Earlier on August 29, Bob Keiser, Aspire Strategist Portfolios co-chief investment officer and senior market strategist, joined CNBC’s ‘Closing Bell Overtime’ to suggest that earnings growth continues to be in large-cap and growth stocks. Keiser stated that his firm has been bullish for two years, primarily expressing this through large-cap core exposure and growth stocks. The justification for this strategy is that this is where the earnings growth has been and continues to be. Discussing the overrepresentation of certain large technology stocks in the S&P 500, Keiser confirmed that investors have had to get used to it and pointed out that the top 10 stocks in the S&P account for about 40% of the market cap.
He provided a fundamental reason for this concentration: the technology and growth slice of the S&P 500 is the only sector this year that is expected to post four quarters of double-digit earnings growth on top of four quarters of double-digit earnings growth last year. Consensus expectations also project another year of four consecutive quarters of double-digit growth for the following year. Thus, investors have a fundamental reason for embracing these stocks and are certainly rewarded for it. Keiser then discussed a potential broadening of the market beyond tech, a concept he supports by looking ahead to 2026.
That being said, we’re here with a list of the 10 best large cap stocks to buy now under $20.
Methodology
We sifted through the Finviz stock screener to compile a list of the top large cap stocks that were trading between $10 billion to $200 billion and had a share price under $20. We then selected the 10 stocks that were the most popular among elite hedge funds and that analysts were bullish on. The stocks are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q2 2025.
Note: All data was sourced on October 23.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
10 Best Large Cap Stocks to Buy Now Under $20
10. Rivian Automotive Inc. (NASDAQ:RIVN)
Market Capitalization as of October 23: $15.68 billion
Share Price as of October 23: $12.92
Number of Hedge Fund Holders: 38
Rivian Automotive Inc. (NASDAQ:RIVN) is one of the 10 Best Large Cap Stocks to Buy Under $20. On October 20, JPMorgan analyst Ryan Brinkman raised the price target on Rivian to $10 from $9, while maintaining an Underweight rating on the shares. This sentiment was announced as a part of a Q3 2025 preview by the firm for the autos group.
JPMorgan raised its estimates for the auto suppliers, as this sector segment is the firm’s preferred area. The decision came due to stronger global light vehicle production and favorable trends in currencies and commodities. At the same time, JPMorgan lowered estimates for rental car companies due to aggressive pricing. A similar sentiment was expressed for tiremakers due to a rise in low-cost imports.
Rivian Automotive Inc. (NASDAQ:RIVN), together with its subsidiaries, designs, develops, manufactures, and sells EVs and accessories.
9. Cenovus Energy Inc. (NYSE:CVE)
Market Capitalization as of October 23: $30.20 billion
Share Price as of October 23: $16.78
Number of Hedge Fund Holders: 41
Cenovus Energy Inc. (NYSE:CVE) is one of the 10 Best Large Cap Stocks to Buy Under $20. On October 23, Travis Wood from National Bank kept a Buy rating on Cenovus Energy, with a price target of C$28.00. However, earlier on October 9, Raymond James analyst Michael Barth upgraded Cenovus Energy to Strong Buy from Outperform with a price target of C$32, which was an increase from C$30.
Raymond James updated the company’s model to include the MEG acquisition. Therefore, the firm views Cenovus as offering the best risk-adjusted return in the space. In other news, on October 8, Cenovus Energy announced that the company entered into an Amended Agreement to acquire MEG Energy Corp. The agreement amends the original arrangement agreement dated August 21 earlier this year and increases the aggregate purchase price.
Cenovus Energy Inc. (NYSE:CVE), together with its subsidiaries, develops, produces, refines, transports, and markets crude oil, natural gas, and refined petroleum products in Canada, the US, and China.
