In this article, we discuss 5 stocks under $25 to buy. If you want to see more stocks under $25 to buy, the risk/reward, and methodology of this list, go directly to 10 Stocks Under $25 to Buy Now.
5. Old National Bancorp (NASDAQ:ONB)
Number of Hedge Fund Holders: 22
Old National Bancorp (NASDAQ:ONB) is a regional bank with 162 banking centers across Indiana, Kentucky, Michigan, Minnesota, and Wisconsin. Shares of the bank have performed well since the beginning of 2012 with the stock rising from around $12 to $19.02 as of December 4. For Q3 2022, Old National Bancorp (NASDAQ:ONB)’s adjusted diluted EPS rose nearly 19% year over year to $0.51 as the company experienced an improvement in its net interest margin. Given its strong results, shares of Old National Bancorp (NASDAQ:ONB) stock is up 4.97% year to date.
4. LXP Industrial Trust (NYSE:LXP)
Number of Hedge Fund Holders: 24
LXP Industrial Trust (NYSE:LXP) is a single tenant U.S. industrial REIT that is an active acquirer, owner, developer, and operator of premium industrial real estate in key U.S. logistics markets with high growth potential. Like many other REITs shares of LXP Industrial Trust (NYSE:LXP) have fallen fairly substantially in 2022 with the stock down 31.37% year to date to $10.72 per share. Given the rise in interest rates, floating debt costs have increased. The rise in Treasury yields have also decreased the attractiveness of dividend stocks. Nevertheless, LXP Industrial Trust (NYSE:LXP) shares are still higher than where they were in 2012 and the stock has a dividend yield of 4.66% which is higher than the 10 year Treasury yield.
3. Robinhood Markets, Inc. (NASDAQ:HOOD)
Number of Hedge Fund Holders: 24
Of the 10 stocks in our list of 10 Stocks Under $25 to Buy Now, Robinhood Markets, Inc. (NASDAQ:HOOD) is arguably the riskiest given the online stock broker isn’t profitable and analysts don’t expect the company to be profitable next year either. In terms of EPS estimates, analysts expect a loss of $1.16 per share for 2022, a loss of $0.46 per share for 2023, and another loss of $0.10 per share for 2024. Given headwinds, shares of the stock are down nearly 44% year to date.
Nevertheless, Robinhood Markets, Inc. (NASDAQ:HOOD) has a book value of $7.88 per share and the company has potential if management can grow earnings faster than expectations. 24 hedge funds in our database owned shares of Robinhood Markets, Inc. (NASDAQ:HOOD) at the end of Q3.
2. New York Community Bancorp, Inc. (NYSE:NYCB)
Number of Hedge Fund Holders: 31
New York Community Bancorp, Inc. (NYSE:NYCB) ranks #2 on our list of 10 Stocks Under $25 to Buy Now given 31 hedge funds in our database were long shares of the regional bank at the end of September. New York Community Bancorp, Inc. (NYSE:NYCB) recently completed the acquisition of Flagstar Bancorp, Inc to create the 24th largest regional bank in the country. Flagstar Bancorp, Inc operates 395 branches across 9 states.
New York Community Bancorp, Inc. (NYSE:NYCB) CEO Thomas R. Cangemi said, “”We are tremendously pleased and very excited to announce the completion of our merger with Flagstar. The merger creates a company with significant scale and capabilities with a more diversified loan portfolio, an improved funding mix, and a much better interest-rate risk profile. In Flagstar we found a like-minded partner that shares the same values and commitment to our employees, customers, and communities. Our employees will benefit from greater opportunities and resources that a bank with almost $90 billion in assets possesses, customers will benefit by having access to a wider array of products and services driven by enhanced technology, and our communities will benefit, including from our $28 billion pledge agreement.”
Despite the purchase, New York Community Bancorp, Inc. (NYSE:NYCB) is down almost 26% year to date given macroeconomic headwinds. Although the stock is lower than what it was in 2012, New York Community Bancorp, Inc. (NYSE:NYCB) has a dividend yield of 7.51% at its current stock price of $9.05 per share.
1. Regions Financial Corporation (NYSE:RF)
Number of Hedge Fund Holders: 32
Regions Financial Corporation (NYSE:RF) ranks #1 on our list of 10 Stocks Under $25 to Buy Now given 32 hedge funds we track were long shares of the regional bank at the end of the third quarter. Regions Financial Corporation (NYSE:RF) is one of the nation’s largest full service providers of consumer and commercial banking, wealth management and other services. The company is also a member of the S&P 500 index and has $158 billion in assets.
Although there has been some volatility along the way, Regions Financial Corporation (NYSE:RF)’s stock has more than tripled from 2012 as the bank has increased its book value and EPS over time. Continuing its upward trajectory, shares of Regions Financial Corporation (NYSE:RF) have rallied 6.24% year to date to trade for $23.16 as of December 4.
Although a deep recession could send shares lower, Regions Financial Corporation (NYSE:RF) has attractive normalized earnings potential. The stock also has a dividend yield of 3.45%.
You can also take a look at 15 Biggest Banks In The World and Ken Griffin Stock Portfolio: Top 10 Stock Picks.
