Artificial Intelligence is no longer a luxury for big tech companies—it’s now a fast-growing industry with hundreds of startups and public companies building real solutions for healthcare, education, defense, and daily life. And while major AI stocks like Nvidia and Palantir grab headlines, some of the most exciting investment opportunities lie under the radar—in stocks that are still trading under $5.
In this article, we’ll explore three of the best AI stocks currently under $5. These companies are making real progress in AI innovation, and they are available at prices that almost any investor can afford. Here’s what you need to know.
iCAD Inc – A Game-Changer in AI Healthcare
iCAD is one of the most promising AI stocks trading under $5 today. This company focuses on artificial intelligence for medical imaging, especially for the early detection of breast and prostate cancer. Its AI software helps radiologists analyze scans more accurately and faster than traditional methods.
iCAD’s technology has already received FDA approval and is being adopted by hospitals across the U.S. In 2025, the company finalized a major $100 million acquisition deal that expanded its product offerings and boosted its revenue stream.
What makes iCAD attractive is its position in a high-demand sector—healthcare. As the world shifts toward AI-assisted diagnostics, iCAD is uniquely placed to lead. The company is not yet wildly profitable, but analysts expect steady revenue growth of around 15% annually for the next few years. At a current price of $3.87, iCAD offers a rare combination of low entry price and long-term potential.
If you’re looking for a stock with solid fundamentals, FDA-backed products, and AI relevance in medicine, iCAD is a strong contender.
Nerdy Inc – The Future of AI-Powered Learning
Education technology is another space where AI is rapidly transforming the landscape, and Nerdy Inc is leading the way. Nerdy is the parent company behind Varsity Tutors, a platform that connects students with educators through live online sessions. The unique aspect of Nerdy is its use of artificial intelligence to personalize lesson plans, track student performance, and optimize learning outcomes.
Nerdy is currently trading at around $1.59, which makes it highly affordable. But don’t let the low price fool you. Analysts have placed a price target close to $2.50, which reflects a potential upside of more than 50%.
In 2025, Nerdy reported significant growth in its user base and strengthened partnerships with educational institutions in the U.S. The company continues to refine its AI models, making the learning process smoother and more intuitive for both students and teachers.
With AI rapidly becoming essential in education, Nerdy’s low price tag offers a great entry point for investors who want exposure to the EdTech revolution.
Rezolve AI – Intelligent Automation for Modern Business
Rezolve AI is a lesser-known but fast-growing company that operates in the software-as-a-service (SaaS) space. What makes it different is its use of conversational AI to automate customer service, IT support, and employee communications for businesses.
In simple words, Rezolve’s platform helps companies reduce manual workloads by using intelligent chatbots and AI agents. Whether it’s onboarding employees or answering customer queries, Rezolve AI is building systems that save time, reduce costs, and improve user satisfaction.
Currently priced at $2.82, Rezolve AI is an attractive option for investors who are comfortable with a bit more risk in exchange for high-growth potential. In recent months, the company expanded into European markets and saw a boost in client engagement across its digital platforms.
Rezolve may not yet be a household name, but its innovative approach to AI-driven automation is catching attention. If you’re looking for a smaller company with scalable tech and global ambitions, Rezolve AI is worth considering.
How to Invest in Low-Priced AI Stocks Safely
Investing in stocks under $5 can be highly rewarding, but it comes with its own set of risks. Prices can be volatile, and these companies may not always be profitable yet. That’s why it’s important to invest smartly.
Here are a few tips:
- Always research the company’s business model, not just the stock price.
- Avoid going “all in” on any single stock—diversify your investment across 2 or 3 options.
- Set stop-loss orders to limit potential losses if prices fall suddenly.
- Monitor company news, earnings reports, and AI industry trends regularly.
- Invest only what you can afford to lose, especially with speculative stocks.
If you follow a careful strategy and invest in strong companies with real AI applications—like iCAD, Nerdy, and Rezolve—you’re not just buying stocks. You’re investing in the future.
Final Thoughts
Artificial intelligence is transforming our world, and the companies leading this transformation are not always the ones with the biggest price tags. Stocks like iCAD, Nerdy, and Rezolve are trading under $5, but they’re creating technologies that could define the next decade.
These stocks offer a rare opportunity: you can invest early in AI innovation without needing a massive budget. Whether you’re a beginner investor or someone looking to expand their tech portfolio, these low-cost AI stocks provide an affordable and exciting starting point.
The future belongs to AI. And with just a few dollars, you can be part of it today.
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