In this article, we explore the 11 Best Low-Priced Stocks to Buy Right Now.
The focus in the equity market is slowly shifting from high-priced stocks that are trading at premium valuations. The increased focus on low-priced stocks stems from growing hope that the US Federal Reserve will start cutting its benchmark rate, as data shows weakness in the US economy.
Low-priced stocks benefit the most from easier monetary policy, as they often rely on borrowing for growth. That’s because interest rate cuts lower the cost of capital, making it easier to take out loans to expand the business. Wolfe Research strategist Rob Ginsberg has already pointed out that investors “wasted no time stepping in and buying the dip” after a recent broad market sell-off.
With more than 50% of stocks in the Russell 2000 index hitting their one-month lows, “A short-term indicator that is often met with buying is emerging,” Ginsberg said, adding that “the signal more often than not marks a near-term bottom and is met with buying.”
Tom Lee, Head of Research at Fundstrat Global Advisors, shares similar sentiments, reiterating that small-cap stocks are well-positioned to outperform in the second half of the year. According to Lee, the sell-off experienced in April gave rise to a new bull market.
“As I look at the second half, I think the small caps really have a strong case to be made, because as long as we move towards a tariff resolution, or the markets feel that way, then I think investors can actually start putting flows back into stocks other than the Mag Seven,” Lee said.
With that in mind, let’s take a look at the best low-priced stocks to buy right now, backed by solid underlying fundamentals and poised to outperform in the long term.
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Our Methodology
To compile the list of the 11 Best Low-Priced Stocks to Buy Right Now, we used Finviz screener to shortlist stocks in various sectors trading for less than $10 (as of August 11). Next, we narrowed our list to those that have positive year-to-date returns of more than 20%. These stocks are also popular among elite hedge funds in the first quarter of 2025. Finally, we ranked the stocks in ascending order based on their year-to-date returns.
Why are we interested in the stocks that hedge funds pile into? The reason is straightforward: our research has demonstrated that we can outperform the market by replicating 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).
Best Low-Priced Stocks to Buy Right Now
11. ADT Inc. (NYSE:ADT)
Current Share Price: $8.42
Number of Hedge Fund Holders: 36
Year-to-Date Returns: 20.63%
ADT Inc. (NYSE:ADT) is one of the best low-priced stocks to buy right now. On July 25, S&P Global Ratings upgraded ADT Inc. to a ‘BB’, buoyed by improvements in the company’s credit metrics. The rating firm also cited the significant reduction in ownership by financial sponsor Apollo.
Apollo’s equity holding in ADT has declined to about 14%, which S&P believes will lead to stronger governance and prudent financial policies. Likewise, the rating firm expects the company to build a broader investor base with a more diverse board of directors.
S&P Global Rating also expects ADT to pursue a financial policy focused on improving cash flows and disciplined capital allocation. The firm expects large shareholders, including State Farm and Google, to influence the company’s business and financial plans.
The remarks come as ADT continues to transition from underperforming solar and commercial alarm monitoring segments to core residential and small to mid-sized business operations. Revenues are increasing at an impressive rate, even as subscriber count remains flat.
ADT Inc. (NYSE:ADT) is a security & protection services company that provides home and business security solutions, including security systems, personal safety monitoring, and medical alarms. They offer 24/7 professional monitoring, smart home integration, and video surveillance. ADT also provides services like intrusion detection and business security systems.
10. Nomura Holdings, Inc. (NYSE:NMR)
Current Share Price: $7.07
Number of Hedge Fund Holders: 11
Year to Date Returns: 21.69%
Nomura Holdings, Inc. (NYSE:NMR) is one of the best low-priced stocks to buy right now. On July 29, the company delivered solid first-quarter results that affirmed underlying growth. Net income in the quarter was up 52% year over year to ¥104.6 billion or $706 million. It marked the sixth straight quarter of growth that exceeded the ¥76.4 billion average of three analyst estimates.
The significant earnings growth comes from the Japanese firm capitalizing on the equity trading boom. Revenue from stock trading was up 20% year over year, marking the ninth consecutive quarter of growth. Revenue from investment banking increased 2%, led by fees from bond underwriting.
