In this article, we will take a look at the 10 Best Very Cheap Stocks To Buy Right Now.
The stock market had a mixed start to 2025 as the Chinese Deepseek AI model has put the U.S. AI giants on the back foot. However, the tech-heavy NASDAQ 100 index made a recovery after taking a hit and has surged over 5% year-to-date. In addition, the S&P 500 index has gained just over 4% so far in 2025.
Also Read: 10 Best Cheap Technology Stocks To Buy According to Analysts
Goldman Sachs Research’s chief US equity strategist, David Kostin, expects the US tariffs to negatively impact the S&P 500 EPS in 2025. Kostin cited that every five-percentage-point increase in the US tariff rate will reduce S&P 500 EPS by roughly 1-2%.
If the U.S. administration continues with the proposed tariff rates, a 25% tariff on imported goods from Mexico and Canada and an additional 10% tariff on imports from China would reduce S&P 500 EPS forecasts by approximately 2-3%, as per Goldman’s Research.
With the potential market risks and tariff threat from the Trump administration, cheap stocks with strong fundamentals can be a good option for investment.
At first glance, the market may seem overvalued, with the S&P 500 trading close to all-time highs, driven by tech giants and leading consumer stocks. However, some stocks have missed the broader market rally amid temporary challenges. These stocks have attractive forward P/E ratios and proven growth records.
With that let’s take a look at the 10 Best Very Cheap Stocks To Buy Right Now.
10 stocks receiving a massive vote of approval from Wall Street analysts
Our Methodology
We used the Finviz screener to compile a list of 30 cheap stocks with a forward P/E ratio of under 15. We shortlisted the 10 best very cheap stocks to buy now based on the highest potential upside according to average analyst estimate, as of February 17. The very cheap stocks are ranked in ascending order of the average analyst upside.
Why do we care about what hedge funds do? 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 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
10 Best Very Cheap Stocks To Buy Right Now
10. Chubb Limited (NYSE:CB)
P/E Ratio: 12.29
Average Analysts Upside: 15.68%
Chubb Limited (NYSE:CB), formerly known as ACE Limited, offers insurance and reinsurance products worldwide. The company’s products serve consumers with life insurance, accident and health, property and casualty (P&C), and reinsurance. Being one of the largest publicly traded P&C insurance companies, Chubb Limited operates in over 54 countries.
Chubb Limited (NYSE:CB) shares have dropped over 4% year-to-date as the company is facing a setback due to recent wildfire losses. The wildfires are estimated to reduce Chubb Limited’s FCF by $1.5 billion. Despite the challenges, the company has a history of successfully managing substantial losses, including from Hurricane Ian and Hurricane Milton.
In addition to the company’s solid cash position, generating around $4.57 billion in operating cash flow, Chubb Limited (NYSE:CB) reported net premiums of over $12 billion in Q4 2024. The net premiums increased 4% from a year ago, mainly driven by the P&C segment, which experienced a 7.7% rise year-over-year. The company posted a record net income of $9.27 billion for the full year 2024, with a P&C combined ratio of 86.6%. This consistent growth shows the company’s strong position in its core business. The company returned nearly $1.1 billion of capital to shareholders in Q4 2024, including $725 million in share repurchases.
9. Exxon Mobil Corporation (NYSE:XOM)
P/E Ratio: 13.74
Average Analysts Upside: 17.91%
Exxon Mobil Corporation (NYSE:XOM) is one of the world’s leading oil and gas companies. It is engaged in the exploration, production, refining, and distribution of petroleum products.
On February 10, Bernstein analyst Bob Brackett kept a Buy rating on XOM shares with a price target of $144. The analyst sees Exxon Mobil Corporation’s core business evolving with a focus on low-carbon solutions, which shows the company’s foresight and adaptability in a changing energy landscape. As part of Exxon’s 2030 strategy, it plans to allocate up to $30 billion toward low-emission projects between 2025 and 2030. The company is working in collaboration with the Texas General Land Office to secure the largest offshore carbon dioxide storage site in the U.S. The company is also making developments in establishing the largest low-carbon hydrogen production facility, which is anticipated to generate over 1 billion cubic feet of hydrogen per day.
Since 2019, Exxon Mobil Corporation (NYSE:XOM) has gathered around $12.1 billion in Structural Cost Savings, exceeding its peers and overcoming inflation. With a remarkable record of paying dividends for 54 consecutive years and a current dividend yield of 4.27%, Exxon Mobil Corporation reflects strong financial stability.
