In this article, we will list the 5 Best Long Term Stocks to Buy Under $20. Please visit 10 Best Long Term Stocks to Buy Under $20 if you would like to see the extended list and the methodology behind it.
5. UiPath Inc. (NYSE:PATH)
Number of Hedge Fund Holders: 40
UiPath Inc. (NYSE:PATH) is one of the best long term stocks to buy under $20. BMO Capital cut the price target on UiPath Inc. (NYSE:PATH) to $13 from $14 on June 1 and maintained a Market Perform rating on the shares. The firm told investors in a research note that UiPath Inc. (NYSE:PATH) delivered a good start to FY27 with revenue upside. However, Net New Annual Recurring Revenue was modestly below consensus on a constant currency basis. BMO believes that the larger AI-driven deals and strength in enterprise cohorts will drive net new ARR growth.
UiPath Inc. (NYSE:PATH) also received a rating update from BofA on May 29. The firm lifted the price target on the stock to $13 from $12 and reaffirmed an Underperform rating on the shares, telling investors in a research note that the company reported “good” fiscal Q1 results above the firm and Street estimates and raised the full year outlook. It also stated that although the quarterly results were “likely good enough given its discount multiple to its infrastructure software peers”, the firm is looking for more data points that support a sustainable ARR growth acceleration trajectory before turning more positive.
UiPath Inc. (NYSE:PATH) is involved in the development and provision of a software platform to automate business processes. The company serves the healthcare, public, finance, telecommunication, and banking industries, and also offers claims processing automation, accounts payable automation, finance and accounting automation, and contact center automation.
4. American Airlines Group Inc. (NASDAQ:AAL)
Number of Hedge Fund Holders: 42
American Airlines Group Inc. (NASDAQ:AAL) is one of the best long term stocks to buy under $20. Morgan Stanley lifted the price target on American Airlines Group Inc. (NASDAQ:AAL) to $24 from $20 on June 1 and maintained an Overweight rating on the shares.
In its financial results for fiscal Q1 2026, American Airlines Group Inc. (NASDAQ:AAL) reported record fiscal Q1 revenues of $13.9 billion. GAAP net loss for the quarter came up to $382 million, or ($0.58) per diluted share, and excluding net special items, fiscal Q1 net loss was $267 million, or ($0.40) per diluted share. The company ended the quarter with total debt of $34.7 billion, which is its lowest total debt level since mid-2015.
American Airlines Group Inc. (NASDAQ:AAL) expects fiscal Q2 adjusted EPS to be between ($0.20) and $0.20. It added that based on the current revenue outlook and the forward fuel curve, the midpoint of the full-year guidance is anticipated to be approximately flat to 2025 despite a greater than $4 billion increase in expense related to higher prices for jet fuel.
American Airlines Group Inc. (NASDAQ:AAL) operates a network carrier through its principal wholly owned mainline operating subsidiary, American, offering air transportation services for cargo and passengers. The company’s operations are divided into the following geographical segments: Domestic, Latin America, Atlantic, and Pacific.
3. SoFi Technologies, Inc. (NASDAQ:SOFI)
Number of Hedge Fund Holders: 47
SoFi Technologies, Inc. (NASDAQ:SOFI) is one of the best long term stocks to buy under $20. SoFi Technologies, Inc. (NASDAQ:SOFI) announced on June 2 the launch of SoFi Coach, which is an AI-powered chat that delivers personalized financial insights. Starting with SoFi Plus members and built alongside SoFi’s team of financial planners, SoFi Coach helps members track, save, budget, and invest, all within the SoFi app.
Anthony Noto, CEO of SoFi, stated that they built SoFi Coach to allow increased access to people to smarter, AI-powered financial tools and the experience of our financial planning team, allowing members to “reduce debt, make their money work harder, and take the next step toward achieving their ambitions”. Members can ask questions and receive judgment-free and personalized help from SoFi Coach regarding understanding their money, powered by real-time analysis of their activity. SoFi Technologies, Inc. (NASDAQ:SOFI) further reported that to get started, members connect their accounts from over 12,000 financial institutions through Relay, which is the company’s financial management tool, to access a more complete view of their financial picture.
SoFi Technologies, Inc. (NASDAQ:SOFI) is a financial service platform that provides student loan refinancing options to the private student loan market. The company’s operations are divided into the following segments: Lending, Technology Platform, and Financial Services.
2. Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH)
Number of Hedge Fund Holders: 55
Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) is one of the best long term stocks to buy under $20. Bernstein initiated coverage of Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) with a Market Perform rating on June 3 and set a price target of $18. The firm stated that it has a “structurally bullish view” on the cruise industry, and sees a broadening demand base outpacing constrained supply, with product innovation adding pricing power. Bernstein added that it sees “real structural weakness” for the company, but noted that the stock has sold off.
Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) also received a rating update from Loop Capital on June 1. The firm initiated coverage of the stock with a Buy rating, setting a $22 price target as part of a broader research note launching coverage on the Cruise Line industry. It believes this to be an attractive entry point for investors, given the company’s recently reset FY26 earnings expectations with their Q1 earnings release.
Norwegian Cruise Line Holdings Ltd. (NYSE:NCLH) is a global cruise company that operates Norwegian Cruise Line, Oceania Cruises, and Regent Seven Seas Cruises. The company’s brands offer a range of amenities, activities, and features, including bars and lounges, multiple dining venues, retail shopping areas, spas, casinos, and numerous entertainment choices.
1. QXO, Inc. (NYSE:QXO)
Number of Hedge Fund Holders: 65
QXO, Inc. (NYSE:QXO) is one of the best long term stocks to buy under $20. Citi cut the price target on QXO, Inc. (NYSE:QXO) to $28 from $30 on May 15 and maintained a Buy rating on the shares. In its financial results for fiscal Q1 2026, QXO, Inc. (NYSE:QXO) reported a basic and diluted loss per common share of $0.35 and an adjusted diluted loss per common share, a non-GAAP financial measure, of $0.12 for the three months ended March 31, 2026. Net sales for the quarter were $1.73 billion, while adjusted net loss, which is a non-GAAP financial measure, came up to $57.2 million for the three months ended March 31, 2026.
QXO, Inc. (NYSE:QXO) further reported that adjusted EBITDA, a non-GAAP financial measure, was $1.2 million for the three months ended March 31, 2026. On April 18, the company entered into a definitive agreement to acquire TopBuild Corp. for approximately $17.0 billion in a combination of cash and stock consideration.
QXO, Inc. (NYSE:QXO) distributes roofing, waterproofing, and complementary building products in the United States. The company has plans to become a tech-enabled player in the building products distribution industry.
While we acknowledge the potential of QXO 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 QXO and that has 100x upside potential, check out our report about the cheapest AI stock.
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