3 Dirt-Cheap Stocks to Buy With $1,000 Right Now

You should never be unwilling to pay a premium price for a quality stock. If you can buy a quality stock at a discounted price, however, then so much the better.

If you've got a little money you're looking to put to work but don't want to step into one of the market's many overvalued names right now, here are three dirt-cheap prospects to consider adding to your portfolio.

Uber Technologies

It's no real secret why Uber Technologies (NYSE: UBER) shares have been struggling since late last year. Between its fourth-quarter earnings miss, growing regulatory concerns, and the advent of robotaxis forcing this ride-hailing outfit to make big investments of its own in the same technology, the market's concerned that the foreseeable future is going to be considerably tougher than the recent past. And maybe it will be.

Uber's stock is priced at only 17 times next year's projected per-share profit of $4.33, though, so the sellers have arguably overshot their target. Even if profit margins are going to be pressured, double-digit revenue growth is in the cards for the near and distant future, fueled by a sociocultural shift in mobility that's big enough to support more than one winner.

Progressive

It's been a miserable past 10 months for shareholders of insurance outfit Progressive (NYSE: PGR). The stock's down 28% from May's peak and still knocking on the door of new 52-week lows, largely on (legitimate) worries that last year's profit boom would run into a headwind. While analysts are looking for revenue growth of 7% this year, earnings are expected to shrink, and by more than a little. Next year's projected top-line growth of more than 8% isn't expected to make much positive net impact on this year's projected per-share profit of $16.12, either, versus last year's $18.25.

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Even so, Progressive's forward-looking price/earnings ratio is now less than 13, and better still, this company's well-supported dividend translates into a forward-looking yield of 6.6%. That's attractive even if you're not exactly looking for value or dividends at this time.

Novo Nordisk

Finally, add drugmaker Novo Nordisk (NYSE: NVO) to your list of dirt-cheap stocks to consider buying while you can get into it at less than 11 times last year's bottom line.

It's been a wild ride for shareholders who've stuck with this name. The stock soared between 2020 and the middle of 2024, in step with sales of its weight-loss drug Wegovy (or semaglutide).

As could have been expected when there's a market opportunity worth tens of billions of dollars, however, competition surfaced, crimping Novo's pricing power as well as its market share. Indeed, the company expects a modest but measurable decline in fiscal 2025's total top line, as do analysts.

As was the case with Uber, though, these sellers have seemingly overshot their target, not recognizing the handful of potential catalysts on the calendar. One of these is an update on phase 3 trials of diabetes treatment CagriSema. Another is regulatory approval decisions on CagriSema itself, as well as for Denecimig, for the treatment of hemophilia A.

Progress with these drugs won't move the needle nearly as well as Wegovy did in its infancy. Now that it's down more than 70% from its mid-2024 peak, however, it shouldn't take much to light a fresh fire under this stock.

James Brumley has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Progressive and Uber Technologies. The Motley Fool recommends Novo Nordisk. The Motley Fool has a disclosure policy.