15 Cheap Stocks to Buy Right Now in 2018
Here, I am showing you some of the most profitable investment opportunities on the stock market for the year 2018.
What I am saying below is about the cheap stocks that are doing great.
Buying them now and holding them, can make the investors a fortunate in long-term.
My goal from publishing this article is to show you the great 2018 stock trading and investment opportunities.
You will have to use these opportunities to increase your wealth and become richer and richer.
Yes, the rich get richer.
Maybe you don&8217;t have any money to invest in the markets like the ones I am showing you below.
If so, you will forever remain where you currently are.
I am sure you like to become rich, and then richer by taking the profitable investments like these.
The first step to do that is establishing a good and strong source of income.
That makes you rich, and then you become richer and multi-millionaire.
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I suggest you to start from the two below articles first.
They are the backbones of getting rich and then richer:
- The Easiest Way to Get Rich Fast
- How a Good and Strong Source of Income and Proper Investments Make You Super Rich
Now, let&8217;s talk about the stocks&8230;
The markets are recovering some ground after the 2016 losses.
Therefore, it is the right time to buy cheap stocks right now.
While there are many cheap stocks, the question is what the best cheap stocks are to buy in 2018.
Choosing the cheapest stocks to buy right now need to be an attractive mix of value.
Also fundamentals and rather encouraging room for upside are important.
These cheap stocks are available across the various groups, be it large caps, small caps or even midcaps.
If you like to buy these stocks, you must keep a close look at the possible options that you could have right now like:
- Dividend-paying counters
- Stocks with strong upside
- Blue chips
- Promising business fundamentals
- Mere midcap gainers
What Are the Cheap Stocks to Buy Right Now?
Here is 15 stocks that you can buy and hold in 2018:
- Southwest Airlines
- Wells Fargo
- General Electric
- Helmerich & Payne
- Vector Group
- Navigator Holdings
- American Express
- Walt Disney
Now make sure to read our analysis on each of the above stocks and our reasoning on why you should buy
1. Southwest Airlines
This aviation stock is a particularly attractive cheap stock for leveraging your competence in options trading.
An extremely volatile counter, it is a typical airline stock with its share of volatility and narrow trading range.
It is an attractive counter for applying covered calls over the near-term.
A covered call is an appropriate option at the moment.
Of course you have to consider the slightly stretched valuations close to the fair price range.
As you can see on the above chart, Apple Inc stock price is breaking above all the resistance lines.
It is going up like crazy.
Apple has a brilliant future.
Those who participate in it by buying its stock can make a fortunate.
Apple Inc stock is one of the best cheap stocks to buy at the moment.
Often the darling of the stock markets, this stock recently jumped 40% on the back of strong quarterly earnings.
The company&8217;s recent launches, the plan for future expansion, the growth triggers going forward all point towards a strong upswing in the stock price.
But given the extent of gains, it has already clocked, it is a great time to book some covered calls on this one.
The overall expectation right now is that this stock will stay in narrow range with muted movement going forward.
3. Wells Fargo
Another interesting and a rather cheap stock to buy would be Wells Fargo.
The recent stock buyback by Chairman Stephen Sanger and Chief Executive Officer Tim Sloan is a big positive push for the stock going forward.
The total buyback amounted over $5 million with Sloan buying share worth $2 million and Sanger buying in $3 million worth of shares.
The move is to instill greater investor confidence and looking at the stock performance you can pretty much say the market has given a thumbs up to the move.
The reason why you could buy this stock right now is the fact that the company is taking many constructive steps towards improving the transparency in their operation.
The board is probing the many unauthorized accounts that have been opened thus far.
In a 113-page report on the issue has been generated citing almost an entire generation of managers have failed to identify the various points if concern.
By doing this not only have Wells Fargo leadership tried to exonerate themselves, but at the same time, it has helped instill a relatively higher degree of investor confidence in this rather cheap stock right now.
If you are still skeptical about buying the Wells Fargo stock which is very cheap now, you can wait for it to break above the $60 resistance (refer to the above price chart).
If so, there would be a much higher probability that it goes much higher.
It is rather interesting to note how the Golden Arch is coping with competition right now.
Amidst concerns about falling sales and McDonald&8217;s slipping significantly, Wells Fargo has now upgraded it to Outperform from Market Perform.
As a result of this upgrade and the changing dynamics in terms of growth strategy, McDonald&8217;s is one of the best cheap stocks to buy.
One of the key catalysts for the Wells Fargo upgrade is the company’s performance on the mobile platform.
This is seen as the next big growth driver for the burger giant.
