On Tuesday, October 28, all the three major averages finished at new heights. The broad market S&P 500 went up by 0.23%. The tech-heavy Nasdaq Composite gained 0.80% and the Dow Jones Industrial Average increased by 0.34%. All three averages had hit new all-time intraday highs as well.
This performance comes as investors are stepping more into the AI trade just before the Federal Reserve planned to announce its interest rate decision. Investors are also looking for a sign from Fed Chair Jerome Powell that there will be another interest rate cut at the central bank’s final meeting of this year in December.
The market reacted positively as tensions between the US and China appeared to ease on Monday. This was ahead of an important meeting between President Donald Trump and Chinese President Xi Jinping, which will take place on Thursday. On Monday, President Trump stated that the two countries are expected to agree on a trade deal. This meeting could include talks about China’s restrictions on rare earth minerals, soybean purchases, and TikTok.
In other news, many of the “Magnificent Seven” are scheduled to report earnings this week. The earnings season is off to a strong start. According to FactSet data, about one-third of S&P 500 companies have reported earnings, with 83% of these companies beating earnings expectations.
Mike Dickson, head of research and quantitative strategies at Horizon Investments, told CNBC:
“Obviously, valuations have been fairly elevated by historical standards, and we’ve probably gotten about all the help we’re going to get out of the Fed without something bad [going] wrong. This has got to be led by the earnings side of things, and quite frankly, to start, we have absolutely seen that. We got to see what these behemoths have to say.”
With this background in mind, let’s take a look at the 10 stocks under $20 to buy according to analysts.
Our Methodology
To compile our list of the 10 stocks under $20 to buy according to analysts, we used the Finviz stock screener to look for stocks with a share price of less than $20 as of October 28, 2025. We sorted our results based on market capitalization and picked the top 50 stocks. Next, we focused on the stocks that analysts believe have the most potential for growth. Finally, we ranked the top 10 stocks under $20 to buy based on their average price target upside potential according to analysts as of October 28, 2025.
Additionally, we mentioned the hedge fund sentiment surrounding each stock, which was taken from Insider Monkey’s Q2 2025 database of 983 elite hedge funds.
Why do we care about what hedge funds do? 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 Stocks Under $20 to Buy According to Analysts
10. Albertsons Companies, Inc. (NYSE:ACI)
Share Price: $18.47
Average Price Target Upside Potential According to Analysts: 29.94%
Number of Hedge Fund Holders: 49
Albertsons Companies, Inc. (NYSE:ACI) is one of the top stocks under $20 to buy according to analysts. On October 20, Tigress Financial Partners increased its price target on Albertsons Companies, Inc. (NYSE:ACI) from $28 to $29 and kept a Buy rating.
This decision came after Albertsons Companies, Inc. (NYSE:ACI) shared strong results for Q2 fiscal year 2025. The company reported steady sales growth, better profitability, and progress in its digital transformation investments.
Tigress Financial Partners pointed out that Albertsons Companies, Inc. (NYSE:ACI) is growing through AI-powered digital sales. The firm also highlighted the company’s high-margin retail media platform and expanding loyalty programs as key reasons behind the increase in price target.
The research firm sees Albertsons Companies, Inc.’s (NYSE:ACI) Media Collective as an important long-term growth driver. The firm expects it to help increase both revenue and margins over the next three years.
Tigress Financial Partners also noted the company’s recent $750 million accelerated share repurchase agreement. Albertsons Companies, Inc. (NYSE:ACI) is investing in digital growth initiatives, new store openings, and store upgrades.
Previously, on October 16, JPMorgan had also maintained a Buy rating on Albertsons Companies, Inc. (NYSE:ACI) with a price target of $24 after the results for the second quarter of fiscal 2025 were reported.
Albertsons Companies, Inc. (NYSE:ACI) is a leading food and drug retailer in the US. It operates stores under 22 well-known brands such as Albertsons, Safeway, Vons, Pavilions, Randalls, Tom Thumb, Carrs, Jewel-Osco, ACME, Shaw’s, Star Market, United Supermarkets, Market Street, Haggen, Kings Food Markets, and Balducci’s Food Lovers Market.
