Top 10 Stocks Under $10

Yahoo Finance has released the latest top 10 stocks under $10. This is one of my favorite watchlists because I love trading fast-moving midcaps.

Vaalco Energy (EGY)
Composite Rating: 99*. The $510 million market cap firm is tracked in IBD?s Oil & Gas-U.S. Exploration & Production group. Analysts see second-quarter profit surging 100% to 18 cents a share.

Interstate Hotels & Resorts (IHR)
Composite Rating: 94. Last week, the hotel management company reported a 25% increase in second-quarter profit of 10 cents a share, topping estimates by 5 cents.

Landec Corp. (LNDC)
Composite Rating: 93. The maker of specialty polymer products has a three-year earnings growth rate of 128%. Its Fundamental Rating of 84 (B) ranks it No. 3 out of 46 stocks in IBD?s Food-Misc Preparation group.

Qwest Communications Int?l (Q)
Composite Rating: 92. Last week, the company signed a two-year agreement with Affiliated Computer Services to provide advanced network services.

Cincinnati Bell (CBB)
Composite Rating: 91. Shares surged 15% on August 2 after the company reported a 60% jump in second-quarter profit. Its industry group, Telecom Services, has a Group Technical Rating of 97 (A+) from IBD Stock Checkup, indicating broad leadership in the group.

GigaMedia (GIGM)
Composite Rating: 91. Last week, the Taiwan-based online entertainment software company reported its sixth straight quarter of triple-digit profit growth. Analysts see annual earnings surging 92% in 2006 and 44% in 2007.

Pacific Internet (PCNTF)
Composite Rating: 91. The Singapore-based Internet service provider is scheduled to report second-quarter results on August 17. It has a three-year EPS growth rate of 43%.

Smith & Wesson (SWHC)
Composite Rating: 91. The maker of handguns has delivered accelerating sales growth for four straight quarters, from 16% to 22% to 24% to 44%.

CDC Corp. (CHINA)
Composite Rating: 90. The Hong-Kong-based owner of Internet portal China.com is expected to grow annual earnings by 136% in 2006 and 42% in 2007. Estimates were recently revised higher.

Key Tronic (KTCC)
Composite Rating: 85. Shares gapped up 52% on July 11 after the company raised its fiscal fourth-quarter earnings guidance to 18 cents to 20 cents a share vs. its prior estimate of 7 cents to 12 cents. The provider of electronic manufacturing services will report earnings on August 22.