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What are the best cheap stocks to buy right now?
Sound like something you’ve asked Google before? You’re not alone.
It can be tricky to find the best cheap stocks to buy now out of the thousands of options available if you don’t have the right tools.
The good news is we’ve got you covered with 5 of the best cheap stocks to buy now based on a proven set of fundamental metrics and due diligence checks.
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Methodology for Finding the Best Cheap Stocks
To find the best cheap stocks to buy in May 2025, we used a combination of tools on WallStreetZen:
- WallStreetZen’s preset stock screeners: Notably, the Best Undervalued Stocks to Buy Now screener. It incorporates a minimum Zen Score (see #2 below) of 50 and a valuation score of 80 based on factors such as Benjamin Graham’s valuation formula, Discounted Cash Flow (DCF) valuation, and various price ratios, such as price-to-earnings and price-to-book.
- Zen Ratings: Our proprietary system that distills 115 factors that drive growth into an easy-to-read letter score. In addition to an overall score, you can see how each stock scores in different areas, including value, growth, momentum, and more. Stocks rated “A” through the Zen Ratings system have produced an average annual return of +32.52% since 2003.
- Strong Buy Ratings from Top Analysts. With WSZ’s Strong Buys from Top Analysts feature, you can zero in on ratings from ONLY top-rated analysts, and you have easy access to their track record and average win rate. In each entry, you can easily see the analyst’s track record, plus the “why” behind their rating.
Let’s dive in…
What are the Best Cheap Stocks to Buy Now?
Here are some of the potential best cheap stocks to buy now:
- Super Group (NYSE: SGHC)
- TaskUs (NASDAQ: TASK)
- Nexxen International Ltd (NASDAQ: NEXN)
- Nomad Foods Ltd (NYSE: NOMD)
- Carnival Corp (NYSE: CCL)
Note: This article does not provide investment advice. The stocks listed should not be taken as recommendations. Your investments are solely your decisions.
1. Super Group (NYSE: SGHC)
The super group consisting of online sports betting brands Betway and Spin (get it?) is currently trading at a very attractive valuation — and Wall Street is projecting a significant upside in the next 12 months. SGHC depends on an asset-light, tech-driven model, and with a recent move to concentrate on core operations in the United States, there’s hope that the business can continue to scale in a cost-effective manner.
Zen Rating: A (Strong Buy) — see full analysis >
Recent Price: $7.96 — get current quote >
Max 1-year forecast: $12.00
Why we’re watching:
- Super Group is currently the top-rated stock in the entire Gambling industry. (Read more about how to find the best stocks in the best industries.)
- A consensus Strong Buy among Wall Street analysts, Super Group stock has 3 Strong Buy ratings and 2 Hold ratings. See the ratings
- The average 12-month price forecast for SGHC shares currently sits at $10.80, which implies a 41.36% upside.
- Looking closer at analyst coverage, on April 16, Benchmark’s Mike Hickey (a top 3% rated analyst) reiterated a Strong Buy rating and the Street-high $12 price target.
- The company’s last earnings call saw a massive 283.33% increase in earnings per share (EPS) on a year-over-year (YoY) basis, and it will hold its next earnings call after market close on May 8.
- SGHC stock has a Zen Rating of A, and ranks in the top 5% of equities tracked by our proprietary quant rating system.
- Super Group stock has three notable strengths — it ranks in the top 7% in terms of Momentum, the top 10% in terms of Growth, and the top 19% in Value. (See all 7 Zen Component Grades here >)
2. TaskUs (NASDAQ: TASK)
TaskUs is a neat behind-the-scenes play that offers a convenient way to gain indirect exposure to high-flying tech companies in the social media, e-commerce, gaming, and fintech sectors. The company is a business process outsourcing (BPO) firm that handles operations such as customer experience and customer support — and ranks quite highly in what is a dynamic, competitive sector.
Zen Rating: A (Strong Buy) — see full analysis >
Recent Price: $13.53 — get current quote >
Max 1-year forecast: $22.00
Why we’re watching:
- Moreover, TASK is the 3rd highest rated stock in the Information Technology Service sector.
