In this article, we will highlight 10 Affordable Blue Chip Stocks to Buy.
Growing fears of an artificial intelligence bubble continue to send jitters in an equity market that has been trending up for the better part of the past two years. Tensions and warning bells are getting louder by the day as Wall Street strategists cite indicators signaling historically extreme valuations.
The mega-cap stock sell-off in recent weeks has once again underscored how institutional investors are increasingly balking at lofty valuations and spending on artificial intelligence. The S&P 500 is down by more than 3% over the past month as investors increasingly shun the large-cap stocks that have rallied to record highs amid the artificial intelligence trade.
“At any point in time you could have a very big drawdown in these stocks, and that would not be unusual because these are volatile stocks,” said Hank Smith, the director & head of investment strategy at The Haverford Trust Company. “I don’t think a lot of investors understand the risk they’re taking buying the S&P 500 index when you consider 10 names in a 500 stock index represent 40% plus of the index,” He added.
Nevertheless, amid the ongoing pullbacks, some Wall Street strategists remain bullish heading into year-end as the US Federal Reserve embarks on interest rate cuts. Strategists at Goldman Sachs and Morgan Stanley expect interest rate cuts to drive more stock gains. David Kostin, chief US equity strategist at Goldman Sachs, expects the S&P 500 to rally 2% before year’s end and gain 6% by the middle of 2026
“Aggressive rate cuts are coming,” said Dennis DeBusschere, president and chief market strategist at 22V Research LLC. “Assuming economic activity data holds up, which it is for now, that should be a support for markets,” he wrote in a note.
With that in mind, let’s take a look at some of the affordable blue chip stocks to buy and ride the current wave of uncertainty.
Our Methodology
To compile our list of the 10 Affordable Blue Chip Stocks to buy, we used various blue chip ETFs to identify blue chip companies. We focused on stocks with an upside potential of more than 20% and are popular among elite hedge funds in the second quarter of 2025. We narrowed our list to cheap blue-chip stocks with a forward price-to-earnings multiple of less than 15 as of November 24. Finally, we ranked the stocks in ascending order by upside potential.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research shows we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
Affordable Blue Chip Stocks to Buy
10. Apollo Global Management, Inc. (NYSE:APO)
Stock Upside Potential: 21.01%
Forward P/E: 14.06
Number of Hedge Fund Holders: 86
Apollo Global Management, Inc. (NYSE:APO) is an affordable blue-chip stock to buy. On November 20, Morgan Stanley upgraded Apollo Global Management, Inc. (NYSE:APO) to an Overweight from Equalweight. The investment bank also hiked the price target to $180 from $151 amid expectations of growth acceleration in 2026 and 2027.
Morgan Stanley expects the asset management firm to achieve fee-related earnings growth of over 20%, which should support a rally in the stock. The investment firm also expects the company to deliver spread-related earnings growth. Earnings per share are expected to grow by 7% in 2025, 18% in 2026, and 20% in 2027.
Meanwhile, on November 14, Piper Sandler’s John Barnidge reiterated that Apollo Global is a Buy. Benjamin Budish from Barclays also maintains a buy rating on the stock with a $158 price target. Goldman Sachs has also raised its price target of the stock to $155, citing a strong fundraising outlook and expanding capital markets revenues.
Apollo Global Management, Inc. (NYSE:APO) is a global alternative asset manager that provides capital solutions for businesses and investment and retirement solutions for clients. The firm focuses on three main strategies: equity, hybrid, and yield, and has expertise in areas like credit, private equity, and real assets.
9. Capital One Financial Corporation (NYSE:COF)
Stock Upside Potential: 23.51%
Forward P/E: 9.82
Number of Hedge Fund Holders: 132
Capital One Financial Corporation (NYSE:COF) is an affordable blue-chip stock to buy. On November 21, BTIG analyst Vincent Caintic reiterated a Buy rating on Capital One Financial Corporation (NYSE:COF) and assigned a price target of $264. A day earlier, on November 20, analysts at UBS reiterated a Buy rating on the stock with a $270 price target.
The research firm remains optimistic about the company’s prospects despite its HOLT framework analysis indicating no improvement to the company’s cash flow return following the Discover Financial Services acquisition. The HOLT analysis, which factored in revenue synergies and recession scenarios, points to a share price of $260 in the discounted cash flow model.
The buy stance also comes on the company delivering strong third-quarter results, with adjusted earnings per share of $5.95, better than the $4.38 a share expected. Revenue in the quarter totaled $15.36 compared to $15.08 expected. In addition, the company announced a $0.80 dividend payable on December 1.
