Best Cheap Stocks To Invest In Right Now

tags:IBM,GD,WEN,PH,RCII,

Twilio (NYSE:TWLO) has been one of tech's more volatile investments since going public at $15 less than a year ago, and at least one analyst feels that the stock's next move will be higher. Mark Murphy at JPMorgan upgraded Twilio on Friday, taking his rating from neutral to overweight.

Twilio stock has been a bucking bronco. It more than quadrupled at one point last year, briefly topping $70 three months after its Wall Street debut. The in-app communications specialist has now seen its stock fall to the high $20s, closing at $26.93 on Thursday. Murphy feels that the current price is too low. He's sticking to his earlier price target of $36, a goal that finds him opportunistically bullish now that the stock is approaching its lowest levels since last summer's IPO.

Image source: Twilio.   

Apps as a main course 

JPMorgan's Murphy argues that the stock is cheap here. The analyst feels that the stock deserves a healthier premium to its peer group of cloud companies, and that's not reflected in the current price. Twilio may have a niche speciality -- giving developers a seamless way to embed text messaging, voice chat, and video capabilities directly within their apps -- but it's the undisputed leader in this gargantuan addressable market. Twilio closed out last year with 36,606 active customers, and it's merely scratching the surface as the mobile revolution continues to play out.  

Best Cheap Stocks To Invest In Right Now: International Business Machines Corporation(IBM)

Advisors' Opinion:

• [By Keith Fitz-Gerald]

  International Business Machines Corp. (NYSE: IBM) entered the personal microcomputer business in 1981 with the express intent of using an "open architecture" model – meaning other manufacturers could produce and sell related software and components without a license. The move was intended to bury arch-rival Apple Inc. (Nasdaq: AAPL) which was, at that point, a $200 million-a-year company.

• [By Sean Williams]

  Lastly, don't count on blockchain acceptance to drive cryptocurrencies higher. Many industry giants, such as IBM (NYSE:IBM), are tinkering with the idea of developing blockchain to best suit their needs.

• [By Adam Levine-Weinberg]

  Even if spending growth decelerates thereafter, it's unlikely to go to zero. Thus, Netflix might need to double its revenue again (to around $60 billion) just to reach $10 billion of annual free cash flow. For comparison, International Business Machines (NYSE:IBM) has a slightly lower market cap than Netflix today and has produced at least $10 billion of cash flow every year for more than a decade.

• [By Motley Fool Staff]

  Technology is a wide-ranging term: It has expanded far beyond what would have once been considered the typical tech stocks, including computer companies like Apple (NASDAQ:AAPL), Microsoft (NASDAQ:MSFT), IBM (NYSE:IBM), and others. It's not even fair to call any of these three brands computer companies anymore. They operate in a variety of other segments that are all part of the technology market, including but not limited to:

• [By Jon C. Ogg]

  The typical morning’s analyst upgrades and downgrades rarely seem to offer much good to say about International Business Machines Corp. (NYSE: IBM). Maybe nothing lasts forever, and that may even include analysts and investors thinking poorly of IBM for so many years. It turns out that IBM just landed a big analyst upgrade.

Best Cheap Stocks To Invest In Right Now: S&P GSCI(GD)

Advisors' Opinion:

• [By Lou Whiteman]

  For investors looking to put new money to work in a defense prime today, I'd recommend General Dynamics (NYSE:GD) over either Raytheon or Northrop Grumman. General Dynamics currently trades at a 20% discount to its rivals on a price-to-earnings basis and at a 13% discount on a price-to-sales basis due to continued weakness in its business jet division. There's more risk to General Dynamics, but there is also more potential upside should it get its aerospace business on track and close that valuation gap.