- TASK stock currently has 2 Strong Buy ratings, 1 Buy rating, and 1 Hold rating — with not a single Sell or Strong Sell. See the ratings
- The average price target for TaskUs shares is $20.25 — a figure that implies a hefty 56.25% upside
- James Faucette of Morgan Stanley (a top 11% rated analyst) upgraded the stock to a Strong Buy at the tail end of last year. At present, Faucette maintains a $21 price target.
- In a note shared with investors, the analyst cited exposure to Meta Platforms and OpenAI as a key reason as to why the company will be an “underappreciated beneficiary of AI investment”.
- TaskUs stock carries an overall Zen Rating of A, and actually ranks in the top 1% of the more than 4,600 equities that our system keeps track of.
- So, why has our system given TaskUs shares such a high rating? For one, it ranks in the top 5% of equities in terms of its Safety Component Grade rating — but it also ranks in the top 7% and top 10% in value and Financials, respectively. (See all 7 Zen Component Grades here >)
3. Nexxen International Ltd (NASDAQ: NEXN)
This global adtech platform helps leading brands, marketing agencies, and publishers plan, put into motion, and measure cross-channel campaigns. As marketers look for more measurable results from their ad spend, Nexxen is emerging as a strong player in the evolving media landscape.
Zen Rating: A (Strong Buy) — see full analysis >
Recent Price: $9.05 — get current quote >
Max 1-year forecast: $13.00
Why we’re watching:
- NEXN stock has 1 Strong Buy rating and 4 Buy ratings, with no Hold, Sell, or Strong Sell ratings currently being issued. See the ratings
- Maria Ripps, a Canaccord Genuity researcher (and a top 21% rated analyst), initiated coverage on Nexxen International stock on March 26 with a Strong Buy rating and a $12 price target.
- Needham’s Laura Martin (a top 1% rated analyst) reiterated a Buy rating on March 6, and left her $12 price forecast unchanged.
- At present, the average price target for NEXN shares is slightly lower, at $11.80 — a figure that still implies an attractive 30.39% upside from current prices.
- NEXN shares carry an overall Zen Rating of A, and currently rank in the 98th percentile of all stocks based on a thorough review of 115 factors that correlate with outsized returns.
- Nexxen International stock is in the 95th percentile when it comes to Financials, as well as in the top 12% of stocks in terms of its Artificial Intelligence Component Grade rating. (See all 7 Zen Component Grades here >)
4. Nomad Foods Ltd (NYSE: NOMD)
Our next pick is a leading provider of frozen food products and ready-to-cook meals in Europe. With a focus on convenience, nutrition, and sustainability, the business has grown to a hefty $3 billion market cap, and currently operates in 13 countries. As it operates in a sector that is unperturbed by tariffs, it presents a strong defensive pick — particularly at current prices.
Zen Rating: A (Strong Buy) — see full analysis >
Recent Price: $19.56 — get current quote >
Max 1-year forecast: $26.00
Why we’re watching:
- At present, only 3 analysts issue ratings for Nomad Foods stock — however, they’re among the highest-rated analysts on Wall Street. As for the ratings themselves, we’re looking at 2 Strong Buys and 1 Buy. See the ratings
- That 1 Buy came from John Baumgartner of Mizuho (a top 9% rated analyst), who also set the Street-high price target of $26, having increased it from a prior $24 target.
- Fun fact — Baumgartner’s price target implies a 32.52% upside — and that’s exactly the average annual return that stocks with a Zen Rating of A, like NOMD, have provided since the early 2000s.
- Barclays researcher Lauren Lieberman (a top 19% rated analyst) and Deutsche Bank’s Steve Powers (a top 10% rated analyst) issued the remaining two ratings, both of which are Strong Buys. Both of the analysts set a $23 price target, which implies a 17.58% upside from current prices.