9. PG&E Corporation (NYSE:PCG)
Share Price: $16.12
Average Price Target Upside Potential According to Analysts: 30.27%
Number of Hedge Fund Holders: 77
PG&E Corporation (NYSE:PCG) is one of the top stocks under $20 to buy according to analysts. On October 24, Wolfe Research increased its price target on PG&E Corporation (NYSE:PCG) from $19 to $21 and kept an Outperform rating.
Wolfe Research pointed to PG&E Corporation’s (NYSE:PCG) impressive long-term growth prospects. The company projects its rate base to grow by 9% and EPS to also grow by at least 9% from 2026 to 2030.
Wolfe Research also praised PG&E Corporation’s (NYSE:PCG) CEO Patti Poppe, highlighting improvements in regulatory relations and better engagement with policymakers under her leadership.
PG&E Corporation (NYSE:PCG) has taken important steps to reduce wildfire risks. Wolfe Research noted that the company is working on a significant undergrounding project. PG&E Corporation (NYSE:PCG) aims to keep customer bills at or below the expected rate of inflation with its “simple affordable model.”
Additionally, the research firm pointed out that PG&E Corporation’s (NYSE:PCG) expected growth in rate base and earnings puts it among the leading companies in the industry. According to Wolfe Research, the company also benefits from California’s supportive regulatory environment.
PG&E Corporation (NYSE:PCG) is an energy holding company whose subsidiary, Pacific Gas and Electric Company, provides electricity and natural gas to customers in Northern and Central California.
8. Mobileye Global Inc. (NASDAQ:MBLY)
Share Price: $13.41
Average Price Target Upside Potential According to Analysts: 34.23%
Number of Hedge Fund Holders: 26
Mobileye Global Inc. (NASDAQ:MBLY) is one of the top stocks under $20 to buy according to analysts. On October 27, UBS reiterated its Neutral rating on Mobileye Global Inc. (NASDAQ:MBLY) with a price target of $17.
This decision came after Mobileye Global Inc. (NASDAQ:MBLY) shared that it has secured a new Surround ADAS award. This nomination was given by a leading Western automaker for a high-volume program. It follows a previous award the company received from Volkswagen AG.
This new award shows progress in Mobileye Global Inc.’s (NASDAQ:MBLY) long-term strategy and might help bring more Surround ADAS contracts from other non-Chinese manufacturers.
However, UBS pointed out that this program is not expected to start before 2028. This creates a long wait before the program brings in any revenue. The research firm thinks that the 2026 estimates for Mobileye Global Inc. (NASDAQ:MBLY) are now making more sense than earlier forecasts.
UBS also believes that the stock could rise in the coming weeks if Mobileye Global Inc. (NASDAQ:MBLY) can announce which automaker is involved.
Mobileye Global Inc. (NASDAQ:MBLY) is an autonomous driving company that develops advanced driver-assistance systems (ADAS) and autonomous driving technologies.
7. Kenvue Inc. (NYSE:KVUE)
Share Price: $14.51
Average Price Target Upside Potential According to Analysts: 37.84%
Number of Hedge Fund Holders: 72
Kenvue Inc. (NYSE:KVUE) is one of the top stocks under $20 to buy according to analysts. On October 27, Jefferies reduced its price target on Kenvue Inc. (NYSE:KVUE) from $25 to $23 and kept a Buy rating.
Jefferies noted that retail trends are showing signs of weakness. The research firm highlighted a 1.5% drop, which represents a 100 basis point reduction quarter-over-quarter. The company is also facing legal challenges in the United Kingdom related to allegations that its talc products cause cancer.
According to Jefferies, the lower price target accounts for “lower visibility into turnaround timing, given liability risk.” Despite this, the research firm believes Kenvue Inc.’s (NYSE:KVUE) guidance for 2025 will remain intact. The firm also suggested that updates related to a new permanent CEO and the company’s strategic review could prove to be more important to investors right now. Jefferies expects to see these announcements soon.
Previously, on October 24, Deutsche Bank had also reduced its price target on Kenvue Inc. (NYSE:KVUE) from $20 to $18 and maintained a Hold rating.
Kenvue Inc. (NYSE:KVUE) is a global consumer health company. The company’s brands include iconic names like Aveeno, BAND-AID, Johnson’s, Listerine, Neutrogena, and Tylenol.
