In this article, we will look at the 15 Cheap Strong Buy Stocks to Buy Now.
On August 21, Paul Ciana, BofA Securities head of technicals research, appeared on CNBC’s ‘Closing Bell’ to shed light on the concerns around S&P technicals, and more.
He stated that there are some concerns that arise when one looks at the S&P technicals, such as the seasonal weakness that comes in September, along with some of the oscillator divergences. Therefore, the rally into 6500 slowed down according to momentum and trending in the indicators.
READ NEXT: 12 Most Promising Future Stocks According to Wall Street Analysts and 10 Best Stocks to Invest in For the Long Term.
He added that in August, the firm’s recommendation was trying to hedge S&P longs while the market was hitting new all-time highs, and he still likes that view.
Ciana acknowledged that at this point in time, it’s a matter of staying in the market, but at the same time being attentive to protecting some downside.
With these trends in view, let’s look at the best cheap strong buy stocks to buy now.
An employee at their desk surrounded by financial documents and a laptop analyzing the stock market.
Our Methodology
We used Finviz and Tipranks to make a list of strong buy stocks with a forward P/E below 15 and selected the top 15 with consensus Strong Buy ratings and the highest number of hedge fund holders as of Q1 2025. We sourced the hedge fund sentiment data from Insider Monkey’s database, and also added the analyst upside potential for each stock. The list is sorted in ascending order of hedge fund holders.
Note: All data was sourced on August 22.
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).
15 Cheap Strong Buy Stocks to Buy Now
15. Copa Holdings, S.A. (NYSE:CPA)
Forward P/E: 7.01
Analyst Upside: 28.14%
Number of Hedge Fund Holders: 17
Copa Holdings, S.A. (NYSE:CPA) is one of the best cheap strong buy stocks to buy now. On August 22, Citi analyst Filipe Nielsen lowered the firm’s price target on Copa Holdings, S.A. (NYSE:CPA) to $150 from $159, keeping a Buy rating on the shares.
The rating update followed a transfer of coverage, with the firm stating that it sees a compelling valuation at current share levels with Copa Holdings, S.A. (NYSE:CPA) returning cash to shareholders.
Copa Holdings, S.A. (NYSE:CPA) announced its monthly traffic statistics for July 2025 on August 13, reporting that its capacity (ASMs) rose by 6.3%. System-wide passenger traffic (RPMs) grew by 7.8% compared to last year, resulting in the system load factor for the month reaching 88.8% and reflecting a 1.2 percentage points growth compared to July 2024.
Copa Holdings, S.A. (NYSE:CPA) provides air transportation, with its offerings including international flights to Costa Rica, Jamaica, Colombia, and other cities. The company’s operations are divided into the following geographical segments: North America, South America, Central America, and Caribbean.
14. Energy Transfer LP (NYSE:ET)
Forward P/E: 12.79
Analyst Upside: 31.35%
Number of Hedge Fund Holders: 36
Energy Transfer LP (NYSE:ET) is one of the best cheap strong buy stocks to buy now. In a report released on August 14, Theresa Chen from Barclays maintained a Buy rating on Energy Transfer LP (NYSE:ET), setting a price target of $25.00.
The rating update came after Energy Transfer LP (NYSE:ET) reported its fiscal Q2 2025 results on August 6, with net income attributable to partners reaching $1.16 billion compared to $1.31 billion in 2024.
Management reported $1.04 billion in growth capital expenditures in fiscal Q2 2025, while maintenance capital expenditures were $253 million.
Adjusted EBITDA for the quarter was $3.87 billion, up from $3.76 billion in the same period last year.
Energy Transfer LP (NYSE:ET) offers natural gas pipeline transmission and transportation services. The company operates through the following segments: Intrastate Transportation and Storage, Interstate Transportation and Storage, Midstream, NGL and Refined Products Transportation and Services, Crude Oil Transportation and Services, Investment in Sunoco LP, Investment in USAC, and All Other.