Nevertheless, fees on mergers and acquisitions dropped even as Nomura took the top spot among financial advisers. Likewise, the company incurred a loss in its European operations due to a higher-than-expected effective tax rate of 33%. On the other hand, the wealth management division reported a quarterly profit increase of ¥2.8 billion, attributed to an increase in trading in bonds and equities.
Nomura Holdings, Inc. (NYSE:NMR) is a global financial services group that offers a wide range of services through its four business divisions: Wealth Management, Investment Management, Wholesale (comprising Global Markets and Investment Banking), and Banking. It provides services to individuals, institutions, corporations, and governments.
9. ICL Group Ltd (NYSE:ICL)
Current Share Price: $6.19
Number of Hedge Fund Holders: 12
Year to Date Returns: 24.07%
ICL Group Ltd (NYSE:ICL) is one of the best low-priced stocks to buy right now. On August 6, the leading specialty minerals company delivered solid second-quarter 2025 results, characterized by an $80 million increase in consolidated sales to $1.8 billion.
The sales increase was driven by positive trends in key markets, led by specialty-driven businesses. Industrial Products, Phosphate Solutions, and Growing Solutions businesses reported year-over-year growth in sales for both the second quarter and the first half of the year.
Operating income fell to $181 million from $211 million in the same quarter last year, as adjusted operating income fell to $201 million, compared to $225 million in the same quarter the previous year. Adjusted diluted EPS totaled $0.09, better than $0.08 a share expected.
“For the most part, second quarter trends were a continuation of the first quarter and in-line with expectations. Looking toward the second half of the year, we expect to gradually benefit from price improvement and to continue to focus on our regional-specific specialties-driven businesses,” said Elad Aharonson, president and CEO of ICL.
ICL Group Ltd (NYSE:ICL) is a specialty minerals company that creates solutions for sustainability challenges related to food, agriculture, and industrial markets. It leverages its resources in bromine, potash, and phosphate to develop products for these end markets, including specialty fertilizers and industrial materials.
8. Banco Santander Brasil SA ADR (NYSE:BSBR)
Current Share Price: $4.93
Number of Hedge Fund Holders: 8
Year to Date Returns: 24.31%
Banco Santander Brasil SA ADR (NYSE:BSBR) is one of the best low-priced stocks to buy right now. On July 30, the company delivered impressive second-quarter results, characterized by a 9.8% increase in net profit that reached $656.6 million.
Net interest income increased 4.4% to 15.4 billion reais, as the return on average equity reached 16.4%, up from 15.5% a year ago. Nevertheless, loan losses remain a big challenge, as the allowance increased to 16.4% on a yearly basis to 6.86 billion reais.
“Non-performing loan ratios are still challenged by the macro environment, but are already showing improvement this quarter,” said CEO Mario Leao. The CEO pledged to keep a “disciplined approach to capital allocation”.
Banco Santander Brasil SA ADR (NYSE:BSBR) is a Brazilian bank offering a wide range of financial services to individuals, SMEs, and large corporations. It provides traditional banking services, including checking and savings accounts, loans, credit cards, and payroll loans, to individuals and businesses.
7. Mizuho Financial Group, Inc. (NYSE:MFG)
Current Share Price: $6.26
Number of Hedge Fund Holders: 11
Year to Date Returns: 28.02%
Mizuho Financial Group, Inc. (NYSE:MFG) is one of the best low-priced stocks to buy right now. On July 31, the company delivered solid first-quarter fiscal 2025 results, affirming underlying growth. Adjusted earnings totaled J¥115.91 per share, higher than an EPS of ¥114.14 delivered in the same quarter last year. Earnings also topped consensus estimates of ¥98.33 per share.
The adjusted earnings increase was driven by a 6.4% increase in revenue to ¥912.23 billion, which exceeded consensus estimates of ¥788.22 billion. Mizuho Financials’ Q2 results were bolstered by a 41.6% increase in income to ¥328.71 billion, asserting a strong recovery from the decline in the same quarter last year.