6. Permian Resources Corporation (NYSE:PR)
Share Price: $12.30
Average Price Target Upside Potential According to Analysts: 50.41%
Number of Hedge Fund Holders: 49
Permian Resources Corporation (NYSE:PR) is one of the top stocks under $20 to buy according to analysts. On October 13, UBS reaffirmed its Buy rating on Permian Resources Corporation (NYSE:PR) with a price target of $17.
This decision comes ahead of Permian Resources Corporation’s (NYSE:PR) earnings report for the third quarter of 2025, which is due on November 5.
UBS noted that Permian Resources Corporation (NYSE:PR) has delivered strong execution throughout 2025. The research firm expects the company to provide another strong operational update when it shares its quarterly results.
Additionally, UBS pointed out that improvements in efficiency are helping Permian Resources Corporation (NYSE:PR) enhance free cash flow, which should allow the company to reduce its debt.
UBS sees Permian Resources Corporation (NYSE:PR) as a top consolidator that has better well economics than many of its competitors.
Permian Resources Corporation (NYSE:PR) is an independent oil and natural gas company with operations in the Permian Basin, with a concentration in the core of the Delaware Basin.
5. JBS N.V. (NYSE:JBS)
Share Price: $13.21
Average Price Target Upside Potential According to Analysts: 53.17%
Number of Hedge Fund Holders: 38
JBS N.V. (NYSE:JBS) is one of the top stocks under $20 to buy according to analysts. On October 14, BMO Capital reduced its price target on JBS N.V. (NYSE:JBS) from $19 to $17 and kept an Outperform rating.
BMO Capital now has a softer outlook for Pilgrim’s Pride Corporation (NASDAQ:PPC) and expects weaker margins for US beef packers. This led the firm to reduce its estimates for JBS N.V. (NYSE:JBS) for 2025 and 2026.
However, BMO Capital is still more optimistic about JBS N.V. (NYSE:JBS) than other companies in the protein industry. The research firm noted that the company has a diversified business model, including beef operations outside the US.
The firm also pointed out that the recent drop in the stock price was excessive. BMO Capital noted that JBS N.V. (NYSE:JBS) trades at just over 6.5 times the firm’s estimated EBITDA for the company for 2026. This suggests that the stock may be undervalued.
JBS N.V. (NYSE:JBS) is a leading global food company that produces meat and poultry products. It also owns a majority stake in Pilgrim’s Pride Corporation (NASDAQ:PPC), one of the largest poultry producers in the world.
4. Venture Global, Inc. (NYSE:VG)
Share Price: $9.39
Average Price Target Upside Potential According to Analysts: 59.74%
Number of Hedge Fund Holders: 22
Venture Global, Inc. (NYSE:VG) is one of the top stocks under $20 to buy according to analysts. On October 22, Venture Global, Inc. (NYSE:VG) announced that the US Department of Energy gave the final non-Free Trade Agreement (FTA) export authorization for its CP2 facility in Cameron Parish, Louisiana.
This approval from the Trump administration will allow the company to supply liquified natural gas from its CP2 plant to countries that do not have a free trade agreement with the US. Venture Global, Inc.’s (NYSE:VG) management believes this approval will greatly benefit the US balance of trade.
Venture Global, Inc. (NYSE:VG) plans to safely and quickly complete its CP2 project, which is currently under construction. The company aims to start supplying liquified natural gas from its CP2 plant in 2027.
According to Reuters, Venture Global, Inc. (NYSE:VG) will be able to export 28 million metric tons per annum (mtpa) of natural gas to non-FTA countries. Many countries in Europe and Asia do not have FTA agreements with the US and companies require permission to supply liquified natural gas to such markets.
Venture Global, Inc. (NYSE:VG) is an American company that produces and exports liquefied natural gas (LNG).
3. QXO, Inc. (NYSE:QXO)
Share Price: $18.10
Average Price Target Upside Potential According to Analysts: 65.75%
Number of Hedge Fund Holders: 65
QXO, Inc. (NYSE:QXO) is one of the top stocks under $20 to buy according to analysts. On October 20, Vertical Research analyst Adam Baumgarten initiated coverage of QXO, Inc. (NYSE:QXO), giving the stock a Buy rating and setting the price target at $30.