13. JBS N.V. (NYSE:JBS)
Forward P/E: 8.12
Analyst Upside: 32.53%
Number of Hedge Fund Holders: 38
JBS N.V. (NYSE:JBS) is one of the best cheap strong buy stocks to buy now. On August 21, Bank of America Securities analyst Isabella Simonato reiterated a Buy rating on JBS N.V. (NYSE:JBS) and set a $21.00 price target.
The analyst based the rating on JBS N.V.’s (NYSE:JBS) market positioning and recent financial disclosures, stating that with the adoption of US GAAP standards for its EBIT and EBITDA figures (which are now presented in USD terms), the company boosted the comparability of its financial results with US peers like Tyson Foods.
Simonato anticipates this change to facilitate a re-rating of JBS N.V.’s (NYSE:JBS) stock as it improves its alignment with industry norms.
Another factor supporting the analyst’s optimistic rating is JBS N.V.’s (NYSE:JBS) strong demand for protein and overall earnings resilience despite the expected pressure on US beef margins until the end of 2026.
JBS N.V. (NYSE:JBS) is a food company that sells pork, beef, lamb meat, and poultry products. The company offers its products to club stores, supermarkets, other retail distributors, and foodservice companies.
12. Matador Resources Company (NYSE:MTDR)
Forward P/E: 7.26
Analyst Upside: 31.31%
Number of Hedge Fund Holders: 39
Matador Resources Company (NYSE:MTDR) is one of the best cheap strong buy stocks to buy now. UBS lowered the firm’s price target on Matador Resources Company (NYSE:MTDR) to $48 from $49 on August 20, keeping a Neutral rating on the shares.
The firm told investors in a research note that persistent commodity headwinds are continually dampening upside potential.
Matador Resources Company (NYSE:MTDR) reported record quarterly production of 209,013 barrels of oil and natural gas equivalent per day (BOE/d) in its fiscal Q2 2025 results, including 122,875 barrels of oil per day (Bbl/d).
Its integrated upstream and midstream business generated $501 million in net cash provided by operating activities, while adjusted free cash flow reached $133 million, representing an industry-leading free cash flow margin.
Matador Resources Company (NYSE:MTDR) also reported a resilient balance sheet with more than $1.8 billion of liquidity and a leverage ratio of less than 1.0x as of June 30.
Matador Resources Company (NYSE:MTDR) is a holding company involved in the development, exploration, production, and acquisition of oil and natural gas resources. The company’s operations are divided into the following segments: Exploration and Production, Midstream, and Corporate.
11. Cenovus Energy Inc. (NYSE:CVE)
Forward P/E: 13.47
Analyst Upside: 20%
Number of Hedge Fund Holders: 41
Cenovus Energy Inc. (NYSE:CVE) is one of the best cheap strong buy stocks to buy now. On August 22, Cenovus Energy Inc. (NYSE:CVE) announced that it entered into a definitive agreement to acquire MEG Energy Corp. in a cash and stock transaction worth $7.9 billion, which is inclusive of assumed debt.
Management stated that the terms of the agreement dictate that Cenovus Energy Inc. (NYSE:CVE) would acquire “all of the issued and outstanding common shares of MEG for $27.25 per share, which will be paid 75% in cash and 25% in Cenovus common shares.”
Cenovus Energy Inc. (NYSE:CVE) further revealed that each shareholder of MEG Energy Corp. would be given the option to “elect to receive, for each MEG common share (i) $27.25 in cash; or (ii) 1.325 Cenovus common shares, subject to pro-ration based on a maximum amount of $5.2 billion in cash and a maximum of 84.3 million Cenovus common shares.”
Based in Canada, Cenovus Energy Inc. (NYSE:CVE) is an integrated energy company that provides gas and oil. Its operations are divided into the Upstream, Downstream, and Corporate and Eliminations segments.
The Upstream segment includes oil sands, conventional, and offshore operations, while the Downstream segment manages the US and Canadian refining.
10. Equitable Holdings, Inc. (NYSE:EQH)
Forward P/E: 8.84
Analyst Upside: 19%
Number of Hedge Fund Holders: 42
Equitable Holdings, Inc. (NYSE:EQH) is one of the best cheap strong buy stocks to buy now. On August 18, Morgan Stanley lowered the firm’s price target on Equitable Holdings, Inc. (NYSE:EQH) to $67 from $68, keeping an Overweight rating on the shares.
