In this article, we will discuss the 7 Most Profitable Value Stocks to Buy Right Now.
On April 2, Kevin Mahn, Hennion & Walsh Asset Management president and chief investment officer, joined ‘Squawk Box’ on CNBC to discuss market reactions to developments in the Iran war. The Dow’s 535-point drop on that day highlighted a persistent market cycle in which equities move in the opposite direction of oil prices. Mahn agreed that this market refrain persisted and noted that while prospects for a resolution in Iran drive oil down and stocks up, any delays or escalations cause oil and yields to shoot back up while stocks fall. He anticipated that these bouts of short-term volatility would continue, though he suggested that if a resolution materializes within 2 to 3 weeks, investors will pivot back to underlying market themes based on where capital is being spent through the end of the decade.
Regarding the AI trade and Wall Street’s growing skepticism over high CapEx, Mahn advised focusing on where the money is being spent rather than who is spending it. He used a baseball analogy to argue that the AI revolution is still in batting practice, which represents the current infrastructure build-out. He acknowledged that while return on investment may not be seen for years, the immediate opportunity lies in AI infrastructure. Despite acknowledging that hyperscalers might scale back if sentiment sours, Mahn maintained that spending plans for 2026 are unlikely to change significantly.
Mahn also discussed the impact of high oil prices on the broader economy and noted that the Q1 GDP forecast was recently lowered to 1.9%. He explained that because consumer spending drives 70% of economic growth, sustained high oil prices will inevitably slow the economy by limiting consumer discretionary funds.
Our Methodology
We used screeners to identify stocks that are trading below a forward P/E of 15, as well as reported high TTM net income (at least $1 billion) and TTM net income margin (at least 15%). We then limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. These stocks are also popular among analysts and elite hedge funds.
Note: All data was sourced on April 8.
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 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
7 Most Profitable Value Stocks to Buy Right Now
7. AngloGold Ashanti (NYSE:AU)
AngloGold Ashanti (NYSE:AU) is one of the most profitable value stocks to buy right now. On March 30, AngloGold Ashanti announced cash tender offers to purchase three series of its outstanding notes: 3.375% notes due 2028, 3.750% notes due 2030, and 6.500% notes due 2040. The offer is subject to an aggregate purchase cap of $650 million, with a specific sub-cap of $50 million for the 2040 notes. Purchases will be determined based on assigned acceptance priority levels, with the 2028 notes holding the highest priority.
To receive the total consideration (which includes a $50 early tender payment per $1,000 principal amount), holders must validly tender their notes by the early tender deadline of 5:00 p.m. NYC time on April 13. Those who tender after this time but before the final expiration on April 28 will receive only the late tender consideration. All accepted notes will also receive accrued and unpaid interest up to the settlement date, with early settlement expected on April 16 and final settlement on May 1.
The pricing for the offers will be determined at 10:00 a.m. NYC time on April 14, based on a fixed spread over the yield of specified US Treasury securities. The offeror maintains the right to extend, amend, or terminate the offers if certain conditions are not met. Detailed procedures and terms are available on the dedicated offer website and through Kroll Issuer Services Limited.
AngloGold Ashanti (NYSE:AU) is a gold mining company that also deals in other by-products, such as silver and sulphuric acid. The company’s flagship is the 100% owned Geita mine in northwestern Tanzania’s Lake Victoria goldfields.
