2 Perfect Stocks for a Paradoxical Market

The financial markets feel like a paradox. 

On one hand, the stock market is making fresh, all-time highs on a regular basis. Yet, it’s equally undeniable that there is considerable unease about the economy amid a host of concerns which include trade wars, inflation, and rising recession risk.

Looking at the stock market from a bottom-up perspective, we can observe another dichotomy. The technology sector and overall market are overvalued to a historical degree based on fundamental metrics, yet many parts of the market remain unloved and undervalued. 

Is This Goldilocks?

This puzzle can be solved by understanding the ‘Goldilocks’ dynamic which are ideal conditions for stocks to enjoy a long and durable bull market. A weakening economy means that the Fed is dovish, and rate hikes are off the table. 

But, the economy is not so bad that companies can’t grow earnings. In Q2, the S&P 500 reported earnings growth of 11.9% vs expectations of 4.8% at the end of Q1. 

As long as these conditions persist, investors should retain a bullish bias. Further, they can increase their chances of success by applying a proven, quantitative approach like the Zen Strategies to find the most fundamentally sound stocks.

Stocks Under $10

The Zen Strategies provide a systematic way to identify market opportunities across many categories. One of the most powerful of these strategies, and one perfectly suited for the current environment, is Stocks Under $10. 

This is a category that investors often dismiss, but history shows that the best opportunities often lie in the unloved and underappreciated corners of the market. Particularly in sectors that have fallen out of favor.

Navigating this space requires a strategic and disciplined approach. Applying a proven quantitative method like the Zen Ratings to this category means that investors can participate in the best opportunities and limit downside risk. 

Next we dialed in the Zen Ratings to find the very best stocks under $10 a share. The key is to focus on stellar fundamentals which helps limit downside risk while still enjoying exciting upside potential. 

The results of this Stock Under $10 model speaks for itself…

+34.91% average annual return since 2003

+95.56% in 2022 as the Bear Market unfolded

+23.94% in August 2025 when “under the radar” stocks took a big step forward. 

Below, we've identified 2 terrific companies from the Stocks Under $10 strategy. Each provides a powerful combination of growth and value. And each is a testament to the fact that immense potential is often found where others are not looking.

1. SuRo Capital Corp. (SSSS)

SuRo Capital is an investment fund that offers a unique way for investors to gain exposure to high-growth, venture-backed companies. SSSS is filling an important need by providing access to companies like OpenAI, Plaid, and Canva and high-growth themes such as AI infrastructure, enterprise software, and fintech. 

Its recent strong gains are due to gains in these investments as evidenced by its Q2 earnings which showed a 35% increase in the company’s net asset value from the prior quarter.

Despite the inherent risk of a high-growth, sub-$10 stock, SSSS has an impressive overall rating of Strong Buy (A) from Zen Ratings. This A-rating places it in an elite category of stocks that have delivered more than 32.5% annual earnings growth, exceeding the S&P 500’s 10.5% average annual gain. 

The company also ranks among the top 1% of all stocks for Sentiment, reflecting its growing favor among Wall Street analysts who have recently raised their price targets for the stock and hiked earnings estimates, while insider activity remains constructive. 

2. Aveanna Healthcare Holdings Inc. (AVAH)

Aveanna Healthcare provides home healthcare services including private duty nursing, home health, and hospice care. The company stands to benefit from two powerful demographic and cultural trends: the aging of the baby-boomer generation and the growing preference for home-based care. 

In its last quarter, the company saw a 17% increase in revenue, earnings jumped by 94%, and it raised its full-year outlook. Yet, the company remains reasonably valued with a forward P/E of 17 which is cheaper than the S&P 500’s forward P/E of 23. 

In terms of the Zen Ratings, AVAH earns a Strong Buy (A). The stock's true power, however, lies in its A-rated Growth and A-rated Sentiment. This combination is particularly potent as it signifies that a company with strong is also gaining favor with analysts and institutional investors. 

Want More Great Stock Picks?

The 2 stocks shared above are just a sample of what you will get from our proven Stocks Under $10 strategy. 

That’s because everyday our computers recalculate 115 different factors for every stock. And only the top 7 stocks for this proprietary are shared every day with Zen Strategies members.

See Top 7 Stocks Under $10 Here > 

But perhaps stocks under $10 are not your thing. Maybe you are more about Value stocks or Momentum or Income or Growth etc. 

Gladly we have 11 winning stock picking strategies in total. Something for every investor…and every market condition. 

To learn more about how to tap into all these market beating strategies, then watch the presentation below:

77 Best Stocks NOW! >

Want to get in touch? Email us at news@wallstreetzen.com.