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5 Most Undervalued Value Stocks To Buy Now

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In this article, we will look at the 5 most undervalued value stocks to buy now. If you want to explore similar stocks, you can read 10 Most Undervalued Value Stocks To Buy Now.

5. Marathon Oil Corporation (NYSE:MRO)

PE Ratio as of October 21 (TTM): 6.86

Number of Hedge Fund Holders: 41

Marathon Oil Corporation (NYSE:MRO) is an American petroleum and natural gas exploration and production company headquartered in Houston, Texas. The company is one of the largest oil and gas producers in the United States. Marathon Oil Corporation (NYSE:MRO) is a well-run company with a strong balance sheet and a disciplined approach to capital expenditure. The company is well-positioned to generate significant cash flow and returns for shareholders in the coming years. Marathon Oil Corporation (NYSE:MRO) has free cash flows of $3.45 billion and a trailing twelve-month operating margin of 39.85%.

Shares of Marathon Oil Corporation (NYSE:MRO) have pulled back and are trading at bargain levels. As of October 20, the stock is trading at a PE multiple of 6x and is awarding shareholders with a forward dividend yield of 1.13%. Marathon Oil Corporation (NYSE:MRO) is ranked high among the best undervalued stocks to buy now.

On October 18, Piper Sandler analyst Mark Lear raised his price target on Marathon Oil Corporation (NYSE:MRO) to $38 from $36 and maintained an Overweight rating on the shares.

At the end of Q2 2022, Marathon Oil Corporation (NYSE:MRO) was spotted on 41 hedge fund portfolios. These funds held collective stakes of $1.26 billion in the company. As of June 30, Fisher Asset Management is the most prominent investor in Marathon Oil Corporation (NYSE:MRO) and has stakes worth over $194 million in the company.

Here is what Carillon Tower Advisers had to say about Marathon Oil Corporation (NYSE:MRO) in its “Carillon Clarivest Capital Appreciation Fund” first-quarter 2022 investor letter:

“Stock selection contributed the most while sector allocation was also positive. An underweight to communication services and an overweight to energy helped performance, while an underweight to consumer staples and an overweight to materials detracted. Stock selection was strong within healthcare and materials but was weak within information technology and industrials. Marathon Oil (NYSE:MRO) increased its quarterly dividend and executed an impressive share buyback that blew by the target it originally announced.”

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The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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