stock has its ups and downs. The market is just starting to crystallize for electric vertical takeoff and landing (eVTOL) aircraft. Archer and rival Joby Aviation (JOBY +8.84%) have captured investor interest ahead of the scaling of their businesses.
There has been some turbulence. Near-term revenue targets have been pared back by Wall Street pros as the industry gets ready to take off, literally and figuratively. The next few years should see a pretty dramatic top-line ramp-up based on current analyst projections.
- 2026: $14 million
- 2027: $114 million
- 2028: $512 million
- 2029: $1,609 million
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NYSE: ACHR
Archer Aviation
Today’s Change
(3.19%) $0.20
Current Price
$6.48
Key Data Points
Market Cap
$4.9B
Day’s Range
$6.08 – $6.54
52wk Range
$4.80 – $14.62
Volume
209K
Avg Vol
30M
Gross Margin
-663333.33%
Archer’s Midnight aircraft has a clear path on the growth runway when it does get rolling. Its high-end air taxi service has attracted airline carriers as partners. It will be the official air taxi provider for the 2028 Olympic Games, even buying a small regional airport near Los Angeles International Airport to make sure it can handle its moment in the spotlight. Even the U.S. Air Force is exploring the potential of Archer’s aircraft for military missions.
It will take a few years for Archer to become profitable, and it will remain a high-beta stock. However, with higher annual revenue forecasts than Joby starting in 2028 — but trading at a third of the enterprise value — this Archer is primed to hit its target when it’s time to let the arrows fly.
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NYSE: SNAP
Snap
Today’s Change
(1.67%) $0.10
Current Price
$6.08
Key Data Points
Market Cap
$10B
Day’s Range
$5.71 – $6.09
52wk Range
$3.81 – $10.41
Volume
106K
Avg Vol
53M
Gross Margin
53.09%
2. Snap
It’s fair to say that Snapchat’s parent company Snap isn’t as popular as other visual social hubs Instagram, TikTok, or YouTube. It’s probably still more popular than you think.
Did you know that there are 956 million monthly active users on Snapchat? The platform that made filters or augmented reality lenses cool is also still growing. The audience has grown by 5% over the past year. Tack on a 7% increase in average revenue per user, and Snap’s revenue rose 12% in its latest quarter. It posted back-to-back years of double-digit revenue growth before that. Wall Street pros see low double-digit growth through at least the next couple of years.
Reported profitability has been a problem, but the losses are narrowing. Analysts see Snap turning a profit by next year. It’s generating healthy and positive free cash flow, more than doubling in its latest quarter. On an adjusted basis, Snap stock is actually cheap. The s are trading for 10 times forward adjusted earnings and just 8 times next year’s target.
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NYSE: STUB
StubHub
Today’s Change
(0.52%) $0.04
Current Price
$7.71
Key Data Points
Market Cap
$2.8B
Day’s Range
$7.39 – $7.88
52wk Range
$5.74 – $27.89
Volume
124
Avg Vol
4.2M
Gross Margin
80.54%
3. StubHub
The popular online marketplace for resale tickets to concerts and sporting events has undergone a few ownership changes over the years. It went public in its present form at $23.50 a just eight months ago. Since it’s on the list of stocks below $10, you already know it has not gone well for its IPO investors.
StubHub has shed nearly two-thirds of its value since going public, but it’s been rallying in recent weeks. It wound up on the favorable side of two legal rulings. One win was just StubHub settling a lawsuit alleging that it wasn’t disclosing customer costs up front. The hub settled with the Federal Trade Commission for a reasonable $10 million. The other courtroom win came in a case for rival Live Nation (LYV 1.49%). The jury in that case found it liable for monopolistic pricing, and now some states want Live Nation separated from its Ticketmaster subsidiary.
There is still a potentially catastrophic legal headwind for StubHub. The United Kingdom and some Canadian provinces have moved to prevent platforms from selling event tickets above face value. This is naturally the lion’s of any third-party marketplace, so StubHub’s business model is at risk if this continues to gain traction closer to home.
It’s not the only thing holding StubHub back. After four years of heady growth, revenue dipped 1% last year. If inflation and gas prices keep revving higher, there will ly be less money spent on live events. The good news — if you stomach the risk of court-mandated obsolescence — is that you can buy StubHub for just six times next year’s projected earnings.
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About the Author
Rick Munarriz is a contributing Motley Fool stock analyst and long-time contributor to the company’s free offerings and premium investing services, including Rule Breakers and Supernova. He has analyzed stocks across media and entertainment, retail and restaurants, and emerging technologies for The Motley Fool for 30 years. Rick holds an MBA from the University of Miami, once traveled the country with his band Paris By Air, and on weekends he can be seen on stage at Just The Funny theater in Miami as an improv comedy performer and co-owner. He is a regular guest on CNBC, Fox Business, BBC, and NPR for his expert stock analysis. He lives with his family in Miami and Celebration, Florida.
Stocks Mentioned
Archer Aviation
NYSE: ACHR
$6.48
(+3.19%)+$0.20
Live Nation Entertainment
NYSE: LYV
$163.28
(-1.49%)-$2.47
Snap
NYSE: SNAP
$6.08
(+1.67%)+$0.10
Joby Aviation
NYSE: JOBY
$10.87
(+8.59%)+$0.86
StubHub
NYSE: STUB
$7.71
(+0.52%)+$0.04
*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.
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