Improving business fundamentals as well make it a suitable buy candidate right now.
The company &8216;McDonald&8217;s had a healthy average operating margin of 31.5% over the last 4 quarters.
The return on equity for the company has also been very attractive at over 300% at the moment.
As you can see on the above chart, McDonald&8217;s is doing even better than Apple.
It has broken above all boundaries and resistance levels and is heading to the north like crazy.
There is no doubt that it will be one of the most profitable investments for those who buy the McDonald&8217;s stock now and hold it for a long time.
The next candidate in our list of cheap stocks to buy currently includes Agrium.
This is an agriculture play, and the reason the stock is attractive is a combination of great fundamentals, improved analyst expectations and strong technical signs.
It is one of the most noteworthy suppliers of agriculture products across North America, South America as well as Australia.
With a market cap of over $13 billion, the maker and distributor of key agri-nutrients, this is a rather cheap stock right now.
The dividend payout is about 3.50 annually and comes across as a promising investment and source of income for the investors.
The EPS remains healthy at $4.29 along with a PE ratio of 21.72.
Apart from the strong financial and business opportunities, analysts’ confidence also highlights this as a great bet for 2017.
You can buy this cheap stock right now with a one-year target over $108.
For most brokerages covering the stock now, it is a Hold call.
That in many ways highlight that the stock is for subsequently large gains going forward.
So if you are looking at the list of best cheap stocks to buy for 2017, it is hard not to include Agrium in it.
As you can see on the Agrium Inc stock price history (the above chart), this company has been moving sideways for such a long time.
But as the company is still doing good and its stock price is low, you can wait for the resistance level breakout (look at the red horizontal line and the red arrow), and if it breaks above this line, you can buy and hold.
It has to break above $115.53 first.
6. General Electric
This stock figures prominently in the list of the best cheap stocks to buy on the back of the 5% drop in the stock price on YTD basis.
But despite this sharp fall, most analysts are bullish on the stock and have given an Outperform rating.
Estimates and analysts feel investors should hold this stock for the long-term.
If you do not have any position, the current depressed valuation is a good opportunity to buy the stock right now.
The 12-month price forecast expects the stock rising as high as $36.
Therefore, the room from upside from current levels is significantly higher.
The dividend payout should rise above 3% mark going forward.
That too makes this stock an attractive counter to bank upon.
In terms of earnings, the valuations appear rather cheap right now.
If nothing else was going on for the stock, it is a rather cheap stock to buy just on plain earnings forecast.
As of now, earnings should rise an average of 22% over the next two years.
The Donald Trump government easing several automobile regulations too helped the stock&8217;s prospects going forward.
This, therefore, makes it a cool buy over the near-term.
Although General Electric Company hasn&8217;t formed the strong and sharp uptrend you see on the Apple and McDonald&8217;s stock price history, it is one of the cheapest stocks to buy now.
If it breaks above the $32.88, it is the best chance to get in this stock market and hold.
This is another attractive and extremely cheap stock to buy right now.
The stock is significantly below its 52-week high and is poised to grow over the longer term driven by strategic growth avenues.
Though the earnings projection is rather flat, it is one of the few technology majors that actually managed to sustain over the last 3-4 decades in fairly challenging conditions and scenarios.
The reason why I would call it one of the best cheap stocks to buy is primarily on the back of the grit and resolve that the stock has highlighted in maintaining its relevance.
If you track the overall company&8217;s growth through the 1980s to 1990s to recent times, it has sometimes led from the front, sometimes played catch up but never really gave up on the innovation front.
They could be rather slow in their delivery, but the reason that makes IBM attractive is that it invariably gets it right.
Currently, IBM&8217;s &8220;Strategic Imperatives&8221; business is seen as the next big catalyst for the IT Industry, and despite low earnings projection, the stock is seen going up over the medium to long-term.
This initiative is also likely to drive the revenue growth for this tech giant going forward.
IBM Common stock is not the cheapest now.
So maybe it had to be at the bottom of list.
In case someone is specially interested in investing in this company, my strict advice is waiting for the IBM Common stock price to break above $214.92 first.
8. Helmerich & Payne
As oil prices begin to stabilize after their steep fall, it is now time to train your gun on some key oil stocks that stand to gain from this.
One of the fundamental industry leaders and amongst the best cheap stocks to buy, the stock is set to gain from the relative rise in utilization.
With oil prices plummeting by almost $100, the company had shut down drilling operations in many of its domestic rigs.
But as oil prices are stabilizing, the company&8217;s utilization is now up to 31% from 24% earlier.
