In this article, we will look at the 10 Best Tech Stocks Under $5 to Buy.
On May 28, Tom Lee, Fundstrat, and Brian Belski, Humilis founder and CEO, appeared on CNBC’s ‘Closing Bell’ to talk about the trajectory of the market.
He was of the view that it is important to remember that, now that the Q1 earnings are behind us, people thought that the S&P earnings were to be $70. It is going to come in at $80, which is a $10 beat, and $40 annualized. That means that this added, the upside to earnings is somewhere between 800 and a thousand points of S&P upside. He believes that the entire rally since April can be explained by the Q1 earnings beat.
READ ALSO: 12 Best Small Cap Tech Stocks to Buy According to Hedge Funds AND 10 Best Momentum Stocks to Buy According to Analysts.
His base case for this year, which he expected to be a challenging one and feels like it as well, is that we would rally towards 7,300 initially, now we are above that, and that we can maybe get as high as 77. However, Lee also thinks that we are going to digest a lot of things until October, and that is a new Fed chair, the energy shock, especially the shortages of petroleum products and lubricants, and the IPOs of SpaceX, OpenAI, and Anthropic. He believes that could pressure stocks in a way that it feels like a bear market.
With these broader market trends in view, let’s look at the best tech stocks under $5 to buy.
Our Methodology
We used the Finviz stock screener to identify the best tech stocks under $5 and selected the top 10 most popular among hedge funds as of Q1 2026, using the hedge fund sentiment data from Insider Monkey’s database. The stocks are arranged in ascending order of hedge fund sentiment.
Note: All data was recorded on May 29.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
10 Best Tech Stocks Under $5 to Buy
10. CI&T Inc. (NYSE:CINT)
Number of Hedge Fund Holders: 5
CI&T Inc. (NYSE:CINT) is one of the best tech stocks under $5 to buy. Wedbush cut the price target on CI&T Inc. (NYSE:CINT) to $7 from $9 on May 12, maintaining an Outperform rating on the shares. The rating update came to reflect a lower multiple, with the firm noting that CI&T Inc.’s (NYSE:CINT) fiscal Q1 results featured slight misses across the board, while it raised its FY26 revenue guidance and maintained its adjusted EBITDA margin guidance. This is happening in a backdrop where the company’s AI strategy is continuing to gain ground across both deployments and monetization.
Previously, CI&T Inc. (NYSE:CINT) received a rating update from Wedbush on April 9 when the firm initiated coverage of the stock with an Outperform rating and a $9 price target. It stated that IT Services are pivotal to cloud computing initiatives and the usage of AI technologies, with many organizations serving as key enablers of the next stage of operational advancement and digital transformation. It further noted that although spending on IT projects has risen incrementally, it has fluctuated meaningfully since the pandemic.
CI&T Inc. (NYSE:CINT) provides design, strategy, and software engineering services to allow digital transformation. Its solutions and services include Digital Strategy, Customer-Centric Design, and Top-of-the-Line Software Engineering.
9. SEALSQ Corp (NASDAQ:LAES)
Number of Hedge Fund Holders: 7
SEALSQ Corp (NASDAQ:LAES) is one of the best tech stocks under $5 to buy. SEALSQ Corp (NASDAQ:LAES) announced on May 27 a further strategic investment in EeroQ. The company entered into a new investment agreement with EeroQ while building on the ongoing technology cooperation project of the two companies, and announced its agreement to serve as the lead investor in EeroQ’s upcoming financing round. The new commitment came after two strategic investments the company made in EeroQ in December 2025 and in February, with the investment made using the company’s Quantum Fund.
In a separate development, SEALSQ Corp (NASDAQ:LAES) announced on May 20 the integration of IC’Alps into its semiconductor and post-quantum technology ecosystem, stating that the acquisition and integration of IC’Alps considerably bolsters its chip design and ASIC development capabilities while also reinforcing Europe’s strategic objective of semiconductor independence and technological sovereignty. It added that the integration expands the company’s end-to-end chip development capabilities, which span secure architecture and chip design through post-quantum implementation and industrial deployment.
SEALSQ Corp (NASDAQ:LAES) is involved in the security of microcontrollers. The company’s operations are divided into the following geographical segments: North America, Europe, the Middle East, Africa, Asia Pacific, and Latin America.
