7 Hidden AI Stocks Under $10 to Buy

5. Lantronix Inc. (NASDAQ:LTRX)

Number of Hedge Fund Holders: 15

Lantronix Inc. (NASDAQ:LTRX) is one of the hidden AI stocks under $10 to buy. On January 27, Lantronix and Safe Pro Group entered into a partnership, established through a Memorandum of Understanding and a Master Services Agreement, to develop AI-driven edge intelligence for defense and autonomous systems. The collaboration focuses on integrating  Safe Pro’s Object Threat Detection algorithms with Lantronix’s Qualcomm-based Open-Q SOM (System-on-Module) solutions.

This joint effort aims to create embeddable chipsets that enable real-time, on-device threat detection for drones and unmanned aerial systems without requiring cloud connectivity. The technical integration leverages the Open-Q 5165RB SOM, which uses the Qualcomm Dragonwing QRB5165 System on Chip to provide high-performance, power-efficient computing. By processing AI models locally, the architecture improves latency and resilience while enhancing mission-critical security.

The design is optimized for identifying landmines and other small threats, supporting configurations that require advanced machine vision and neural network capabilities directly at the network edge. The partnership also targets high-growth opportunities within the global drone market by collaborating on programs such as Red Cat Holding’s Teal Black Widow quadcopters for the US Army. The initiative also includes integrating AI outputs into the Android Tactical Assault Kit platform via secure gateways. This alignment is intended to accelerate Lantronix’s Edge AI strategy.

Lantronix Inc. (NASDAQ:LTRX) develops, markets, and sells industrial and enterprise IoT products and services in the Americas, Europe, the Middle East, Africa, and the Asia Pacific Japan.