In this article, we will look at the 14 Best Affordable Stocks to Buy Under $20.
On October 22, Alan Rechtschaffen, UBS Global Wealth senior portfolio manager, appeared on CNBC’s ‘Money Movers’ to talk about the latest trends in the market. He stated that the market being at 6,700 isn’t a coincidence; there is an alignment of productivity and policy at work that he sees continuing.
He added that there are also some tailwinds that could prove helpful, with interest rates coming down. The Fed seems to have pivoted to an understanding that interest rates are going to come down, and according to UBS, this could be a positive development for the market going forward.
READ ALSO: 14 Best Long Term Low Volatility Stocks to Buy Right Now and 11 Best Small Cap Stocks with the Highest Upside.
His outlook for the market suggests that there is a possibility of still-meaningful upside for US stocks, with bullish sentiments for AI, resources, and power.
With these trends in view, let’s look at the best affordable stocks to buy under $20.
Our Methodology
We used Finviz to compile a list of top stocks with a forward P/E below 15 and stock price under $20. We then selected the top 14 with the highest number of hedge fund holders as of Q2 2025, sourcing the hedge fund sentiment data from Insider Monkey’s database. The list is sorted in ascending order of hedge fund sentiment.
Note: All data was recorded on October 21.
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).
14 Best Affordable Stocks to Buy Under $20
14. Banco Bilbao Vizcaya Argentaria, S.A. (NYSE:BBVA)
Forward P/E: 10.51
Stock Price: $19.56
Number of Hedge Fund Holders: 10
Banco Bilbao Vizcaya Argentaria, S.A. (NYSE:BBVA) is one of the best affordable stocks to buy under $20. On October 21, Morgan Stanley resumed coverage of Banco Bilbao Vizcaya Argentaria, S.A. (NYSE:BBVA) with an Equal Weight rating and a price target of €19. The firm told investors that it sees limited upside to the consensus earnings estimates.
However, Barclays analyst Cecilia Romero reiterated a Buy rating on the stock on October 19, assigning it a €18 price target. Bloomberg reported on October 20 that the Barclays analyst stated that with Banco Bilbao Vizcaya Argentaria, S.A. (NYSE:BBVA) moving on from its “failed attempt” to buy Banco Sabadell SA, its Spanish peer, the lender should launch a new buyback plan of around €3.5 billion ($4 billion).
Romero wrote in a note that it is “now time for BBVA to reward shareholders’ patience and support.” The analyst anticipates the program’s announcement with the fiscal Q3 results, set to be reported later this month, and its launch as soon as approval from the European Central Bank is attained.
Banco Bilbao Vizcaya Argentaria, S.A. (NYSE:BBVA) is headquartered in Madrid, Spain, and operates in the traditional banking businesses of asset management, retail banking, private banking, and wholesale banking. Its operations span the United States, Spain, Mexico, Turkey, South America, and the Rest of Eurasia segments.
13. Cemex S.A.B. de C.V. (NYSE:CX)
Forward P/E: 14.07
Stock Price: $9.33
Number of Hedge Fund Holders: 18
Cemex S.A.B. de C.V. (NYSE:CX) is one of the best affordable stocks to buy under $20. Cemex S.A.B. de C.V. (NYSE:CX) was downgraded to Sector Perform from Outperform by Scotiabank on October 20. The firm, however, lifted the price target to $11.10 from $10.90.
The firm told investors that it believes Cemex S.A.B. de C.V.’s (NYSE:CX) shares are due for a “pause” after the year-to-date rally, and that it does not see any short-term catalysts that can support the company in sustaining the recent momentum.
Therefore, Scotiabank reasoned that since major short-term catalysts for Cemex S.A.B. de C.V. (NYSE:CX) are not available, investors should either “get ready for the next spring’s construction cycle” or wait for a price correction.
Cemex S.A.B. de C.V. (NYSE:CX) is a global construction materials company that offers ready-mix concrete, cement, aggregates, and urbanization solutions. Its operations are divided into the following geographical segments: Mexico, United States, Europe, Middle East, Africa and Asia (EMEAA) and South, Central America and the Caribbean (SCA&C).
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