The company has revised its earnings estimates for the fiscal year 2025. It now expects a 15.1% increase in profit attributable to the owners of the parent to ¥1.02 billion. The company remains focused on leveraging its strengths in integrated financial services to meet the diverse needs of its customers.
Mizuho Financial Group, Inc. (NYSE:MFG) is a major Japanese financial institution that provides a wide range of financial products and services. It operates as a holding company with subsidiaries focused on banking, trust banking, securities, and other financial areas. Mizuho is known for its global reach, serving both individual and corporate clients worldwide.
6. Telefónica, S.A. (NYSE:TEF)
Current Share Price: $5.40
Number of Hedge Fund Holders: 11
Year to Date Returns: 33.00%
Telefónica, S.A. (NYSE:TEF) is one of the best low-priced stocks to buy right now. On July 30, the company confirmed it is replacing all of its 5G equipment made by Chinese manufacturer Huawei within the European Union.
The change will affect the company’s equipment in Spain and Germany as it seeks to comply with local regulations. Telecom companies in the European Union are required to remove Huawei-made devices from core 5G networks due to security risks.
The ban also applies in Britain, whereby Telefonica says it has very low exposure to Huawei equipment on its network. Nevertheless, the company plans to maintain its equipment in Brazil as the rules don’t apply there. Brazil and Latin American nations have yet to ban or restrict the use of Huawei networking equipment.
Telefónica, S.A. (NYSE:TEF) is a multinational telecommunications company that provides a wide range of services. It offers fixed and mobile telephony, broadband, and subscription television, as well as digital solutions such as cloud computing and cybersecurity. It maintains operations in Europe and Latin America, serving individuals and businesses.
5. Compass, Inc. (NYSE:COMP)
Current Share Price: $8.15
Number of Hedge Fund Holders: 38
Year to Date Returns: 40.52%
Compass, Inc. (NYSE:COMP) is one of the best low-priced stocks to buy right now. On July 30, the US residential real estate brokerage delivered its best quarterly results in history, characterized by ten all-time highs.
Revenue in the quarter was up 21.1% year over year to $2.06 billion, beating consensus estimates of $2.05 billion. GAAP net income surged 90.3% year over year to a record $39.4 million as adjusted EBITDA increased 63% to $125.9 million. However, adjusted earnings per share came in at $0.07, slightly below analysts’ estimates of $0.08.
“In the second quarter, we also continued to widen the gap against the industry as we grew organic transactions by 6.3% and total transactions by 20.9% compared to market transactions, which declined by 0.9% year-over-year,” said Robert Reffkin, Founder and Chief Executive Officer of Compass.
Compass reinforced its status as one of the largest real estate brokerages in the country, with a 20.9% increase in total transactions year-over-year in the quarter. The company also generated a record operating cash flow of $72.8 million.
Compass, Inc. (NYSE:COMP) provides real estate brokerage services. It operates the Compass Platform, a technology platform that provides an integrated suite of cloud-based software for customer relationship management, marketing, and other functionalities for the real estate industry.
4. Banco Bradesco S.A. (NYSE:BBD)
Current Share Price: $2.90
Number of Hedge Fund Holders: 24
Year to Date Returns: 47.96%
Banco Bradesco S.A. (NYSE:BBD) is one of the best low-priced stocks to buy right now. On July 31, the company delivered strong second-quarter results and confirmed a revision to its 2025 growth guidance. The company reported earnings per share of $0.107, which exceeded the $0.098 per share that analysts expected.
Revenue in the quarter totaled $5.87 billion, better than $5.62 billion that analysts expected. Amid solid financial results, Banco Bradesco is projecting an expanded loan portfolio and net interest income. The company has also adjusted its fee and commission income growth from between 4% and 8% to an expected increase of between 5% and 9%.
It has also adjusted its income from insurance pension plans and capitalization bonds from between 6% and 10% to between 9% and 13%. The adjustments underscore Banco Bradesco’s strategic focus on strengthening its revenue base in specific areas.