The firm told investors in a research note that it is updating its price targets for the stocks under its coverage in the Life Insurance segment after Q2 results.
It added that around half of the life insurers under its coverage surpassed expectations on a reported basis, while a majority beat expectations on a core basis.
The firm believes that the earnings beats were largely due to better-than-anticipated performance of macro-sensitive segments, selective favorable underwriting, or both.
Headquartered in New York, NY, Equitable Holdings, Inc. (NYSE:EQH) provides financial services. Its operations divided into the following segments: Individual Retirement, Group Retirement, Investment Management and Research, Protection Solutions, Wealth Management, Legacy, and Corporate and Other.
9. Diamondback Energy, Inc. (NASDAQ:FANG)
Forward P/E: 10.66
Analyst Upside: 25.63%
Number of Hedge Fund Holders: 46
Diamondback Energy, Inc. (NASDAQ:FANG) is one of the best cheap strong buy stocks to buy now. On August 22, Piper Sandler analyst Mark Lear maintained a Buy rating on Diamondback Energy, Inc. (NASDAQ:FANG) and set a price target of $222.00.
Diamondback Energy, Inc. (NASDAQ:FANG) reported its fiscal Q2 2025 results on August 4, with the average oil production for the quarter reaching 495.7 MBO/d (919.9 MBOE/d), and net cash provided by operating activities of $1.7 billion.
The company also reported operating cash flow before working capital changes of $2.1 billion, and free cash flow of $1.2 billion.
Diamondback Energy, Inc. (NASDAQ:FANG) declared a Q2 2025 base cash dividend of $1.00 per share payable on August 21, which “implies a 2.7% annualized yield based on August 1, 2025, closing share price of $146.14.”
Diamondback Energy, Inc. (NASDAQ:FANG) is an independent oil and natural gas company that is involved in the development, acquisition, exploration, and exploitation of unconventional, onshore oil, and natural gas reserves. The company’s operations are divided into the Upstream and Midstream Services segments.
The Upstream segment manages the Permian Basin operations in West Texas, while the Midstream Services segment is involved in the Midland and Delaware Basins.
8. Permian Resources Corporation (NYSE:PR)
Forward P/E: 10.27
Analyst Upside: 38.08%
Number of Hedge Fund Holders: 49
Permian Resources Corporation (NYSE:PR) is one of the best cheap strong buy stocks to buy now. On August 22, Piper Sandler analyst Mark Lear maintained a Buy rating on Permian Resources Corporation (NYSE:PR) and set a price target of $20.00.
Permian Resources Corporation (NYSE:PR) announced its fiscal Q2 2025 results on August 6, reporting total average production of 385.1 MBoe/d, including 176.5 MBbls/d of oil, 97.8 MBbls/d of NGLs and 664.7 MMcf/d of natural gas.
The company also declared a base dividend of $0.15 per share, and raised the mid-point of its full year oil and total production guidance to 178.5 MBbls/d and 385.0 MBoe/d.
Permian Resources (NYSE:PR) is an independent natural gas and oil company specializing in acquiring, optimizing, and developing oil and natural gas properties.
A significant majority of the company’s assets are concentrated within the Delaware Basin in Eddy and Lea Counties, New Mexico, and Reeves and Ward Counties, Texas.
7. Chord Energy Corporation (NASDAQ:CHRD)
Forward P/E: 11.32
Analyst Upside: 32.16%
Number of Hedge Fund Holders: 52
Chord Energy Corporation (NASDAQ:CHRD) is one of the best cheap strong buy stocks to buy now. On August 20, UBS analyst Josh Silverstein raised the firm’s price target on Chord Energy Corporation (NASDAQ:CHRD) to $122 from $120 while keeping a Buy rating on the shares.
The firm told investors in a research note that upside potential is continually being dampened by persistent commodity headwinds.
