10 Best Stocks Under $3 to Invest In

6. Cabaletta Bio Inc. (NASDAQ:CABA)

Share Price as of October 29: $2.50

Number of Hedge Fund Holders: 20

Cabaletta Bio Inc. (NASDAQ:CABA) is one of the best stocks under $3 to invest in. On October 27, Cabaletta Bio announced positive clinical data and development updates for its investigational targeted cell therapy, rese-cel (resecabtagene autoleucel, formerly known as CABA-201), across its RESET-Myositis, RESET-SSc, and RESET-SLE trials.

As of October 24, the overall RESET program had 76 patients enrolled across 77 clinical trial sites globally. Rese-cel is an autologous CAR T cell therapy engineered to transiently and deeply deplete CD19-positive cells using a single, weight-based infusion, aiming for durable, drug-free clinical responses.

Based on initial data from 3 patients in the RESET-PV trial, suggesting potentially complete B cell depletion is possible with rese-cel without the need for a fludarabine and cyclophosphamide lymphodepleting preconditioning regimen, Cabaletta is expanding this no preconditioning approach into the RESET-SLE trial. A new dose-escalation cohort will be incorporated into the lupus trial to provide a simpler, patient-focused alternative, especially for women of childbearing potential. Initial clinical data from this no preconditioning cohort are anticipated in 2026.

Cabaletta Bio Inc. (NASDAQ:CABA) is a clinical-stage biotechnology company that discovers and develops engineered T cell therapies for patients with autoimmune diseases.