Hey, I found this interesting list of cheaper stocks on the exchange and thought it was worth sharing. Basically, there are a lot of people looking for stocks below R$10, but the truth is that a low price doesn't mean an opportunity — you have to look at the fundamentals.

People tend to confuse things: a stock at R$2 can be too expensive if the company is broke, and a R$100 stock can be cheap if it has growth potential. So I was digging around and found these 10 that are priced affordably but have an estimated upside of over 40% in the coming months.

There’s everything from Azul (aviation, very speculative indeed), Raízen (energy, with a long-term bias), to Qualicorp in healthcare and CVC Brasil in tourism. Casas Bahia and Lojas Quero-Quero also appear on this list of cheaper stocks. Marcopolo caught my attention because it seems to have more solid fundamentals compared to the rest.

The thing is, these cheaper stocks can yield quite a bit if you catch the right recovery, but they can also plunge quickly if things turn sour. There’s a risk of low liquidity, absurd volatility, and that danger of seeming cheap but never leaving the bottom even.

For those wanting to get into this, the basics are: open an account on a platform, set your risk limit, diversify instead of putting everything into one, and set a stop loss. Cheaper stocks are more for those who can handle fluctuations.

Do you think it’s worth it in this market situation or is it too risky?