In this article, we discuss the 5 cheapest stocks with the biggest upside. If you want to read about some more cheapest stocks with the biggest upside, go directly to 10 Cheapest Stocks With Biggest Upside.
5. Omeros Corporation (NASDAQ:OMER)
Number of Hedge Fund Holders: 10
Share Price as of December 18: $1.79
Omeros Corporation (NASDAQ:OMER) is a commercial-stage biopharmaceutical company that discovers, develops, and commercializes small-molecule and protein therapeutics, and orphan indications targeting inflammation, complement-mediated diseases, cancers related to dysfunction of the immune system, and addictive and compulsive disorders. The shares of the firm have climbed since the company reported positive data from a clinical trial involving critically ill COVID-19 patients who received its experimental therapy narsoplimab in addition to standard of care.
On November 10, investment advisory Cantor Fitzgerald maintained an Overweight rating on Omeros Corporation (NASDAQ:OMER) stock and lowered the price target to $13 from $20. Analyst Brandon Folkes issued the ratings update.
At the end of the third quarter of 2022, 10 hedge funds in the database of Insider Monkey held stakes worth $10.5 million in Omeros Corporation (NASDAQ:OMER), compared to 12 in the preceding quarter worth $15.5 million.
4. ZIM Integrated Shipping Services Ltd. (NYSE:ZIM)
Number of Hedge Fund Holders: 15
Share Price as of December 18: $17.55
ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) provides container shipping and related services in Israel and internationally. On November 17, ZIM Integrated Shipping Services said that it expected freight rates to keep falling and was preparing for the new normal by focusing on profitable niche markets for its container services and expanding its car-carrier business.
On November 18, Barclays analyst Alexia Dogani maintained an Equal Weight rating on ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) stock and lowered the price target to $26.50 from $63, noting that the third quarter report was solid, though the deterioration in demand, through steep declines in rates and volumes, makes for a challenging backdrop.
Among the hedge funds being tracked by Insider Monkey, London-based investment firm Greenvale Capital is a leading shareholder in ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) with 7.5 million shares worth more than $176.4 million.
3. Diversified Healthcare Trust (NASDAQ:DHC)
Number of Hedge Fund Holders: 19
Share Price as of December 18: $0.71
Diversified Healthcare Trust (NASDAQ:DHC) is a real estate investment trust, or REIT, that owns medical office and life science properties, senior living communities and wellness centers throughout the United States. The company has been paying a dividend to shareholders for the past twenty-two years consistently. In the sector in which it operates, the median in this regard is just seven years. In mid-October, the firm declared a quarterly dividend of $0.01 per share, in line with previous. The forward yield was 4.12%.
At the end of the third quarter of 2022, 19 hedge funds in the database of Insider Monkey held stakes worth $21.3 million in Diversified Healthcare Trust (NASDAQ:DHC), compared to 24 in the previous quarter worth $32.8 million.
2. Sinclair Broadcast Group, Inc. (NASDAQ:SBGI)
Number of Hedge Fund Holders: 21
Share Price as of December 18: $15.88
Sinclair Broadcast Group, Inc. (NASDAQ:SBGI) operates as a media company in the United States. On November 14, Sinclair Broadcast Group unveiled that it has entered into an MoU with Hyundai Mobis, one of the world’s largest automotive parts and services companies, to collaborate on the development and implementation of ATSC 3.0-enabled automotive business models in Korea and the United States.
At the end of the third quarter of 2022, 21 hedge funds in the database of Insider Monkey held stakes worth $221 million in Sinclair Broadcast Group, Inc. (NASDAQ:SBGI), compared to 18 in the preceding quarter worth $307.9 million.
1. Jackson Financial Inc. (NYSE:JXN)
Number of Hedge Fund Holders: 24
Share Price as of December 18: $33.88
Jackson Financial Inc. (NYSE:JXN) primarily provides a suite of annuities to retail investors in the United States. On November 9, the firm posted earnings for the third quarter of 2022, reporting earnings per share of $4.24, beating market estimates by $1.34. The revenue over the period was $4 billion, up more than 156% compared to the revenue over the same period last year and beating estimates by $3 billion. The firm revealed that it had returned a whopping $88 million to shareholders in the quarter, and expected to deliver at or above the midpoint of targeted $425-$525 million capital return range for 2022. The firm also has a more than 6% dividend yield, making it a smart buy in a slow market.
At the end of the third quarter of 2022, 24 hedge funds in the database of Insider Monkey held stakes worth $272.6 million in Jackson Financial Inc. (NYSE:JXN), compared to 19 in the previous quarter worth $186.4 million.
In its Q3 2022 investor letter, Curreen Capital, an asset management firm, highlighted a few stocks and Jackson Financial Inc. (NYSE:JXN) was one of them. Here is what the fund said:
“We sold Jackson Financial Inc. (NYSE:JXN) in large part because the inverted yield curve signals that a weak stock market and high volatility are likely to continue. High volatility increases Jackson’s cost of hedging the annuities that it has sold, and a weak stock market makes it difficult to sell new variable annuities. These operational headwinds make Jackson a weed. We sold at $31.11 per share.
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