- So, why has Nomad Foods stock garnered the attention of some of Wall Street’s best and brightest? It ranks in the top 4% of equities on the whole, and also ranks in the top 3% according to Value and top 13% according to Sentiment. (See all 7 Zen Component Grades here >)
5. Carnival Corp (NYSE: CCL)
Our next pick sails into view from the travel and leisure sector. Carnival Corp has staged an impressive post-pandemic recovery, with occupancy rates nearing historic levels. The cruise giant has also made headway on deleveraging its balance sheet, trimming billions in debt while improving margins. Yet despite the rebound, CCL remains well below its pre-COVID highs — and while macro worries remain, long-term investors are presented with a discounted entry into a resurging industry leader.
Zen Rating: B (Buy) — see full analysis >
Recent Price: $17.64 — get current quote >
Max 1-year forecast: $33.00
Why we’re watching:
- Carnival Corp’s recovery hasn’t gone unnoticed. The stock has 7 Strong Buy ratings, 1 Buy rating, and 4 Hold ratings — no Sells or Strong Sells here. See the ratings
- The average 12-month price forecast for CCL shares sits at $28.83 — which implies a 63.45% upside.
- Tigress Financial researcher Ivan Feinseth (a top 4% rated analyst) increased his price target from $28 to $32 and maintained a Strong Buy rating following the company’s Q1 2025 earnings call.
- Feinseth cited strong booking volumes and ongoing strength in cruise demand as the key drivers behind his decision.
- At present, CCL shares have a Zen Rating of B. On average, this class of equities has outperformed the wider market for the past two and a half decades.
- Carnival Corp stock ranks quite highly in terms of Value — in the top 4%, to be exact. However, its Sentiment Component Grade rating is even more impressive — in that category, it ranks in the top 1% of stocks. (See all 7 Zen Component Grades here >)
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What Makes a Stock Cheap?
What makes a stock cheap depends on your perspective and investment strategy.
Some investors may consider stocks under $30 (or any other number) cheap.
On the other hand, value investors would consider undervalued stocks cheap because they’re trading at a price under their intrinsic value — like the stocks on this list. But it depends on your chosen valuation metric.
One of the hardest parts of stock market investing? Choosing the right stocks.
WallStreetZen offers one of the top stock-picking services out there.
To find these stock picks, I used one of WallStreetZen’s preset stock screeners, Best Undervalued Stocks to Buy Now. But it’s not the only tool the platform has to offer. Not by a long shot.
WallStreetZen’s Top Analysts is our most frequently visited page — here’s why:
Other stock-picking services constantly brag about their winning stock picks — but fail to mention when they’re wrong.
Instead of providing direct picks, we built a service that aggregates the research and recommendations from nearly 4,000 Wall Street analysts — then backtests their performance over multiple years.
Based on this research, analysts are ranked based on average return, frequency of ratings, and win rate — so you can rest assured you’re only following top performers.
Summary: Cheap Best Stocks to Buy Now
In this list, we covered 5 of the best stocks to buy now cheap based on key valuation metrics, such as Discounted Cash Flow and price-to-earnings.
But, while these are potentially good investment candidates, they must be part of a balanced portfolio.
Make sure you understand the risks you take with small and micro-cap stocks as they tend to be much more volatile than larger companies.
For that reason, their performance is less predictable, so it’s wise to spread your bets rather than concentrate them on just a few companies.
And always remember, stocks can stay undervalued for a long time so you need an investment horizon of at least a few years. But that’s not to say that one of these stocks couldn’t surge tomorrow — anything can happen and understanding that is key!
Try out our screener to discover more of the best cheap stocks to buy right now.
FAQ:
What are the best cheap stocks to buy right now?
At writing, the best cheap stocks to buy right now based on analyst ratings include:
1. Super Group (NYSE: SGHC)
2. TaskUs (NASDAQ: TASK)
3. Nexxen International Ltd (NASDAQ: NEXN)
4. Nomad Foods Ltd (NYSE: NOMD)
5. Carnival Corp (NYSE: CCL)
Where to Invest $1,000 Right Now?
Did you know that stocks rated as "Buy" by the Top Analysts in WallStreetZen's database beat the S&P500 by 98.4% last year?
Our May report reveals the 3 "Strong Buy" stocks that market-beating analysts predict will outperform over the next year.
