5 Best Robinhood Stocks Under $20

In this article, we will discuss the 5 best Robinhood stocks under $20. If you want to see more stocks in this selection, go to the 11 Best Robinhood Stocks Under $20.

5. Everi Holdings Inc. (NYSE:EVRI)

Number of Hedge Fund Holders: 26

Everi Holdings Inc. (NYSE:EVRI) is a Nevada-based manufacturer of slot machines and other financial equipment and services to casinos.

Everi Holdings Inc. (NYSE:EVRI) is making headway into the online casino industry by taking over the strategic assets of Venuetize, a privately-owned entity developing mobile-based technologies that focus on advanced guest engagement for the entertainment, hospitality, and sports industries. On October 17, Jeffrey A. Stantial and Steven M. Wieczynski at Stifel picked Everi Holdings Inc. (NYSE:EVRI) stock as a ‘top idea’ in the gaming industry. The analysts believe that in case of an economic downturn, the company is in a secure position due to its exposure to regional and tribal casino operators. The analysts also noted that Everi Holdings Inc. (NYSE:EVRI) has been able to gain slot shipment share at casinos and is helping in the expansion of technology on the casino floor.

Here’s what Carillon Tower Advisers said about Everi Holdings Inc. (NYSE:EVRI) in its Q2 2022 investor letter:

“Everi develops and manufactures casino gaming systems as well as cash-access solutions and related technologies for the gaming industry. The stock underperformed despite an earnings update that was relatively strong. The stock’s weakness can largely be attributed to macroeconomic headwinds of higher interest rates and inflation weighing on the broader leisure industry. We expect Everi to continue to grow, take market share, and generate significant cash flows.”

Everi Holdings Inc. (NYSE:EVRI) was held by 26 hedge funds at the end of Q3 2022.

4. MGIC Investment Corporation (NYSE:MTG)

Number of Hedge Fund Holders: 33

MGIC Investment Corporation (NYSE:MTG) is a Milwaukee, Wisconsin-based parent company of Mortgage Guaranty Insurance Corporation (MGIC). The subsidiary is responsible for providing products and services to protect mortgage investors from credit losses.

MGIC Investment Corporation (NYSE:MTG) posted its Q3 2022 results following the closing bell on November 2. The company posted an annualized return on equity of 21.8%. Furthermore, the adjusted EPS of 86 cents was 33 cents higher than the analysts’ forecast of 53 cents. MGIC Investment Corporation’s (NYSE:MTG) annual forward dividend yield stands at 3.96% as of November 21.

In a research note issued to investors on October 13, Mark DeVries at Barclays gave MGIC Investment Corporation (NYSE:MTG) stock a target price of $16 and maintained an Overweight rating on the stock. The analyst noted that the fundamentals of the company are strong, making MGIC Investment Corporation (NYSE:MTG) one of the best Robinhood stocks to hold.

3. Energy Transfer LP (NYSE:ET)

Number of Hedge Fund Holders: 33

Energy Transfer LP (NYSE:ET) is a Dallas, Texas-based midstream energy company involved in transporting and storing oil and natural gas in 41 states across the US and Canada.

The company is a master limited partnership (MLP) and is not required to pay corporate taxes. However, this makes it compulsory for the company to distribute 90% of its net income to shareholders. As a result, Energy Transfer LP (NYSE:ET) offers an attractive forward dividend yield of 8.6% as of November 21. The company raised its quarterly dividend to 26.5 cents on October 25.

Robert Kad at Morgan Stanley increased the price target on Energy Transfer LP (NYSE:ET) from $15 to $17 and maintained an Overweight rating on the stock on October 19. The analyst believes that midstream players could provide some attraction to investors due to acceleration in share repurchase activity.

Key Colony Management raised its stake in Energy Transfer LP (NYSE:ET) by 17% during Q3 2022.

2. Kinder Morgan, Inc. (NYSE:KMI)

Number of Hedge Fund Holders: 38

Kinder Morgan, Inc. (NYSE:KMI) is a Houston, Texas-based energy infrastructure corporation that owns 83,000 miles of pipelines and 143 terminals across North America.

Kinder Morgan, Inc. (NYSE:KMI) holds a leadership position in various aspects of the midstream segment. It is responsible for transporting around 40% of all consumed and exported natural gas in the US as of 2022. As an MLP, the company offers an attractive forward dividend yield of 6.2% as of November 21. Kinder Morgan, Inc. (NYSE:KMI) pays a quarterly dividend of 27.75 cents.

Experts believe that Kinder Morgan, Inc. (NYSE:KMI) stock offers defensiveness during these uncertain times due to its exposure in the midstream and refining segment of North America. Analysts expect Kinder Morgan, Inc. (NYSE:KMI) to offer great shareholder value in the long term, with the company’s EPS expected to increase by 15.6% over 2023.

1. Ford Motor Company (NYSE:F)

Number of Hedge Fund Holders: 47

Ford Motor Company (NYSE:F) is a Dearborn, Michigan-based automobile company.

The company is making a foray into the hybrid and electric vehicle (EV) segment and trying to diversify its portfolio from conventional fuel-powered engine vehicles. Ford Motor Company (NYSE:F) saw its EV sales increase by 120% YoY in October. The company is on track to manufacture 600,000 EVs in 2023 and will take this number to two million by 2026. Ford Motor Company (NYSE:F) intends to ramp up its investment in the EV segment to $50 billion by 2026. Interestingly, the company produced only 60,000 EVs in 2021.

Ford Motor Company (NYSE:F) is also trying to make significant headway in the Mexican market after opening its $260 million global technology and business center in Naucalpan in late October. The facility is expected to house 9,000 employees in a hybrid format.

Here’s what Leaven Partners said about Ford Motor Company (NYSE:F) in its Q3 2022 investor letter:

“In our last quarterly letter, I briefly mentioned that the consensus estimates for corporate profits appeared to be a bit too sanguine. I referenced a Reuters article that reported, as of June 17, Wall Street expected S&P 500 earnings to grow by 9.6% in 2022, which was up from 8.8% in April and from 8.4% in January. That tune began to change at the end of July and accelerated in August and September, as major players, such as Ford (NYSE:F), has recently issued profit warnings and/or have withdrawn guidance. In response, Wall Street has altered its outlook: lowering third-quarter profit growth to 4.6%^[2] from 7.2% in early August and slashing full-year profit growth to 4.5%.”

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