Five Stocks Under $5 to Buy Now

3. SUPERVALU INC. (NYSE:SVU)

SUPERVALU INC. (NYSE:SVU) is trading at new lows and presents an attractive bargain. The Minnesota-based retail company’s earnings per share in its fiscal third quarter came in at $0.05, on $3 billion in revenue, worse than the Street’s projections of $0.13 in EPS and $3.79 billion in revenue. SUPERVALU’s CEO Mark Gross said in a statement that the sale of its Save-A-Lot supermarket business in the fourth quarter will help the company grow its business and operations. In January, RBC Capital analyst William Kirk reiterated his ‘Buy’ rating on SUPERVALU INC. (NYSE:SVU) and said that the company’s macro trends are beginning to improve. As of the end of the fourth quarter, 29 hedge funds in our database were long SUPERVALU INC. (NYSE:SVU), including Cliff Asness’ AQR Capital, which owned 2.64 million shares on December 31.

2. Office Depot Inc (NASDAQ:ODP)

Office Depot Inc (NASDAQ:ODP) recently posted upbeat results for its fourth quarter and fiscal year 2016, though the market has been rather tepid towards the stock this year. The office supplies retail company posted sales of $2.73 billion for the fourth quarter, versus the FactSet consensus of $2.70 billion, while EPS of $0.11 was also above the Street’s forecast of $0.10. Full-year sales of $11 billion were down by 6% from 2015. Office Depot’s new CEO Gerry Smith said in a statement that he has developed a three-year ‘strategic plan’ for profitability improvement and shareholder returns. A total of 31 hedge funds tracked by Insider Monkey were long Office Depot Inc (NASDAQ:ODP) as of the end of the fourth quarter, with their positions valued at over $277 million.

1. Avon Products, Inc. (NYSE:AVP)

Avon is a New York-based company which sells beauty and personal care products. Last month, Avon shares lost a lot of value amid a disappointing fourth quarter report. Avon’s revenue declined by 2.4% during the period to $1.57 billion, while analysts’ were expecting revenue of $1.61 billion. However, investment firm Jefferies reiterated its ‘Buy’ rating on the company, along with a price target of $8, suggesting nearly 100% upside potential. The firm thinks that Avon’s valuation is compelling and that its long-term goals are achievable. A total of 31 hedge funds tracked by Insider Monkey were bullish on Avon Products, Inc. (NYSE:AVP) heading into 2017, owning 12.7% of the company’s shares.

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