diff --git a/src/hooks/useDashboardData.ts b/src/hooks/useDashboardData.ts
index 6eb4981..554bd16 100644
--- a/src/hooks/useDashboardData.ts
+++ b/src/hooks/useDashboardData.ts
@@ -69,7 +69,7 @@ export function useDashboardData() {
         const itemValue = quantity * costPrice;
         calculatedTotalStockValue += itemValue;
         console.log(`Item ${index + 1}: ${item.name} - Qty: ${quantity}, Cost: ${costPrice}, Value: ${itemValue}`); // Debug log per item
-        if (quantity < 10) {
+        if (quantity < 3) { // Updated threshold to < 3
           calculatedLowStockAlerts++;
         }
       });
diff --git a/src/pages/Index.tsx b/src/pages/Index.tsx
index 213007e..1938e69 100644
--- a/src/pages/Index.tsx
+++ b/src/pages/Index.tsx
@@ -57,7 +57,7 @@ const Index = () => {
         <StatCard
           title="Low Stock Alerts"
           value={lowStockAlerts}
-          description="Items with quantity < 10."
+          description="Items with quantity < 3."
           icon={<AlertTriangle className="h-4 w-4 text-muted-foreground" />}
         />
         <StatCard