5 Best Stocks Under $5 in 2021

3. Waitr Holdings Inc. (NASDAQ: WTRH)

Price as of April 23, 2021: $2.56
Number of Hedge Fund Holders: 17

Ranking 3rd in our list of 10 best stocks under $5 in 2021 is food delivery platform Waitr Holdings Inc. (NASDAQ: WTRH). The Louisiana-based software company provides on-demand food ordering and delivery services in the U.S. According to data firm Second Measure, Waitr only controls about 1% of the online food distribution market in the United States. However, the company managed to continue to rise steadily in sales and, after replacing full-time drivers with independent contractors in 2020, it became profitable.

The company has a market cap of $288.9 million. In 2020, Waitr’s sales increased by 7% to $204.3 million. Shares of WTRH rose 134.9% over the past twelve months. Waitr Holdings Inc. was upgraded from Hold to Buy by Deutsche Bank analysts on March 8, with a price target of $4, up from $3.80.

There were 17 hedge funds that reported owning stakes in Waitr Holdings Inc. (NASDAQ: WTRH) at the end of the fourth quarter, up from 13 funds a quarter earlier. The total value of these stakes at the end of Q4 is $55.9 million. 

India Picture/Shutterstock.com