Moreover, if you want to buy cheap stocks with great value right now, Helmerich & Payne provide a classic technological edge above most other players in the field.
Not only have they built the most state of art AC rigs but also offer a lot faster drilling capability.
Also, the fact that they have a relatively higher number of rigs compared to their competitors makes them a very attractive buy right now.
Last but not the least, it figures prominently in the list of cheap stocks on the back of its very strong balance sheet.
9. Vector Group
From bluechips now, we make a shift towards unique value buys.
This is essentially the parent company for tobacco brands like Pyramid, Eve, Eagle 20s and Grand Prix.
Its significant presence in real estate along with the successful tobacco brands it controls makes it a prominent option in the list of cheap stocks to buy right now.
In fact, the real estate comprises of a good 40% of its revenue.
That apart, this is a great option in terms of sustained earnings.
It follows a dual dividend system paying a 40-cent dividend paid every quarter and also a tax friend 5% dividend annually.
10. Navigator Holdings
You could be wondering how shares of Navigator Holdings could really be featured in the list of cheap stocks to buy especially after the 25% run-up in March?
The stock is up close to 50% on the back of strong financial performance.
You must understand that the reason why the valuations still look reasonable?
This is primarily because the fourth quarter earnings almost doubled the consensus estimates.
That has made the street extremely hopeful about prospects and hence the upside isn’t capped yet, and the room for further upmove is relatively higher.
Navigator Holdings Ltd Stock looks like the penny stocks, because it is very cheap now. If it breaks above $13, it will be a good investment opportunity.
11. American Express
The next counter in our list of really cheap stocks to buy for 2017 would be American Express.
After the counter plummeted 11% in just six months in 2016, the stock price seems to be on the mend right now.
One of the most widespread global payment network and travel company, it is undoubtedly amongst the most influential financial plays right now.
The earnings for the company have large been a mixed bag.
However, a closer look at the numbers would reveal that once you exclude the Costco losses, the revenue actually went up 6% and billing growth for the firm too remained healthy at around 7% range.
The management sounded extremely confident in its earnings call post the numbers.
This provides sufficient reason for you to bet on the counter going forward and take advantage of the stock price rise that is expected.
The Amex management hopes to undertake some concrete measures to get back to profitable zone shortly and deliver relatively larger value to their shareholders going forward.
Moreover, the $1 billion worth share buyback is also seen as a significant plus for this stock right now.
The buyback along with the annual dividend payout make it a rather lucrative candidate.
If you want to invest in a cheap stock that continuously delivers returns to you for a sustained period, this is one of the best bets in 2017.
No doubt American Express is undervalued at the moment, but the good news is it is well off its lows.
A special pat on the management’s back for increasing the annual dividend to 10% now, making it a strong candidate to bet on over the longer term.
The next counter in our list of best cheap stocks to bet on right now is Caterpillar.
Most analysts who are covering the stock at the moment have put a hold rating on the stock.
This is rather encouraging after the decided dip in sentiment in 2014.
The median one-year price target for the stock stands at $96 with the higher estimates hovering around $120.
However, the lower end of estimates sees the stock veering towards $31 even.
That makes it a fairly cheap stock to buy at the moment and hold on for future gains.
The overall idea that is implied by most analyst estimates is that the price is set to head higher and current rates offer promising return scope going forward.
On the dividend front too, the expectation is that the company will maintain steady payouts and going forward, there is enough scope for investors to profit from this counter.
Now we shift focus to the aviation space.
Boeing, the leading commercial jet manufacturer, is the next contender for the best cheap stocks to buy right now in 2017.
This giant of the aviation space has tackled the industry-wide slowdown in a pretty competent manner and emerged as one of the biggest and most formidable winners.
The markets too have given a big thumb up to the strategic expansion decisions undertaken by the company.
It is already recorded a whopping 36% gain so far in 2017 on the back of strong order pipeline.
The aviation industry has been witnessing significant slowdown and buyer fatigue over the past few years.
Global economic turmoil and domestic weakness were also key factors.
As a result, 2016 was the first year in many years that Boeing failed to sell as many aircrafts as it delivered.
As a result of this, the expectation for 2017 was pretty muted.
The CEO in his January earnings call had declared that they would probably gross sales at 2016 rate, under 700 orders.
However, thus far, Boeing has done fairly well in delivering and buying fresh orders.
For the first quarter, the company has already received close to 200 orders; this is relatively much higher than the 121 orders target that they had set for this quarter.
&8211; The Biggest Positive Point
The order line-up has been pretty robust both in terms of commercial jets as well as defense aircraft.