8. Vtex (NYSE:VTEX)
Number of Hedge Fund Holders: 16
Vtex (NYSE:VTEX) is one of the best tech stocks under $5 to buy. UBS lifted the price target on Vtex (NYSE:VTEX) to $4.10 from $4 on May 8 and maintained a Neutral rating on the shares. The rating update came after the company reported financial results for fiscal Q1 2026 on May 7, with GMV reaching US$5.1 billion and representing a year-over-year increase of 17.1% in USD and 6.8% on an FX neutral basis. Total revenue rose to US$60.7 million in fiscal Q1 2026 from US$54.2 million in the prior year period, representing a year-over-year increase of 12.1% in USD and 2.4% on an FX neutral basis.
Management reported that subscription revenue represented 98.8% of total revenues, reaching US$60.0 million in the quarter from US$52.6 million in the prior year period, reflecting a year-over-year growth of 14.0% in USD and 4.2% on an FX neutral basis.
Vtex (NYSE:VTEX) provides a software-as-a-service digital commerce platform for retailers and enterprise brands.
7. Marqeta, Inc. (NASDAQ:MQ)
Number of Hedge Fund Holders: 23
Marqeta, Inc. (NASDAQ:MQ) is one of the best tech stocks under $5 to buy. Marqeta, Inc. (NASDAQ:MQ) announced on May 26 the expansion of its portfolio of account and money movement tools into 30 additional European countries through its collaboration with Banking Circle, which is a leading global bank licensed in Luxembourg and regulated by the Commission de Surveillance du Secteur Financier (CSSF). Management stated that the expanded offering allows businesses across Europe to “enrich their card programs with embedded virtual accounts and multi-rail payment capabilities, creating more personalized experiences that drive deeper customer engagement”. It also reported that the expansion builds on solid momentum Marqeta, Inc. (NASDAQ:MQ) holds in the region.
For additional reference, in its financial results for fiscal Q1 2026, Marqeta, Inc. (NASDAQ:MQ) reported Total Processing Volume of $112 billion, up 33% year-over-year. Net revenue for the quarter was $166 million, while gross profit reached 118 million, both growing 19% year-over-year. The company also reported that GAAP net income for the quarter was $8 million, while adjusted EBITDA was $33 million.
Marqeta, Inc. (NASDAQ:MQ) is involved in the creation of digital payment technology and develops a modern card issuing platform that provides infrastructure and tools for building configurable payment cards.
6. N-able, Inc. (NYSE:NABL)
Number of Hedge Fund Holders: 25
N-able, Inc. (NYSE:NABL) is one of the best tech stocks under $5 to buy. Needham cut the price target on N-able, Inc. (NYSE:NABL) to $6.50 from $8 on May 8, maintaining a Buy rating on the shares. The company also received a rating update from Scotiabank the same day, with the firm lifting the price target to $5.75 from $5.25 and reiterating a Sector Perform rating on the shares. It told investors in a research note that the company posted a quarter where ARR growth and profitability were decent. However, it pointed out that the 2026 guidance for key metrics isn’t moving higher.
For reference, in its financial results for fiscal Q1 2026, N-able, Inc. (NYSE:NABL) reported total revenue of $133.7 million, up 13.1% year-over-year, or 8.3% year-over-year growth on a constant currency basis. Subscription revenue reached $132.5 million, growing 13.4% year-over-year, or 8.6% year-over-year on a constant currency basis. Management also reported that total ARR for the quarter was $548.0 million, representing 11.2% year-over-year growth, or 7.9% year-over-year growth on a constant currency basis.
N-able, Inc. (NYSE:NABL) provides cloud-based software solutions for managed service providers. The company’s products include Endpoint Detection and Response, Remote Monitoring and Management, Backup and Data Protection, DNS Filtering, Mail Assure, Passportal, MSP Manager, Threat Hunting, Take Control, and Closer User Hub.
While we acknowledge the potential of NABL to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than NABL and that has 100x upside potential, check out our report about the cheapest AI stock.
Click to continue reading and see the 5 Best Tech Stocks Under $5 to Buy.
Disclosure: None. Follow Insider Monkey on Google News.
