In this article, we will look at the 11 Best and Cheap Stocks to Buy Right Now.
On October 3, Wharton professor and WisdomTree Chief Economist Jeremy Siegel joined CNBC for an interview to discuss the current and near-future outlook for the stock market. He noted that the upward trend in the market remains intact, despite concerns about the government shutdown. Siegel highlighted that he does not see the shutdown derailing the market unless it lasts longer than 2 weeks, which he believes could hurt consumer sentiment.
Siegel is looking forward to the third and fourth quarter earnings to see the impact of tariffs. He believes that the effect will be clearly visible in the fourth quarter as the holiday retail season brings out the consumer sentiment. He thinks tariffs cause a one-time price bump, like a tax on imports, but the Federal Reserve should not overreact by tightening credit or delaying rate cuts because of it. He expects the Fed will cut interest rates by a quarter percentage point at the October meeting and again in December.
Moreover, Siegel reaffirmed that stock prices are driven by earnings and interest rates. He noted that despite some slowing in consumer spending, corporate earnings remain strong, partly due to investments in areas like AI. He believes earnings growth and credit flows will continue to support the stock market during this period.
With that, let’s take a look at the 11 Best and Cheap Stocks to Buy Right Now.
Our Methodology
To curate the list of 11 Best and Cheap Stocks to Buy Right Now, we used the Finviz Stock Screener, Seeking Alpha, and Insider Monkey’s Q2 2025 database. Using the screener, we aggregated a list of cheap stocks (those trading below the forward P/E of 15). Next, we cross-checked the P/E ratios from Seeking Alpha and ranked the stocks in ascending order of the number of hedge fund holders sourced from Insider Monkey’s database.
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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
11 Best and Cheap Stocks to Buy Right Now
11. Sanofi (NASDAQ:SNY)
Forward P/E Ratio: 9.91
Number of Hedge Fund Holders: 24
Sanofi (NASDAQ:SNY) is one of the Best and Cheap Stocks to Buy Right Now. On September 24, Sanofi (NASDAQ:SNY) announced an additional $625 million investment in Sanofi Ventures to boost the fund’s total assets to over $1.4 billion.
Management noted that this investment supports the venture’s long-term focus on biotech and digital health startups. Sanofi (NASDAQ:SNY) founded Sanofi Ventures in 2012; which has invested more than $800 million in around 70 companies internationally. The venture invests in companies of all stages from early seed to IPOs. Management noted that they support companies by sitting on the boards and aiding in exits.
Sanofi (NASDAQ:SNY) is a global healthcare company based in France. The company researches, develops, manufactures, and markets medicines, vaccines, and consumer healthcare products.
10. Altria Group, Inc. (NYSE:MO)
Forward P/E Ratio: 12.07
Number of Hedge Fund Holders: 54
Altria Group, Inc. (NYSE:MO) is one of the Best and Cheap Stocks to Buy Right Now. On September 23, Lisa Lewandowski from Bank of America Securities maintained a Buy rating on Altria Group, Inc. (NYSE:MO), with a price target of $72.
The analyst noted the company’s partnership with KT&G Corp as a key step towards growth in the oral nicotine market. She noted that this includes acquiring a big stake in Another Snus Factory, thereby boosting the company’s position in the smoke-free product area. Moreover, the LOOP brand is also seen as a growth opportunity for the company due to the variety of its flavour collection and nicotine levels.
The analyst also likes Altria Group, Inc. (NYSE:MO)’s financial plans to optimize and innovate the program, and also supports the company’s efforts towards improving its pricing power. She highlighted that the regulatory framework looks favourable and supports the long-term growth outlook of the company.
Altria Group, Inc. (NYSE:MO) is a leading American tobacco company that provides a range of tobacco products for adult consumers aged 21 and older.
9. Chubb Limited (NYSE:CB)
Forward P/E Ratio: 12.91
Number of Hedge Fund Holders: 61
Chubb Limited (NYSE:CB) is one of the Best and Cheap Stocks to Buy Right Now. On September 30, Chubb Limited (NYSE:CB) announced that it will release its fiscal third-quarter results on October 22, 2025. Wall Street is bullish on the stock, expecting strong results for the third quarter.
The company topped EPS estimates for its second quarter. It delivered an EPS of $6.14, ahead of the consensus by $0.17, driven by growth in underwriting and investment income. However, the revenue of $12.39 billion, despite growing 5.12% year-over-year, missed estimates by $139 million.
Management noted that it achieved $2.97 billion in net income, indicating 33.1% year-over-year growth. Moreover, the core operating income also reached a record high of $2.48 billion, reflecting a 12.9% year-over-year growth.
Wall Street is bullish on the stock. On September 19, Gregory Peters from Raymond James reiterated a Buy rating on Chubb Limited (NYSE:CB) with a price target of $340. More recently, on October 1, David Motemaden from Evercore ISI raised the firm’s price target on the stock from $312 to $315, while keeping an Outperform rating.
