6 Cheap Stocks Under $5 That Actually Have Long-Term Potential

Buying stocks under $5 might sound like a risky move, but for some investors, it's a way to chase big potential gains without putting a ton of money on the line. Of course, lower-priced stocks can be volatile, so it’s important to go in with your eyes open. That said, we’ve rounded up a few stocks currently trading under $5 that some experts think could have long-term potential. This list isn’t investment advice, but it can be a helpful starting point if you’re curious. Just be sure to do your own research and talk to a financial advisor before diving in.

Telefónica S.A. (NYSE: TEF)

Telefónica, headquartered in Spain, is a global telecommunications giant operating across Europe and Latin America. It offers a broad range of services, including broadband, mobile, and digital solutions. Telefónica's extensive market presence and ongoing investments in 5G infrastructure make it well-positioned to capitalize on the increasing global demand for connectivity and digital transformation.​

Ribbon Communications Inc. (NASDAQ: RBBN)

Ribbon Communications specializes in real-time communications technology and provides network solutions to service providers and enterprises worldwide. Its portfolio includes IP optical networking and cloud-based solutions. As digital communication becomes increasingly integral to various sectors, Ribbon's innovative solutions could drive future expansion and mark its position in the market.​

Altice USA Inc. (NYSE: ATUS)

Altice delivers internet, TV, and mobile services to millions of U.S. homes. It's focused on customer experience and expanding high-speed networks. That could help it compete in a tough broadband market, especially as demand rises for faster internet and mobile bundles that don’t break the monthly budget.

Brandywine Realty Trust (NYSE: BDN)

This REIT focuses on office and mixed-use properties in fast-developing city centers. With assets in places like Philadelphia and Austin, Brandywine could benefit as businesses return to urban hubs and seek more flexible, modern workspaces. It’s a real estate bet with long-term transformation potential baked in.

B2Gold Corp. (NYSEAMERICAN: BTG)

B2Gold runs gold mining operations in Africa and Asia and maintains low production costs across multiple countries. Since gold prices historically climb during economic uncertainty, B2Gold offers exposure to a steady sector. Consistent output and ongoing exploration make this miner one to watch when markets get wobbly.

Sutro Biopharma Inc. (NASDAQ: STRO)

Sutro is pushing boundaries in cancer treatment by developing targeted therapeutics using its own platform technology. It’s still in the early stages, but its science is promising, and the pipeline is growing. For biotech watchers, this could be one of those quiet players with big breakthroughs down the road.

Tilray Brands Inc. (NASDAQ: TLRY)

Tilray combines cannabis with consumer goods by offering wellness products, beverages, and more. Their global operations and growing legalization momentum mean that the company is built for the long game. Tilray is positioning itself as a lifestyle brand in a rapidly shifting global marketplace.

POET Technologies (NASDAQ: POET)

POET builds high-speed photonic components for AI, edge computing, and data centers. Its work supports the growing demand for faster, more efficient data transfer. Although its name flies under the radar, its impact could quietly power major shifts in how tech is delivered and processed.

Ares Commercial Real Estate (NYSE: ACRE)

Ares originates and manages commercial property loans with a focus on income. It sports a dividend yield of over 12% and attracts investors looking for returns. The institutional backing and a careful approach to risk offer exposure to commercial real estate without owning any buildings outright.

Ambev S.A. (NYSE: ABEV)

Ambev keeps South America refreshed with beer, soda, and more. It’s part of the Anheuser-Busch InBev family, which gives it major supply chain and branding muscle. They also have strong roots in Brazil and beyond, so they have the ability to hold steady in both good times and the region’s more unpredictable cycles.

Globalstar Inc. (NYSEAMERICAN: GSAT)

Globalstar delivers satellite-powered wireless services to places cell towers can’t reach. It quietly made headlines after teaming up with Apple to support emergency satellite texting. As remote work and off-grid living gain traction, Globalstar’s niche could prove increasingly essential in the digital communication ecosystem.

ChargePoint Holdings Inc. (NYSE: CHPT)

ChargePoint runs one of the largest EV charging networks around. Its stations fuel electric vehicles across North America and Europe. The global push toward clean transportation, ChargePoint’s recurring revenue model, and early infrastructure advantage could keep it in the driver’s seat as EV adoption accelerates.

Spirit Airlines Inc. (NYSE: SAVE)

Spirit sticks to its ultra-low-cost model. Travelers may grumble, but the demand is there—especially as budget-conscious flying makes a comeback. The airline’s focus on efficiency and scale could help it thrive even in a challenging post-pandemic travel market.

AgEagle Aerial Systems Inc. (NYSEAMERICAN: UAVS)

AgEagle designs drones for agriculture, infrastructure inspection, and commercial delivery. It’s tapping into a rapidly growing UAV market with potential beyond hobby flying. If industries keep adopting drone technology, AgEagle’s position as both manufacturer and innovator could give it real staying power in the skies.

Transocean Ltd. (NYSE: RIG)

Transocean runs one of the most advanced offshore drilling fleets in the world. Its specialty is deepwater oil projects that are expensive but potentially high-reward. When oil prices rise and exploration rebounds, Transocean’s experience and global operations are likely to put it back in the energy spotlight quickly.