Got $5,000? These 3 Nasdaq Stocks Are Dirt Cheap Buys Right Now

As of Monday, the Nasdaq Composite index had tumbled more than 11% since the start of the year. The outlook for the economy is worrisome, as trade wars and promised tariffs could lead to disaster for many businesses. But that doesn't mean you should necessarily get out of the market. On the contrary -- this can be an optimal time to score some deals and investments you can hang on to for the long haul.

If you've got $5,000 you can afford to invest in the stock market today, three stocks you'll want to consider loading up on right now are Amgen (NASDAQ: AMGN), PayPal (NASDAQ: PYPL), and Baidu (NASDAQ: BIDU).

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Here's how cheap these three Nasdaq stocks are right now, and why they could be bargain buys.

1. Amgen

While the market has been struggling this year, shares of Amgen are up 17% so far in 2025. But even with its rally, this is still a fairly cheap healthcare stock to buy. It's trading at just under 15 times next year's estimated earnings (based on analyst estimates).

This is a good healthcare company to invest in: Not only does it have strong growth prospects, but it also pays a dividend that now yields 3.1%. Whether you want long-term gains from owning the stock or just recurring dividend income, it can be a suitable option for either goal.

Last year, the company grew its top line by 19% to $33.4 billion. It has many blockbuster drugs in its portfolio, including Repatha (cholesterol) and Prolia (osteoporosis), which generated a combined $6.6 billion in sales in 2024.

On top of all this, Amgen has a highly promising injectable GLP-1 treatment for weight loss, MariTide, which would only need to be taken on a monthly basis (versus weekly, as is the case with other injectable treatments). It isn't approved yet but its results have been encouraging. And if it gets the green light, the stock could quickly take off.

2. PayPal

Investors aren't all that excited with PayPal, because there's concern that with more payment options, demand for its platform will decline. However, the brand is strong, and it's still doing well despite consumers having an increased number of ways to send money and pay for goods. It's a go-to option that people are familiar with and trust, and that's why I see the payment processing company as an underrated investment.

Although its growth rate hasn't been impressive of late (4% for the last three months of 2024), it comes at a time when consumers are scaling back on discretionary spending. The economy as a whole isn't doing terribly well, so it may not be surprising to see PayPal's results indicate similar challenges. The silver lining, however, is that its earnings were still fairly resilient in 2024 -- they totaled $4.1 billion and were down by just 2% year over year.

The fintech stock is trading at 13 times its estimated future earnings, and it can be a great place to invest $5,000 today. The stock is trading down more than 24% this year but in the long run, this is a stock that can recover as economic conditions improve.

3. Baidu

At a forward price-to-earnings multiple of just 10, Baidu is the cheapest stock on this list. Its stock price is up 8% so far this year, as investors are beginning to warm up to Chinese tech stocks again. And when you consider that it's also investing heavily in artificial intelligence (AI), it's not hard to see why this is a stock which may have considerable upside in the future, and why it can be a great place to invest $5,000 into today.

Last year, its AI chatbot Ernie Bot reached 200 million users. This year, Baidu will release an updated AI model which could attract even more users, as well as investors. In 2024, the company's sales declined by 1% to $18.2 billion, but with its AI cloud business picking up steam (growing at a rate of 24%), Baidu is optimistic that its investments into AI will pay off in the long run. Its robotaxi, Apollo Go, is a great example -- Baidu recently announced it will soon be deploying the vehicles in Dubai.

There is some risk and uncertainty which comes with Chinese stocks, due to the potential for government interference. But I still see Baidu as a great stock to buy, given its low valuation and attractive growth prospects for the future.

Don’t miss this second chance at a potentially lucrative opportunity

Ever feel like you missed the boat in buying the most successful stocks? Then you’ll want to hear this.

On rare occasions, our expert team of analysts issues a “Double Down” stock recommendation for companies that they think are about to pop. If you’re worried you’ve already missed your chance to invest, now is the best time to buy before it’s too late. And the numbers speak for themselves:

• Nvidia: if you invested $1,000 when we doubled down in 2009, you’d have $285,647!*
• Apple: if you invested $1,000 when we doubled down in 2008, you’d have $42,315!*
• Netflix: if you invested $1,000 when we doubled down in 2004, you’d have $500,667!*

Right now, we’re issuing “Double Down” alerts for three incredible companies, and there may not be another chance like this anytime soon.

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*Stock Advisor returns as of April 1, 2025

David Jagielski has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amgen, Baidu, and PayPal. The Motley Fool recommends Nasdaq and recommends the following options: long January 2027 $42.50 calls on PayPal and short March 2025 $85 calls on PayPal. The Motley Fool has a disclosure policy.