The biggest positive point is that the long-struggling 777 line has seen a pick up in the order lineup.
This implies that in all probability Boeing will not have to resort to any further production cuts to tide over the slowdown seen in the industry.
As a result, this becomes as extremely dependable cheap stock to buy right now with a robust return expectation over the longer-term.
It can even compete with Apple and McDonald&8217;s. Look at the above chart.
As you see, Boeing has also broken above the many of the resistance levels and is going up like crazy.
Something that you have to wait for it to happen with the other stocks, which is breaking above the pivot resistance levels, has already happened with Boeing Co Stock Price.
If you want to buy cheap stocks right now, FedEx is a relatively good bet to cash in on.
This packaging giant with a comprehensive transportation and e-commerce line-up, the company is a fairly large collaboration of independent players.
The reason why it becomes an interesting stock to watch out for now is that of the decided improvement in analyst sentiment.
The consensus call on the stock is now hold and highlights a marked change in the stock from the troubled 2009 phase.
In keeping with the improved ratings, the 12-month price target is now at above $220/share with the highs close to $240
It is needless to mention that this change is sentiment.
It is also a direct fallout of the relative improvement in business fundamentals as well.
Though the EPS is below expectation, the street believes the stock can hope to clock in significant gains going forward.
The technical indicators to support the case for significant upmove in stock price going forward.
FedEx Corporation is almost the only long trade setup or buy opportunity that has recently formed.
It has recently broken above the $182.24 resistance level and has formed a nice chance to buy and hold.
It is one of the strongest companies among the ones I have listed on this page.
The problem is it is not cheap enough.
15. Walt Disney
In our quest for the best cheap stocks to buy, the next one in our list is Walt Disney.
This animation and entertainment giant is an iconic name globally, and the overall growth prospects after the new launches and fresh entertainment parks offer lots of scope for robust returns from the stock.
According to most brokerages, it is a strong contender for a long-term value buy right now.
Though this is a rather cheap stock at the moment, it is largely unloved by the market.
One of the biggest catalysts has to be undoubtedly the Lego win last year.
Lego continues to be one of its most marquee and well-known names globally.
This stock has been gaining grounds in the business world.
But the journey on Wall Street hasn’t been all that rosy thus far.
In fact, the stock declined 12% in the same period that the S&P gained 4%.
The stock is now trading at a considerable discount to some other peer companies like Comcast and Time Warner.
But the street believes that these are great entry points for long-term gains.
The company has a comprehensive presence across the entertainment industry and given the relative improvement in the sentiment across the global economy; there is hardly any cause for concern for investors.
As Disney is struggling against new age innovations like Netflix for eyeballs, analysts feel that it is hardly a reason to be concerned.
You should not forget the long history of adapting to changing business dynamics that Disney boasts off.
Therefore, you must simply buy this cheap stock right now.
Walt Disney Co stock is almost the only formin trade setups right now.
It is so close to break above the $120.07 resistance level.
You Must Have a Broad Investment Horizon
Are you looking at the cheap stocks to buy right now in 2017?
Then you must have a broad investment horizon.
It would not be wise to narrow down your search to any specific sector or for that matter even a particular genre of stocks.
There are cheap stocks that are available across Wall Street, sectors and industries.
What you decidedly need is a vision for suitable bargains.
In this context, when you decide to buy cheap stocks, it is important to remember you pick up counters with
- Strong business fundamentals
- Stocks with robust analyst conviction, suitable brokerage recommendations and price target implying gains and stocks that been resilient even in times of market crash.
In short, the best cheap stocks to buy in 2017 have to be decidedly counters that can offer you the cushion in times of market turmoil.
Essentially these should be stocks that can offer you significant returns on the basis of their business module and the strong operational metrics.
An average retail investor does follow analyst calls quite closely.
But it will help if you undertake a little research on your own as well while deciding on the cheap stocks to buy right now.
You should have a clear vision of your investment goals.
Also, risk exposure and target profit is important to make a selection as per these parameters.
Given the current market valuation, you have some excellent quality cheap stocks that are available right now.
So the best cheap stocks list doesn’t necessarily need to contain garbage penny stocks.
On the contrary, look for some great alternatives that are available at relatively dirt cheap rates right now.
Are You Ready to Become Rich and Then Richer?
Now, are you ready to invest in the most profitable and cheapest stocks I have listed above?
You need money to do that.
You don&8217;t have enough money to invest?
Then first you have to establish a good and strong source of income to make the money you need.
Here is how you can do it: The Easiest Way to Get Rich Fast