Capital One Financial Corporation (NYSE:COF) is a diversified financial services company primarily focused on consumer lending and deposits. It offers a wide range of products, including credit cards, auto loans, and other motor vehicle financing, as well as commercial and small-business banking services. The company also provides banking services and investment products.
8. ConocoPhillips (NYSE:COP)
Stock Upside Potential: 28.63%
Forward P/E: 14.06
Number of Hedge Fund Holders: 72
ConocoPhillips (NYSE:COP) is an affordable blue-chip stock to buy. On November 18, ConocoPhillips (NYSE:COP), in partnership with Novatera and Syrian Petroleum Company, inked a memorandum of understanding focusing on opportunities in the natural gas sector.
The agreement paves the way for ConocoPhillips to pursue opportunities to develop existing gas fields in Syria and to explore new ones in line with modern technological standards. The collaboration seeks to enhance Syria’s natural gas production and strengthen its energy security.
The push for opportunities in Syria follows analysts at UBS reiterating a Buy rating on the stock and cutting the price target to $117 from $122. The price cut comes amid concerns that a $1 billion to $1.15 billion increase in capital expenditures for the Willow project will result in a significant reduction in the company’s free cash flow. Nevertheless, UBS maintains a Buy stance owing to the company’s strong operational performance and execution of cost reduction programs.
ConocoPhillips (NYSE:COP) is an independent exploration and production (E&P) company that finds, develops, and produces crude oil, bitumen, natural gas, natural gas liquids, and liquefied natural gas (LNG) worldwide. It explores new resources, maximizes production from existing fields, and transports and markets these products globally.
7. NXP Semiconductors N.V. (NASDAQ:NXPI)
Stock Upside Potential: 31.50%
Forward P/E: 13.93
Number of Hedge Fund Holders: 53
NXP Semiconductors N.V. (NASDAQ:NXPI) is an affordable blue-chip stock to buy. On November 19, the company’s board of directors approved a $1.014 fourth-quarter dividend, payable on January 7 to shareholders of record as of December 10, 2025. The dividend offering yields 2.1%.
The dividend offering comes on research firm Bernstein, reiterating NXP Semiconductors NV (NASDAQ: NXPI) is one of the companies well-positioned to benefit from new trends in the automotive semiconductor market. The emergence of electric cars, the adoption of intelligent driving, and the shift to centralized electronics are driving growth in the powertrain ADA and cross-domain HPC segments that the company can capitalize on.
On November 13 at the Morgan Stanley 25th European Technology, Media & Telecom Conference, CEO Rafael Sotomayor reiterated that the company’s focus is on software-defined vehicles and electrification. The company also plans to return between $8 billion and $9 billion to shareholders by 2030.
NXP Semiconductors N.V. (NASDAQ:NXPI) designs and manufactures secure connectivity and processing solutions for embedded applications, including a wide range of semiconductors like processors, microcontrollers, sensors, and RF technology.
6. Cheniere Energy, Inc. (NYSE:LNG)
Stock Upside Potential: 32.99%
Forward P/E: 14.56
Number of Hedge Fund Holders: 79
Cheniere Energy Inc. (NYSE:LNG) is an affordable blue-chip stock to buy. On November 3, Goldman Sachs reiterated a Buy rating on the stock but cut the price target to $275 from $2780. The price target cut is in response to what the investment bank terms “soft” quarterly results due to feedgas quality challenges.
In the third quarter, Chenier Energy generated $4.44 billion in revenue below $4.89 billion expected. On the other hand, earnings per share came in at $4.75, better than $2.92 expected. Amid mixed third-quarter results, management reiterated full-year EBITDA guidance, contrary to expectations of a potential downside revision.
Goldman Sachs also reiterated its Buy stance on Cheniere, reiterating its commitment to shareholder value. The company repurchased $1 billion in the quarter and pointed to continued high levels of buyback activity. In addition, the investment bank sees substantial value in the company’s EBITDA profile.
Cheniere Energy, Inc. (NYSE:LNG) is a leading producer and exporter of liquefied natural gas (LNG) in the United States, providing energy to markets worldwide. It operates two extensive LNG liquefaction and export facilities on the US Gulf Coast: the Sabine Pass facility in Louisiana and the Corpus Christi facility in Texas.
5. Carnival Corporation & plc (NYSE:CCL)
Stock Upside Potential: 33.89%
Forward P/E: 11.09
Number of Hedge Fund Holders: 69
Carnival Corporation (NYSE:CCL) is an affordable blue chip stock to buy. On November 25, UBS analyst Robin M. Farley reaffirmed a Buy rating on Carnival Corporation (NYSE:CCL) and maintained a $35 price target, pointing to the company’s deliberate 7% capacity growth in the Caribbean, well below the industry’s 12%, as a sign of disciplined expansion. Farley emphasized the resilience of cruise bookings during economic slowdowns and noted that upcoming earnings results and 2026 guidance could further strengthen investor confidence.
