Finding winning stocks at under $20 a share is appealing to both traders and investors. These stocks allow traders and investors to take a meaningful position with a nominal investment.
However, many low-priced stocks carry risk. That may not matter much in raging bull markets. As the meme stock movement showed, there are times when investors can find winning stocks simply by trusting with their gut. It may not be analytically sound, but there can be brief periods of time when stock prices get separated from fundamentals.
But in times of market volatility, gut feelings can often lead investors astray. One way to find potential winners in volatile markets is to look at analyst ratings.
Analyst ratings aren’t a perfect predictor, but they can help you understand investor sentiment. For this article, I used the MarketBeat stock screener to find three stocks that have multiple Strong Buy ratings from analysts.
Another shared characteristic of these stocks is the potential for earnings growth of at least 15%. As investors know, earnings growth is one of the most accurate predictors of stock price growth.
Let Prosus Help You Find the Next Big Thing
Many risk-tolerant investors are always on the hunt for the next big thing. When you invest in Prosus N.V. (OTCMKTS: PROSY), you’re investing in a company that does the same things. Prosus is a company based in Amsterdam that invests in and operates many early-stage technology companies. The company’s four core segments are: Classifies, Food Delivery, Payments & Fintech and Edtech.
Many of the company’s investments are in the e-commerce space. For example, Prosus was a major investor in the Chinese e-commerce company, Tencent. The company is responsible for most of Prosus’ Net Asset Value (NAV), but PROSY stock is up 42% this year largely because it’s selling its stake in Tencent and buying back its own stock.
Moving forward, the company expects the adjusted profit of its e-commerce business unit to increase to $400 million by the end of its fiscal year. And the company is heavily invested in India and has expectations that many of its Indian businesses will initiate initial public offerings (IPOs) in the next 18 months.
Twelve analysts have rated Prosus a Strong Buy. The consensus price target is $10.66, with a high target of $14.12.
You Can Count on Many Gamers to Make the Switch
Next up on this list is another international company. Nintendo Co. Ltd. (OTCMKTS: NTDOY) is a well-known gaming company that is home to legendary characters such as the Mario Bros. and Donkey Kong.
The company is also known for its hardware, most notably its popular Switch handheld gaming platform. The company launched the Switch in 2019 and has seen its annual user base increase for seven consecutive years. However, growth has been slowing as gamers wait for the company’s next-generation Switch platform to come out in March 2025.
That’s one reason that 12 out of 22 analysts give NTDOY a Strong Buy rating with a consensus price target of $63.30. That’s a whopping 380% from its current level.
But the real story is the company’s pivot to monetize its intellectual property. This started with the Super Mario Bros. Movie in 2018, which has a sequel planned for 2026. The company has also launched interactive theme parks with its Nintendo Universe characters.
If You Only Make One Investment in Gold, Make Barrick Gold Your Pick
Gold has been one of the best-performing asset classes in 2024. You don’t have to be a “gold bug” to understand that now may be a good time to get some exposure to basic materials stocks, particularly those dealing with gold.
For many investors, that may mean owning physical gold. As of this writing, a troy ounce of gold is selling for $2,735.50, which is near its record high. And many industry observers expect the yellow metal to climb to $3,000 by the end of the year, and it may even move higher.
But investing in gold miners is a good way to gain exposure without the logistical concerns of owning physical gold. Barrick Gold Corp. (NYSE: GOLD) is the logical choice. Barrick is one of the largest gold mining companies in the world, with a market capitalization of over $33 billion. It’s primary source of revenue comes from the Cortez Gold Mine in Nevada. It’s one of the world’s largest mines and has been operating for over 50 years.
GOLD stock is only up 5% in 2024, but analysts are projecting 42% earnings growth in the next 12 months. Eleven out of 21 analysts give GOLD stock a Strong Buy rating with a consensus price target of $24.67, which is a 29% increase from the stock’s closing price on November 1, 2024.