Chord Energy Corporation (NASDAQ:CHRD) reported its fiscal Q2 2025 results on August 6, with net cash provided by operating activities and adjusted free cash flow for the quarter above expectations, attributed primarily to strong asset performance and efficient execution.
The company returned over 90% of adjusted FCF to shareholders through the base dividend of $1.30 per share and share repurchases.
Chord Energy (NASDAQ:CHRD) is an independent production and exploration company specializing in acquiring, developing, and producing natural gas liquids (NGL), natural gas, and crude oil.
Its operations are concentrated in the Montana and North Dakota areas of the Williston Basin, targeting the Three Forks and Middle Bakken formations.
6. JD.com, Inc. (NASDAQ:JD)
Forward P/E: 12.13
Analyst Upside: 31.61%
Number of Hedge Fund Holders: 54
JD.com, Inc. (NASDAQ:JD) is one of the best cheap strong buy stocks to buy now. In a report released on August 18, Shyam Patil from Susquehanna maintained a Hold rating on JD.com, Inc. (NASDAQ:JD) with a price target of $32.00.
The rating update came after JD.com, Inc. (NASDAQ:JD) reported its fiscal Q2 2025 results on August 14, with net revenues for the quarter reaching RMB356.7 billion ($49.8 billion), up 22.4% compared to fiscal Q2 2024.
JD.com, Inc. (NASDAQ:JD) reported RMB6.2 billion ($0.9 billion) in net income attributable to the company’s ordinary shareholders, compared to RMB12.6 billion in the same quarter last year.
JD.com, Inc. (NASDAQ:JD) is an e-commerce company that deals with online retail and online marketplace through its retail website and mobile application. Its operations are divided into four segments: JD Retail, JD Logistics, Dada, and the New Businesses segment.
The JD Retail segment is engaged in online retail, marketing services, and online marketplace in China, while the JD Logistics segment covers internal and external logistics businesses. The Dada segment is a local on-demand delivery and retail platform in China. The New Businesses segment, in contrast, manages JD Property, Jingxi, and overseas businesses.
5. Teva Pharmaceutical Industries Limited (NYSE:TEVA)
Forward P/E: 7.3
Analyst Upside: 30.01%
Number of Hedge Fund Holders: 57
Teva Pharmaceutical Industries Limited (NYSE:TEVA) is one of the best cheap strong buy stocks to buy now. Piper Sandler analyst David Amsellem reiterated a Buy rating on Teva Pharmaceutical Industries Limited (NYSE:TEVA) on August 18, setting a price target of $29.00.
Teva Pharmaceutical Industries Limited (NYSE:TEVA) reported its fiscal Q2 2025 results on July 30, stating that it is on track to attain a 30% operating profit margin by 2027 in line with its Pivot to Growth Strategy.
Fiscal Q2 2025 marked the tenth consecutive quarter of year-over-year revenue growth for the company, with revenues reaching $4.2 billion.
GAAP diluted EPS for the quarter was $0.24, while non-GAAP diluted EPS reached $0.66, reflecting a growth of $0.05 or 9% year-over-year.
Teva Pharmaceutical Industries Limited (NYSE:TEVA) also reported a 47% year-over-year growth in free cash flow, reaching $476 million.
Teva Pharmaceutical Industries Limited (NYSE:TEVA) develops, produces, and sells medicines. Its operations are divided into the US, Europe, and International Markets geographical segments.
Each business segment covers the entire product portfolio in that region, including specialty, generics, and over-the-counter (OTC) products.
4. BioMarin Pharmaceutical Inc. (NASDAQ:BMRN)
Forward P/E: 13.5
Analyst Upside: 67.29%
Number of Hedge Fund Holders: 58
BioMarin Pharmaceutical Inc. (NASDAQ:BMRN) is one of the best cheap strong buy stocks to buy now. Bernstein analyst William Pickering maintained a Buy rating on BioMarin Pharmaceutical Inc. (NASDAQ:BMRN) on August 19, assigning the stock a price target of $95.00.
BioMarin Pharmaceutical Inc. (NASDAQ:BMRN) reported its fiscal Q2 2025 results on August 4, with total revenues reaching $825 million, up 16% year-over-year and up 17% at constant currency year-over-year.