Chubb Limited (NYSE:CB) is a Switzerland-based company providing a wide range of insurance and reinsurance services globally.
8. PDD Holdings Inc. (NASDAQ:PDD)
Forward P/E Ratio: 13.35
Number of Hedge Fund Holders: 65
PDD Holdings Inc. (NASDAQ:PDD) is one of the Best and Cheap Stocks to Buy Right Now. On September 8, Reuters reported that the major Chinese e-commerce players are fighting a pricing war to win instant retail market share. This war is expected to depress the companies’ short to medium-term profits.
PDD Holdings Inc. (NASDAQ:PDD) is also facing challenges as other key players in the industry have been flooding customers with discounts and coupons to win market share. Co-CEO of the company, Zhao Jiazhen, noted that the industry competition further intensified throughout the second quarter of 2025.
Despite the tough competition, PDD Holdings Inc. (NASDAQ:PDD) topped Wall Street estimates with EPS of $3.09, ahead by $1.03, and the revenue of $14.54 billion also topped estimates by $178.40 million. However, Zhao Jiazhen noted the quarter’s profit levels to be unsustainable due to the tough pricing competition and cautioned investors to expect fluctuations in future quarters.
Wall Street remains largely bullish on PDD Holdings Inc. (NASDAQ:PDD), with some analysts having a cautious outlook. On August 26, Saiyi He from CMB International Securities raised the price target on the stock from $134.5 to $146.3, while maintaining a Buy rating on the stock. More recently, on August 27, Tsz from DBS maintained a Hold rating on the stock with an associated price target of $120.
PDD Holdings Inc. (NASDAQ:PDD) is a multinational commerce company that connects businesses and consumers through digital platforms.
7. Verizon Communications Inc. (NYSE:VZ)
Forward P/E Ratio: 9.22
Number of Hedge Fund Holders: 71
Verizon Communications Inc. (NYSE:VZ) is one of the Best and Cheap Stocks to Buy Right Now. On October 1, Geotab announced the acquisition of the commercial operations of Verizon Communications Inc. (NYSE:VZ)’s Connect telematics business in several countries, including the UK, Ireland, Italy, France, Germany, the Netherlands, Poland, Portugal, and Australia.
Management noted the acquisition does not include the company’s Connect products, engineering, and other non-sales-focused teams. Geotab operates in connected vehicle solutions, and this strategic move helps expand in key international markets by strengthening its position among small to mid-sized fleet companies.
Moreover, as a result of this acquisition, over 400 Verizon Connect employees in Europe and Australia will join Geotab. Management noted that the integration will take effect immediately, and Verizon Connect customers in these regions will experience a smooth transition.
Verizon Communications Inc. (NYSE:VZ) is a holding company that offers communications and technology services through its subsidiaries.
6. ConocoPhillips (NYSE:COP)
Forward P/E Ratio: 14.95
Number of Hedge Fund Holders: 72
ConocoPhillips (NYSE:COP) is one of the Best and Cheap Stocks to Buy Right Now. On September 25, ConocoPhillips (NYSE:COP) announced that it will host its fiscal third-quarter earnings conference on November 6, 2025.
The company reported mixed results during its fiscal second quarter of 2025. It delivered an EPS of $1.42, which topped estimates by $0.06. However, the revenue of $14.74 billion, which grew 4.27% year-over-year, missed estimates by $150.41 million. Management noted production for the quarter was 2,391 MBOED, which grew 446 MBOED year-over-year.
ConocoPhillips (NYSE:COP) expects third-quarter production between 2.33 MMBOED and 2.37 MMBOED. Wall Street is bullish on the stock ahead of its earnings release. On September 15, Nitin Kumar CFA from Mizuho Securities reiterated a Buy rating on the stock, while reducing the price target from $125 to $120. More recently, on September 25, Stephen Richardson from Evercore ISI also reiterated a Buy rating on the stock with a price target of $115.
ConocoPhillips (NYSE:COP) is an exploration and production company focused on crude oil, natural gas, and natural gas liquids.
5. Wells Fargo & Company (NYSE:WFC)
Forward P/E Ratio: 14.42
Number of Hedge Fund Holders: 75
Wells Fargo & Company (NYSE:WFC) is one of the Best and Cheap Stocks to Buy Right Now. On September 30, John Pancari from Evercore ISI raised the firm’s price target on Wells Fargo & Company (NYSE:WFC) from $94 to $98, while keeping an Outperform rating on the stock.
The analyst noted that the regional banks and specialty finance trends appear solid for the fiscal third quarter of 2025. However, he cautioned that the full momentum might not be realized in earnings until early 2026. Wells Fargo & Company (NYSE:WFC) topped Wall Street estimates during its fiscal second quarter of 2025. It delivered an EPS of $1.54, ahead of consensus by $0.14. Moreover, the revenue of $20.82 billion grew by 0.64% year-over-year to top the estimates by $15.16 million.