Banco Bradesco S.A. (NYSE:BBD) is a Brazilian financial conglomerate that provides a wide range of financial and insurance services. It operates as a multiple-service bank, offering solutions to both individual and corporate clients through various segments, including banking and insurance.
3. CEMEX, S.A.B. de C.V. (NYSE:CX)
Current Share Price: $8.62
Number of Hedge Fund Holders: 17
Year to Date Returns: 51.49%
CEMEX, S.A.B. de C.V. (NYSE:CX) is one of the best low-priced stocks to buy right now. On July 24, the company delivered its second-quarter 2025 results, showcasing a 31% increase in income before income tax at $428 million and a 33% increase in consolidated net income at $318 million.
In contrast, consolidated net sales dropped 4% to $4.1 billion. Strong volume performance in EMEA and higher prices in local currencies helped mitigate demand conditions in Mexico and the US. The EMEA region has emerged as a key growth area, delivering strong performance and contributing to the highest operating EBITDA in the first half of recent history. Additionally, Cemex benefited from robust cement volume growth in Europe, driven by the infrastructure and residential sectors.
CEMEX, S.A.B. de C.V. (NYSE:CX) is a global building materials company that produces cement, ready-mix concrete, and aggregates (like sand and gravel). They also offer Urbanization Solutions. It operates in nearly 100 countries and is committed to sustainable development and innovation in the construction industry.
2. Itaú Unibanco Holding S.A. (NYSE:ITUB)
Current Share Price: $6.86
Number of Hedge Fund Holders: 23
Year to Date Returns: 52.44%
Itaú Unibanco Holding S.A. (NYSE:ITUB) is one of the best low-priced stocks to buy right now. On August 6, the company delivered strong second-quarter results, benefiting from loan growth despite high interest rates in Brazil.
Revenue in the quarter was up 9.4% year over year to BRL45.7 billion. Net income increased to BRL11.5 billion, resulting in earnings per share of BRL 1.050, better than the analyst estimate of BRL 0.186. Operating revenues for the first half of the year increased 1% to BRL88.1 billion.
The efficiency ratio in the quarter totaled 38.4%, down 10 basis points from the first half of 2014. Cost of credit charges rose 5.3% to R$17.4 billion. The Managerial financial margin increased 12.75 year over year to R$61.5 billion.
Itaú Unibanco Holding S.A. (NYSE:ITUB) is a Brazilian financial conglomerate that provides a wide range of banking and financial services. It is one of the largest financial institutions in Latin America and offers services such as retail banking, corporate and investment banking, asset management, and private banking.
1. Lloyds Banking Group (NYSE:LYG)
Current Share Price: $4.40
Number of Hedge Fund Holders: 13
Year to Date Returns: 62.96%
Lloyds Banking Group (NYSE:LYG) is one of the best low-priced stocks to buy right now. On August 5, Goldman Sachs upgraded the stock to a ‘Buy’ from a ‘Neutral’ and increased its price target from GBP 0.87 to GBP 0.99. The upgrade comes amid confidence that headwinds are slowly subsiding and that the market will focus on the core equity story on the motor finance compensation scheme.
Lloyds has already reiterated that any changes related to motor finance issues will not have a material impact on the group. Therefore, it is encouraging investors to focus on the company’s fundamentals. Goldman Sachs has echoed these sentiments, affirming the company’s strengthening revenue diversification and sector-leading earnings per share growth.
In addition, Goldman Sachs is confident that Lloyds will increase its profitability and attractive capital returns through dividend payments and share buybacks. The investment bank expects the company’s core revenue to grow at a compound annual growth rate of 8% through 2027. The growth rate should outpace the sector average of 3%.
Lloyds Banking Group (NYSE:LYG) is a UK-based financial services group that provides a wide range of banking and financial services. It offers current accounts, credit cards, savings, home insurance, mortgages, loans, car finance, and travel services. It focuses primarily on retail and commercial customers.
While we acknowledge the potential of Lloyds Banking Group (NYSE:LYG) 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 LYG and that has 100x upside potential, check out our report about this cheapest AI stock.
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