Kiplinger

20 More Best Stocks to Buy That You Haven’t Heard Of

The best stocks aren't always going to be the most familiar. But sometimes, investors confuse the two. Recognizability is a powerful thing - so much so that investors occasionally make the mistake of trusting that familiarity more than a company's underlying fundamentals. The sheer amount of attention an organization can garner really can dictate perceptions of how investment-worthy its stock is.

This approach won't always be met with disaster. Corporations that attract the attention of the media and stock pickers tend to do so for good reason. But if you make stock picks like that, you may inherently overlook some opportunities that simply haven't turned enough heads - yet.

People often associate obscure plays with small-cap stocks - smaller companies with market values of roughly between $300 million and $3 billion. But sometimes, even larger stocks aren't very visible because their businesses don't make for riveting, splashy headlines.

Last year, we introduced you to 20 unfamiliar companies. Today, let's meet 20 more of the best stocks to buy that are anything but household names. Some are merely small, while others operate in obscure markets. However, all of them are worth a closer look from investors aiming to back off from mainstream stocks that have gotten a bit overextended.

Aptiv

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Market value: $19.0 billion

Dividend yield: 1.2%

Industry: Auto parts

Ireland-based auto parts maker Aptiv (APTV, $73.71) is a great example of a large stock that still manages to fly under the radar. Most North American investors haven't heard of this company, preventing them from stepping into what may be a compelling prospect.

But Aptiv isn't about steering columns and suspension systems. Rather, it's one of the unsung pioneers of the connected-car era, and the autonomous car in particular. Formerly known as the mobility side of Delphi Automotive, Aptiv worked with Lyft (LYFT) last year to provide the know-how for the world's first commercial autonomous vehicle service. The partnership had provided 30,000 rides in Las Vegas as of the end of January. No major problems were reported.

Other car makers and fleet operators working on similar solutions may end up tapping Aptiv as the most cost-effective means of securing self-driving technologies. BIS Research believes autonomous vehicles will log a 20.78% compound annual growth rate globally between 2018 and 2028, when they expect the industry to hit 67.5 million units.

APTV is neither bargain-priced nor a red-hot momentum play. But with the self-driving automobile market finally poised to gain traction, Aptiv is positioned for real growth in the years ahead.

ASGN Inc.

Getty Images

Market value: $3.0 billion

Dividend yield: N/A

Industry: Staffing and outsourcing services

"Generally, staffing companies can begin to trade at discounts to the market late in bull markets, because their profitability can be cut quickly as companies slow hiring," says Robert Spivey, director of research with equity and credit research outfit Valens Research. "Right now this is, $57.53), as it trades at close to a 10x P/E, on both as-reported and uniform adjusted (UAFRS) metrics, that remove accounting distortions."

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