Here's a quick economics lesson to return to the good old college days. When markets think that a country's GDP is set to grow in the future, they will turn bullish (massively bullish) toward equity markets. Now, the FED has hinted at the possibility of cutting interest rates in 2024; what does that mean for markets?

Lowering rates means that money becomes cheaper, and consumers treat it as such. This also means more consumer spending and financing activity from businesses, as they need to expand to meet the coming demand. Enough cliff notes; knowing what you know now, what are some cheap stocks that are set to take off in this new wave?

Judging by their current valuations and other 'big picture' dynamics, these could be the easiest picks you come across for an end-of-the-year portfolio update. You'll discover why Alibaba Group (NYSE: BABA), Walgreens Boots Alliance (NASDAQ: WBA), and Pfizer (NYSE: PFE) all deserve a second look for a potential watchlist.

Make it make sense

Within healthcare stocks, Pfizer finds itself in a very peculiar situation. The sector trades at an average of 89.3% of its 52-week high. In comparison, Pfizer stock falls way behind at 49.0%, making it the worst performer in the sector during that period.

Alibaba could be the most misunderstood name on this list, as virtually every investor believes that Chinese stocks are a minefield, one wrong step, and you're wiped out. However, considering the company's financials, you'll find that 1+1 does not equal two.

Since its IPO (initial public offering) in 2014, Alibaba has grown its revenues by ten times. Management is buying back up to 10% of the company's size in stock. Yet, today's stock price is lower than when the company was introduced to the New York Stock Exchange.

Walgreens is one of those 'eight to eighty' stocks that would shock just about anyone if the brand name ceases to exist in the next decade; it is an American staple! Its clientele is made up of kids eight years old looking for candy and snacks to eighty-year-old citizens picking up medicine or other conveniences.

A thing like that, and there really is no other competitor to this business other than CVS Health (NYSE: CVS) in that space. Considering that Walgreens trades 34.8% lower than CVS (on a price-to-earnings basis), why would Walgreens not be the clear value pick?

Now these are just surface-level features; it's time to dig a little deeper to understand if markets are in line with the potential in these businesses.

Just in: analysts agree

Typically, analysts don't stick their necks - and reputations - out on a falling stock or ones considered cheap by the marketplace. The saying 'it must be cheap for a reason' haunts them into undercovering such names, and most of the time, for good reason.

This time, you'd be surprised at how optimistic they have turned toward these stocks. Expecting a 101.3% jump in earnings per share, Pfizer analysts are placing the weight of their conviction into this name to carry the industry higher.

From these projections, a price target of $40.3 a share roots out, implying the stock needs to jump by 54.4% from today's prices to meet it. Is it cheap enough now?

Walgreens is pretty close behind, with analysts expecting EPS to advance by 9.3% in the next twelve months, which is strong for the space. Being a leader next to CVS, a price target of $29.4 a share seems more than justified, bringing you a 16.8% upside in America's convenience darling.

Now, jumping across the world to Alibaba, here is where you would expect analysts to shy away from being too optimistic, right? Well, the fearless Wall Streeters at J.P. Morgan Chase & Co. (NYSE: JPM) see a price target of $125.0 a share, which is 61.5% higher than today's price!

If you follow price action religiously, you will find that all three stocks are trading below 80.0% of their 52-week highs, fitting Wall Street's definition of a bear market (which starts at a 20% decline of highs).

Now that stock markets are pushing for new highs on the FED news, Jessee Livermore's saying, "The soldiers always follow the generals," may come true. These fallen soldiers could aggressively catch up to the general indices.