• [By Ethan Ryder]

  Traders sold shares of General Dynamics (NYSE:GD) on strength during trading on Friday. $52.91 million flowed into the stock on the tick-up and $170.65 million flowed out of the stock on the tick-down, for a money net flow of $117.74 million out of the stock. Of all stocks tracked, General Dynamics had the 0th highest net out-flow for the day. General Dynamics traded up $0.76 for the day and closed at $202.52

• [By Lisa Levin] Companies Reporting Before The Bell Thermo Fisher Scientific Inc. (NYSE: TMO) is projected to report quarterly earnings at $2.4 per share on revenue of $5.63 billion. Ford Motor Company (NYSE: F) is expected to report quarterly earnings at $0.41 per share on revenue of $37.16 billion. Twitter, Inc. (NYSE: TWTR) is projected to report quarterly earnings at $0.11 per share on revenue of $605.26 million. Comcast Corporation (NASDAQ: CMCSA) is expected to report quarterly earnings at $0.59 per share on revenue of $22.75 billion. General Dynamics Corporation (NYSE: GD) is estimated to report quarterly earnings at $2.52 per share on revenue of $7.6 billion. The Boeing Company (NYSE: BA) is expected to report quarterly earnings at $2.58 per share on revenue of $22.24 billion. Anthem, Inc. (NYSE: ANTM) is estimated to report quarterly earnings at $4.91 per share on revenue of $22.52 billion. Viacom, Inc. (NASDAQ: VIAB) is projected to report quarterly earnings at $0.79 per share on revenue of $3.04 billion. Northrop Grumman Corporation (NYSE: NOC) is estimated to report quarterly earnings at $3.61 per share on revenue of $6.61 billion. Rockwell Automation Inc. (NYSE: ROK) is expected to report quarterly earnings at $1.81 per share on revenue of $1.66 billion. Wipro Limited (NYSE: WIT) is projected to report quarterly earnings at $0.07 per share on revenue of $2.15 billion. The Goodyear Tire & Rubber Company (NASDAQ: GT) is expected to report quarterly earnings at $0.46 per share on revenue of $3.82 billion. Owens Corning (NYSE: OC) is projected to report quarterly earnings at $0.97 per share on revenue of $1.62 billion. T. Rowe Price Group, Inc. (NASDAQ: TROW) is estimated to report quarterly earnings at $1.71 per share on revenue of $1.29 billion. Dr Pepper Snapple Group, Inc. (NYSE: DPS) is expected to report quarterly earnings at $1.04 per share on revenue of $1.57 billion. Sirius XM Holdings Inc. (NASDAQ: SI
• [By ]

  Cramer and Moreno also looked at General Dynamics (GD) which peaked in early March, before starting a downtrend until Tuesday. Last week, General Dynamics fell to the lower end of its channel, but then it bounced right to the high end, and Wednesday it firmly broke out above the high end of this channel. The stochastic oscillator, which is a powerful momentum indicator is making a bullish crossover, and based on today's move, Moreno thinks General Dynamics can return to its old highs at $230.

Best Cheap Stocks To Invest In Right Now: Wendy's/Arby's Group Inc.(WEN)

Advisors' Opinion:

• [By ]

  In the Lightning Round, Cramer was bullish on Spirit AeroSystems (SPR) , Take-Two Interactive (TTWO) , Dunkin Brands (DNKN) and Wendy's (WEN) .

  Cramer was bearish on Bristol-Myers Squibb (BMY) and Univar (UNVR) .

• [By Leo Sun]

  However, the fast casual market became increasingly crowded with rival chains like Panera Bread and Chipotle, and Zoe's got squeezed between traditional dine-in restaurants like Darden's Olive Garden and evolving fast food players like Wendy's (NASDAQ:WEN) and McDonald's (NYSE:MCD).

• [By Matt Hogan]

  Growth within the industry is a bit lumpy, with limited-service restaurants, such as Wendys Co (NASDAQ: WEN) and Chipotle Mexican Grill, Inc (NYSE: CMG), growing at 5.3 percent in 2017 as compared to 3.5 percent for casual dining establishments according to the National Restaurant Industry.

• [By Mac Greer]

  He still has 29% of the company, he's still plastered on the pizza boxes and the marketing -- although, that's really been pulled back. Then, it's also come out this week that Wendy's (NASDAQ:WEN) and Papa John's, before all of this stuff came up over the past couple of months, they're actually in talks to have some sort of merger. Going forward, if you're the board of directors at Papa John's, I think you have to really consider that possibility. Maybe the best step forward for the company is to look for a merger or a sale, because, man, this seems like a train wreck that keeps accelerating. When you have Schnatter on the board, he would have to be in favor of a buyout or a merger for it to go through. 

• [By Rich Duprey, Daniel Miller, and Dan Caplinger]

  We asked three Motley Fool contributors to identify top stocks under $20 that investors could buy right now to generate exceptional returns. Below they discuss Crocs (NASDAQ:CROX), Sirius XM Holdings (NASDAQ:SIRI), and Wendy's (NASDAQ:WEN).