Wells Fargo & Company (NYSE:WFC) is a financial services firm offering banking, investment, mortgage, and finance products to individuals, businesses, and institutions.
4. Comcast Corporation (NASDAQ:CMCSA)
Forward P/E Ratio: 7.34
Number of Hedge Fund Holders: 82
Comcast Corporation (NASDAQ:CMCSA) is one of the Best and Cheap Stocks to Buy Right Now. On September 29, Jessica Reif Ehrlich from Bank of America Securities raised the firm’s price target on Comcast Corporation (NASDAQ:CMCSA) while keeping a Neutral rating on the stock.
The analyst noted that she expects Q3 Media EBITDA to improve due to the timing of Peacock’s exclusive NFL game. However, this gain is expected to be partially offset by lower Theme Park revenue as attendance is still increasing at Epic.
Moreover, Jessica Reif Ehrlich noted that her firm has slightly improved its broadcast net adds forecasts and is now expecting a decline of 120,000, up from the previous estimate of a 130,000 decline. This justifies the slight increase in price target. In addition, the firm is keeping its estimates for video and mobile subscriber declines at 290,000 and 400,000, respectively.
Comcast Corporation (NASDAQ:CMCSA) is a global media and technology company that provides broadband, wireless, and video services through brands like Xfinity, Comcast Business, and Sky.
3. Pfizer Inc. (NYSE:PFE)
Forward P/E Ratio: 7.71
Number of Hedge Fund Holders: 83
Pfizer Inc. (NYSE:PFE) is one of the Best and Cheap Stocks to Buy Right Now. On September 30, Reuters reported that Pfizer Inc. (NYSE:PFE) and President Donald Trump had announced a deal to lower Medicaid drug prices in the US. The company agreed to match its Medicaid prices to those it charges in other developed countries in exchange for tariff relief on its imports.
President Trump noted that Pfizer Inc. (NYSE:PFE) will offer its most favoured nation prices on all new drugs launched in the United States, while the other drug makers are expected to follow the same. Moreover, the company will also invest $70 billion in domestic manufacturing and research. The company will receive a 3-year grace period from tariffs as long as products are made in the United States. The new Medicaid prices will be effective in 2026 and will be based on the lowest prices paid in eight other developed economies.
After the announcement, on October 1, Tim Anderson from Bank of America Securities reiterated a Buy rating on Pfizer Inc. (NYSE:PFE), with a price target of $28.
Pfizer Inc. (NYSE:PFE) is a global biopharmaceutical company that discovers, develops, manufactures, and markets medicines worldwide.
2. Merck & Co., Inc. (NYSE:MRK)
Forward P/E Ratio: 8.8
Number of Hedge Fund Holders: 92
Merck & Co., Inc. (NYSE:MRK) is one of the Best and Cheap Stocks to Buy Right Now. On September 30, Courtney Breen from Bernstein reiterated a Hold rating on Merck & Co., Inc. (NYSE:MRK) without disclosing any price target.
Merck & Co., Inc. (NYSE:MRK) is set to announce its fiscal third quarter results on October 30. The company posted mixed results during its second quarter of 2025. The company topped Wall Street estimates with an EPS of $2.13, ahead of the consensus by $0.10. However, the revenue of $15.81 billion declined 1.90% falling short of the expectations by $66.69 million.
Management updated its full-year sales guidance for 2025 and is now expecting revenue between $64.3 billion and $65.3 billion, up from the prior guidance of $64.1 billion and $65.6 billion.
Merck & Co., Inc. (NYSE:MRK) is a global healthcare company that develops and sells prescription medicines, vaccines, and animal health products.
1. The Progressive Corporation (NYSE:PGR)
Forward P/E Ratio: 13.28
Number of Hedge Fund Holders: 99
The Progressive Corporation (NYSE:PGR) is one of the Best and Cheap Stocks to Buy Right Now. On October 1, David Motemaden from Evercore ISI lowered the firm’s price target on The Progressive Corporation (NYSE:PGR) from $275 to $273, while keeping a Hold rating on the stock.
The analyst noted that they updated the price targets for multiple international Insurance Property & Casualty companies under their coverage. He expects the company to deliver solid Q3 results, despite the stock showing mixed performance recently. He also noted that the insurance sector has been underperforming the greater S&P equal-weight index.
The Progressive Corporation (NYSE:PGR) posted mixed results in Q2 2025. The company topped EPS estimates by $0.47; however, the revenue of $20.08 billion grew 12.15% year-over-year but fell short of expectations by $257.13 million.
The Progressive Corporation (NYSE:PGR) is an insurance holding company with personal and commercial insurance businesses.
While we acknowledge the potential of PGR to grow, 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 PGR and that has 100x upside potential, check out our report about this cheapest AI stock.
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