Management reported that non-GAAP diluted EPS for the quarter reached $1.44, up 50% year-over-year, while GAAP diluted earnings per share (EPS) was $1.23, up 124% year-over-year.
BioMarin Pharmaceutical Inc. (NASDAQ:BMRN) develops and commercializes therapies for serious and life-threatening medical conditions and rare diseases. The company’s product pipeline includes Valoctocogene roxaparvovec, Vosoritide, and BMN 307.
3. Schlumberger Limited (NYSE:SLB)
Forward P/E: 11.64
Analyst Upside: 26.37%
Number of Hedge Fund Holders: 63
Schlumberger Limited (NYSE:SLB) is one of the best cheap strong buy stocks to buy now. Melius Research initiated coverage of Schlumberger Limited (NYSE:SLB) with a Buy rating on August 20, setting a $82 price target.
The firm told investors in a research note that “Energy & Power” has metamorphosed into an AI category with the introduction, acceleration, and adoption of AI, and that the market is in the early stages of a “Power Revolution.”
It added that the effects of this power revolution are only beginning, shifting leadership toward a whole new group of winners. The firm is thus establishing coverage on several prominent E&Ps, the Supermajors, the largest independent power producers, and the largest oil services companies.
Schlumberger Limited (NYSE:SLB) provides energy technology and operates through the following business segments: Digital and Integration, Reservoir Performance, Well Construction, and Production Systems.
2. ConocoPhillips (NYSE:COP)
Forward P/E: 14.79
Analyst Upside: 19.01%
Number of Hedge Fund Holders: 72
ConocoPhillips (NYSE:COP) is one of the best cheap strong buy stocks to buy now. In a report released on August 21, Leo Mariani from Roth MKM maintained a Buy rating on ConocoPhillips (NYSE:COP) and set a price target of $108.00.
The rating update came after ConocoPhillips (NYSE:COP) reported its fiscal Q2 2025 earnings on August 7, with earnings per share for the quarter reaching $1.56 and adjusted earnings per share of $1.42.
Generated cash provided by operating activities was $3.5 billion, while cash from operations (CFO) in Q2 reached $4.7 billion. ConocoPhillips (NYSE:COP) also declared a Q3 ordinary dividend of $0.78 per share.
ConocoPhillips (NYSE:COP) is an exploration and production company that explores, transports, produces, and markets natural gas, crude oil, and bitumen.
It operates through the following geographical segments: Alaska, Lower 48, Canada, Europe, the Middle East, and North Africa, Asia Pacific, and Other International.
1. Fiserv Inc. (NYSE:FI)
Forward P/E: 13.73
Analyst Upside: 28.87%
Number of Hedge Fund Holders: 94
Fiserv Inc. (NYSE:FI) is one of the best cheap strong buy stocks to buy now. Mizuho analyst Dan Dolev lowered the firm’s price target on Fiserv Inc. (NYSE:FI) to $165 from $194 on July 29, keeping an Outperform rating on the shares.
The rating update came after Fiserv Inc. (NYSE:FI) reported its fiscal Q2 report, with the firm citing reduced organic growth expectations for the target cut.
The analyst told investors in a research note that while hitting $3.5 billion of Clover revenue is feasible, it likely requires a better yield. This may prove challenging, as channel checks show that prior price increases have weighed on growth, according to Dolev.
Similarly, Barclays analyst Ramsey El-Assal also lowered the firm’s price target on Fiserv Inc. (NYSE:FI) to $175 from $230 on July 28, keeping an Overweight rating on the shares and updating its model after the earnings report.
The stock’s median price target of $139.68 implies an upside of 28.87% from current levels.
Headquartered in Milwaukee, WI, Fiserv Inc. (NYSE:FI) provides financial services technology, with its operations divided into the Merchant and Financial segments.
The Merchant segment provides commerce-enabling products and services, such as security and fraud protection, merchant acquiring and digital commerce and mobile payment services, and more.
The Financial segment offers products and services including digital payments, the processing of customer loan and deposit accounts, and card transactions.
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