Previously, on October 9, Truist Securities had also maintained a Buy rating on QXO, Inc. (NYSE:QXO) but reduced its price target from $30 to $28. The research firm noted there is weakness in roofing volumes because of storm activity and weaker trends in new construction.
Truist Securities also pointed out that winter months could cause inventory reductions in distribution channels, which can hurt production for manufacturers of roofing materials.
The firm believes weak pricing will come in as the industry adjusts before the 2026 season, which can create more challenges for companies like QXO, Inc. (NYSE:QXO). Despite this, Truist Securities kept its Buy rating on QXO, Inc. (NYSE:QXO) and pointed out that the company is focused on mergers and acquisitions, “which could occur at any time.”
QXO, Inc. (NYSE:QXO) is a major distributor of roofing, waterproofing, and complementary building products in North America.
2. Summit Therapeutics Inc. (NASDAQ:SMMT)
Share Price: $19.23
Average Price Target Upside Potential According to Analysts: 79.41%
Number of Hedge Fund Holders: 30
Summit Therapeutics Inc. (NASDAQ:SMMT) is one of the top stocks under $20 to buy according to analysts. On October 20, Jefferies reduced its price target for Summit Therapeutics Inc. (NASDAQ:SMMT) from $44 to $42 and kept a Buy rating.
This decision came after Summit Therapeutics Inc. (NASDAQ:SMMT) experienced some volatility because investors had mixed reactions to recent updates from the company.
Summit Therapeutics Inc. (NASDAQ:SMMT) amended the protocol for the HARMONi-3 study, which Jefferies sees as positive. The firm believes that the protocol change can minimize risk and improve the chances that the trial could succeed.
Additionally, Jefferies pointed out that Summit Therapeutics Inc. (NASDAQ:SMMT) is on track to submit its Biologics License Application (BLA) in Q4 to get approval for ivonescimab plus chemotherapy.
However, the research firm noted that some investors might have hoped for more business development activities or other news that could have helped the company’s balance sheet for funding planned studies.
Summit Therapeutics Inc. (NASDAQ:SMMT) is a biopharmaceutical company focused on discovering, developing, and commercializing medicinal therapies for serious unmet medical needs, mainly in oncology.
1. Aurora Innovation, Inc. (NASDAQ:AUR)
Share Price: $5.20
Average Price Target Upside Potential According to Analysts: 130.77%
Number of Hedge Fund Holders: 41
Aurora Innovation, Inc. (NASDAQ:AUR) is one of the top stocks under $20 to buy according to analysts. On October 28, Aurora Innovation, Inc. (NASDAQ:AUR) shared that it is expanding its driverless truck service as it introduces a second driverless route, which runs 600 miles from Fort Worth to El Paso.
This announcement came just 6 months after the first route opened, which runs from Dallas to Houston. This helped Aurora Innovation, Inc. (NASDAQ:AUR) become the fastest in the US self-driving industry to expand commercial operations to a second market.
Aurora Innovation, Inc. (NASDAQ:AUR) has also exceeded 100,000 driverless miles on public roads. The company has five driverless trucks delivering customer freight regularly with a perfect safety and on-time record.
Additionally, Aurora Innovation, Inc. (NASDAQ:AUR) shared its aim to meet strong customer demand by launching hundreds of driverless trucks with its next-generation Aurora Driver hardware in 2026. The company’s next-generation hardware will cut costs by half while also improving performance and durability. The new FirstLight Lidar system will be able to detect objects up to 1,000 meters away, which is double the distance of the current generation.
Aurora Innovation, Inc. (NASDAQ:AUR) is a self-driving technology company. The Aurora Driver is a self-driving system that can operate various types of vehicles, including freight-hauling trucks and ride-hailing passenger vehicles.
While we acknowledge the potential of AUR as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than AUR and that has a 100x upside potential, check out our report about the cheapest AI stock.
READ NEXT: 10 Best American AI Stocks to Buy According to Analysts and 11 Dirt Cheap Stocks to Buy According to Analysts.
Disclosure: None.
