“Buy low, sell high” is the mantra for success in the investing world. Consequently, investors are always looking for opportunities to scoop up cheap stocks that could offer incredible value over the long run. As Warren Buffet said, “It’s far better to buy a wonderful company at a fair price than a fair company at a wonderful price.”

We have seen many beaten-down stocks without much promise get a bump in share price. Additionally, some promising stocks haven’t been able to win over the stock market so far. But cheap stocks with strong growth prospects will allow investors to generate handsome returns in a short space of time. Therefore, if you can find auspicious companies early on, you can build great wealth over time.

Having said that, let’s look at some promising cheap stocks you can grab for under $20:

• Exelixis (NASDAQ:EXEL)
• Orange (NYSE:ORAN)
• Vodafone (NASDAQ:VOD)
• American Airlines (NASDAQ:AAL)
• Hello Group (NASDAQ:MOMO)
• Viatris (NASDAQ:VTRS)
• SoFi Technologies (NASDAQ:SOFI)

Cheap Stocks: Exelixis (EXEL)

Exelixis is an oncology-focused pharmaceutical company. Its claim to fame is its hugely-successful cancer drug called Cabometyx.

Since the drug’s approval in 2016, Exelixis has focused on strengthening its market positioning by running trials to combine Cabometyx with other drugs to treat more conditions.

Though the RCC market is highly competitive, the company generated double-digit growth in Cabometyx sales. The drug has generated strong revenue numbers of more than $1 billion.

Cabometyx could generate millions in annual sales down the line as part of several clinical trials. On top of that, the company boasts a cash position of more than $1.5 billion, which gives it ample flexibility to continue investing in its business.

Orange (ORAN)

Orange is a French telecom giant which operates the fourth-largest mobile network in Europe. ORAN stock has taken a substantial hit in value over the past three years due to the regulatory and operational challenges in the European market.

However, Orange has a robust growth runway in the coming years. After its recent selloff, the stock is at a highly-attractive entry point.

5G coverage in Europe is growing at an impressive pace, and Orange’s infrastructure projects are moving in the right direction. These include its TowerCo project and Polish FiberCo joint venture.

During its most-recent quarter, its European revenues grew by 2% with a 5.7% increase in retail services. On top of that, its African and Middle-Eastern growth regions are performing incredibly well, which is a testament to the company’s expanding footprint.

Cheap Stocks: Vodafone (VOD)

U.K. mobile operator Vodafone has performed underwhelmingly in the stock market of late. A lot of it is due to its subpar performance in the past couple of years and its mounting debt load.

However, Vodafone’s recent positive results, appealing stock price and solid dividend profile make it an incredible long-term bet.

The company recently reported better-than-expected numbers during its first half. The telecom giant has raised its earnings guidance for the year from 15 billion euros to 15.2 billion euros. Moreover, it increased its free cash flow (FCF) target by 100 million euros.

It also boasts healthy dividend yields of nearly 6.8% with close to 90% payout. If it can lower its debt burden and work on its operational effectiveness, VOD stock is in for a major turnaround in 2022.

American Airlines (AAL)

American Airlines and AAL stock were obliterated during the pandemic. The coronavirus wiped away demand for air travel, but the sector has bounced back with the widespread availability of vaccines.

However, American Airlines remains a work-in-progress, as it’s still reeling from the effects of the pandemic on its financial flexibility. Nevertheless, AAL stock remains an excellent buy for the long haul, trading at less than one times forward sales.

The great thing for American Airlines is that leisure travel has returned to pre-pandemic levels on a few occasions in the past year. Moreover, business travel is likely to recover in the next couple of years. Debt reduction will also continue due to its reduced capital expenditure requirements.

American Airlines’ impeccable fleet management in the past decade is likely to give it the edge in the future. Moreover, with the changes at the top, the airliner plans to focus on customer service, cut losses and limit its debt load.

Cheap Stocks: Hello Group (MOMO)

Hello Group owns several of China’s top social and entertainment apps and was once touted as one of the best growth stocks on the market. However, it nosedived after its Tinder-like Tantan app was removed from stores for alleged inappropriate content.

Since then, Hello Group’s apps have been restored. The company is now recovering after the pandemic hurt its online dating and live streaming segments.

Revenue growth hasn’t been impressive in the past few quarters, but Hello Group is investing heavily in its businesses to grow its user base. The goal is to reduce paywalls and get more monthly active users (MAUs) on its platforms.

The company boasts a strong balance sheet and impetus to expand its services in other countries. On top of that, MOMO stock is trading rather cheaply at less than one times forward sales.

Viatris (VTRS)

Viatris is a spinoff of Pfizer’s (NYSE:PFE) drug unit, Upjohn, whose shares have taken a hammering in the past year. However, the business is solid overall with a stable top and bottom line as well as massive free cash flow growth. It can easily service its debt and is likely to deliver on its promise of healthy dividends down the line.

Viatris has laid down a three-point agenda since its creation. It plans to repay its debt, expand its free cash flow and dish out over $200 million in dividends within the next nine months.

So far, it appears the company can become a cash cow, having generated more than $2 billion in free cash flows. It boasts a strong and proven portfolio, which will help it post sizeable revenues in the future.

The company expects revenue to fall between $17.7 billion and $17.9 billion for the year, representing a nearly 50% increase on a year-over-year (YOY) basis. Moreover, VTRS stock trades at less than one time forward sales, which is a remarkably attractive price for such a high-growth company.

Cheap Stocks: SoFi Technologies (SOFI)

SoFi Technologies is an up-and-coming financial technology (fintech) disruptor on a mission to help its customers achieve financial independence. The goal is to offer a streamlined service, which offers a host of different financial services without any hitches.

So far, the platform has nearly doubled its membership in a year and continues to execute brilliantly.

SoFi’s investors have plenty to look forward to next year. Perhaps its biggest catalyst is the bank charter it’s been chasing, which is in the final stages of approval. Once it gets the charter, SoFi can cut out the middle man and significantly expand its margins.

The company’s recent acquisition of Galileo will help curb its risks and further solidify its positioning in the fintech space. Hence, SOFI stock has the potential to gain big in what could be its breakthrough year in 2022.

On the date of publication, Muslim Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines

Muslim Farooque is a keen investor and an optimist at heart. A life-long gamer and tech enthusiast, he has a particular affinity for analyzing technology stocks. Muslim holds a bachelor’s of science degree in applied accounting from Oxford Brookes University.