Best Cheap Stocks To Invest In Right Now: S&P Smallcap 600(PH)

Advisors' Opinion:

• [By Neha Chamaria]

  In terms of dividend growth, only four of the above stocks -- 3M, Colgate-Palmolive, Coca-Cola, and Procter & Gamble -- feature among the 10 fastest dividend-growth kings. In other words, there are six other stocks from the dividend kings list that have grown their dividends at a faster pace than most stocks in the above table in the past decade, some even at double-digits.  

  Six top dividend kings by dividend growth Dividend King 10-Year Dividend CAGR Current Dividend Yield Payout Ratio (TTM) Lowe's Companies  18.5% 2% 34.5% Hormel Foods  16.3% 2.1% 39.2% Parker-Hannifin Corp (NYSE:PH) 14% 1.7% 35.2% Nordson Corporation  12.2% 0.9% 13.3% Dover Corp (NYSE:DOV) 9% 2% 37.4% American States Water (NYSE:AWR) 7.6% 1.9% 54.8%

  TTM: Trailing 12 months. Data sources: YCharts and Yahoo! Finance. Table by author.

• [By Ethan Ryder]

  Parker-Hannifin (NYSE:PH) had its price target boosted by Wells Fargo & Co from $185.00 to $193.00 in a research note released on Thursday, The Fly reports. Wells Fargo & Co currently has a market perform rating on the industrial products company’s stock.

• [By Shane Hupp]

  Investors sold shares of Parker-Hannifin Corp (NYSE:PH) on strength during trading hours on Friday. $23.02 million flowed into the stock on the tick-up and $82.05 million flowed out of the stock on the tick-down, for a money net flow of $59.03 million out of the stock. Of all stocks tracked, Parker-Hannifin had the 25th highest net out-flow for the day. Parker-Hannifin traded up $2.45 for the day and closed at $171.53

• [By Stephan Byrd]

  Parker-Hannifin (NYSE:PH)‘s stock had its “hold” rating reaffirmed by investment analysts at Deutsche Bank in a research report issued to clients and investors on Thursday. They currently have a $169.00 price objective on the industrial products company’s stock. Deutsche Bank’s price target suggests a potential upside of 6.52% from the stock’s current price.

Best Cheap Stocks To Invest In Right Now: Rent-A-Center Inc.(RCII)

Advisors' Opinion:

• [By ]

  Engaged Capital maintained large positions in Rent-A-Center (RCII) , TiVo (TIVO) , Hain Celestial (HAIN) , SunOpta and Jamba Inc. (JMBA) , all companies that have either previously been targeted by Welling or currently are in his cross-hairs.

• [By Shane Hupp]

  Rent-A-Center Inc (NASDAQ:RCII) saw a large drop in short interest in June. As of June 15th, there was short interest totalling 21,844,410 shares, a drop of 21.9% from the May 31st total of 27,979,079 shares. Based on an average daily volume of 5,032,779 shares, the short-interest ratio is presently 4.3 days. Currently, 45.0% of the shares of the stock are short sold.

• [By Timothy Green]

  Shares of rent-to-own retailer Rent-A-Center Inc. (NASDAQ:RCII) soared on Monday after the company agreed to be acquired for $15 per share. This comes less than a week after Rent-A-Center received a lower buyout offer following the completion of its strategic review. The stock was up about 22.2% at 11:30 a.m. EDT.

• [By Ethan Ryder]

  Rent-A-Center (NASDAQ:RCII) gapped down before the market opened on Wednesday . The stock had previously closed at $9.36, but opened at $9.43. Rent-A-Center shares last traded at $9.54, with a volume of 375675 shares changing hands.

• [By Dan Caplinger]

  Monday was a weak day for the stock market, with most major benchmarks losing ground. Further concerns about the potential for a deepening divide between the U.S. and China weighed on sentiment, and some also fear that steadily rising interest rates could eventually put pressure on stocks. Yet some companies still had good news that sent their individual shares higher. Rent-A-Center (NASDAQ:RCII), PTC Therapeutics (NASDAQ:PTCT), and Dropbox (NASDAQ:DBX) were among the best performers on the day. Here's why they did so well.