7 Best Cheap Stocks To Buy Today Under $10

5. Itau Unibanco (NYSE:ITUB)  

Number of Hedge Fund Investors: 25  

Forward P/E Ratio as of October 1: 8.54  

Itau Unibanco (NYSE:ITUB) is the largest private-sector bank in Brazil and one of the largest financial institutions in Latin America. The bank offers a wide range of financial services, including retail banking, investment banking, and insurance.

In Q2, Itau Unibanco (NYSE:ITUB) reported a net income of $1.85 billion, up 15.2% year over year, outperforming its peers and solidifying its position as one of the most profitable banks in Brazil. The company’s net income has been growing consistently over the past few years, with a compound annual growth rate (CAGR) of 7.28% over the past five years.

Itau Unibanco’s (NYSE:ITUB) strong financial performance is driven by its high-quality loan portfolio, which has a low non-performing loan (NPL) ratio of 2.7%. The company’s loan portfolio is diversified across different segments, including corporate, retail, and small and medium-sized enterprises (SMEs).

In addition to its strong financial performance, Itau Unibanco (NYSE:ITUB) has a solid market position in Brazil, with a large customer base and a wide range of financial products and services. The company has a strong brand reputation and is widely recognized as one of the most reliable and trustworthy banks in Brazil.

Itau Unibanco (NYSE:ITUB) presents a solid investment opportunity for investors looking for a reliable and profitable bank with a strong market position. The bank’s stock is trading at a forward PE of 8.54, a 28.46% discount to its sector median of 11.94. Analysts expect the company to increase its earnings by 9.27% this year.