Have $500? 2 Absurdly Cheap Stocks Long-Term Investors Should Buy Right Now

Adding $500 to a retirement account annually, or roughly $10 a week, may not sound life changing. However, I like to view it through the eyes of my 8-year-old daughter. Should these measly $10 weekly additions be made in perpetuity throughout the first 65 years of her life, her account would grow to over $2.6 million, assuming historical average market returns of 10%.

While it is doubtful that this account would go untouched, with potential use cases like college or a down payment for a house, it nonetheless highlights the power of a mere $500. And remember, these are just market-matching returns. If you find a potential long-term winner at an absurdly cheap valuation, you could do even better.

Here's what makes PayPal (NASDAQ: PYPL) and The Toro Company (NYSE: TTC) so interesting at today's discounted valuations.

Continue reading

Source Fool.com