7 Best Cheap Stocks To Buy Today Under $10

3. BGC Group (NASDAQ:BGC)  

Number of Hedge Fund Investors: 33  

Forward P/E Ratio as of October 1: 10.10  

BGC Group (NASDAQ:BGC) is a global brokerage company that provides fixed-income, foreign exchange, energy, commodities, shipping, and equity services to some of the largest investment banks, trading firms, hedge funds, and governments. The company operates through multiple subsidiaries and has a strong presence in international markets.

On September 24, BGC Group (NASDAQ:BGC) announced the successful launch of the FMX Futures Exchange, a new exchange for trading Secured Overnight Financing Rate (SOFR) futures and U.S. treasury futures. The FMX Futures Exchange is designed to provide clients with a more efficient and cost-effective way to manage their interest rate risk, with a state-of-the-art trading system that enables fast execution of trades.

The exchange has partnered with LCH Limited, a derivatives clearing company headquartered in London, to provide clearing and settlement services. This partnership will enable clients to benefit from LCH’s extended clearing capabilities, including cross-margining of eligible U.S. interest rate futures and interest rate swaps and will result in significant capital savings for clients, as they will be able to reduce the amount of collateral required to trade. Additionally, the exchange’s global connectivity will allow clients to access liquidity from around the world, making it a more attractive platform for trading interest rate futures.

The launch of the FMX Futures Exchange is expected to have a positive impact on BGC Group’s (NASDAQ:BGC) business, with new revenue streams generated through trading fees, clearing fees, and other services. The exchange is also expected to attract new clients and increase the company’s market share in the derivatives market.

BGC Group’s (NASDAQ:BGC) stock is trading at a forward PE of 10.10, a 15.43% discount to its sector median of 11.94. Analysts expect the company to increase its earnings by 11.5% this year and have a consensus on the stock’s Buy rating, setting an average share price target at $11.50, which represents a 9.18% upside potential from its current level. As of the second quarter, BGC Group’s (NASDAQ:BGC) stock is held by 33 hedge funds, with a total stake valued at $425.43 million.