Although accounting adjustments and drydock expenses are expected to weigh on near-term yields, Farley underscored Carnival’s long-term growth potential and highlighted strategic initiatives—such as the Celebration Key development, as major contributors to a positive outlook.
Earlier on November 18, Wells Fargo initiated coverage of the stock with an Overweight rating and a $37 price target. The research firm remains confident about the company’s prospects as it moves towards investment grade amid EBITDA growth.
In addition, Carnival Corporation (NYSE:CCL) is undergoing financial recovery following the slowdown triggered by pandemic disruptions as it increasingly retires its debt. The cost-reduction initiative, which comes on the back of solid yield growth, also affirms the company’s positive outlook.
According to Wells Fargo, Carnival Corporation is at par with industry peers as it remains focused on highlighting its ability to drive ROIC with limited capacity growth in the coming years that should drive strong pricing growth.”
Bank of America analyst Andrew Didora shares similar sentiments, having reiterated a Buy rating on the stock on November 10 and set a $38 price target.
Carnival Corporation & plc (NYSE:CCL) is a global cruise company that owns and operates a portfolio of cruise line brands, including Carnival Cruise Line, Princess Cruises, Holland America Line, and Costa Cruises. It provides cruise packages and related travel services, and it also operates tour companies, such as Holland America Princess Alaska Tours.
4. PayPal Holdings, Inc. (NASDAQ:PYPL)
Stock Upside Potential: 37.20%
Forward P/E: 10.43
Number of Hedge Fund Holders: 89
PayPal Holdings Inc. (NASDAQ:PYPL) is an affordable blue-chip stock to buy. On November 19 at Citi’s 14th Annual FinTech Conference, CEO Alex Chriss reiterated PayPal Holdings Inc. (NASDAQ:PYPL) growth prospects, even as economic slowdown increasingly affects consumer spending.
According to Chriss, PayPal is well-positioned to capitalize on Buy Now, Pay Later and agentic commerce. Consequently, the company expects transaction margins to grow 6% to 7%, with BNPL volume reaching $40 billion. Venmo revenue is also expected to surpass $2 billion, even amid an economic slowdown that is affecting Q4 checkout growth.
PayPal is also increasingly investing in agentic commerce and BNPL. It has already inked a new agreement in which KKR is to purchase €65 billion of buy-now, pay-later loan receivables that originated in five European countries. The agreement strengthens the strategic partnership under which KKR has purchased a majority of PayPal’s European BNPL receivables.
“Our continued partnership with KKR reflects the ongoing success of our European buy now, pay later business and our disciplined approach to balance sheet management,” said Jamie Miller, PayPal’s Chief Financial and Operating Officer. “The enhanced terms of this new agreement will support the ongoing growth of our BNPL portfolio in Europe.”
Previously on November 12, DBS analyst Iris Gao maintained a Hold rating on PayPal Holdings, with a price target of $70.00.
PayPal Holdings, Inc. (NASDAQ:PYPL) is a technology company that provides digital and mobile payment solutions for consumers and merchants through platforms like PayPal, Venmo, and Braintree. It facilitates online and in-person transactions, allowing users to send and receive money and make payments securely without directly sharing their financial information.
3. Adobe Inc. (NASDAQ:ADBE)
Stock Upside Potential: 41.86%
Forward P/E: 13.89
Number of Hedge Fund Holders: 104
Adobe Inc. (NASDAQ:ADBE) is an affordable blue-chip stock to buy. On November 10, William Blair analyst Jake Roberge reiterated a Buy rating on Adobe Inc. (NASDAQ:ADBE), citing its strong strategic positioning in the market.
According to the analyst, aggressive integration of artificial intelligence solutions into its offerings continues to generate investor interest. The integrations and innovations are expected to drive significant demand for the company’s offerings. The incorporation of third-party AI models is also expected to strengthen the company’s competitive edge.
A robust product suite and strategic initiatives position Adobe for continued growth. In the third quarter, the company’s artificial intelligence drove annual recurring revenue to a record $5 billion, up from $3.5 billion at the end of last fiscal year. Amid growth, the company has raised its full-year revenue guidance to $23.65 billion to $23.7 billion, up from its previous guidance of $23.5 billion to $23.6 billion.
Adobe Inc. (NASDAQ:ADBE) is a software company that specializes in creating, publishing, and promoting digital content. It offers a wide range of tools for professionals and consumers, including Photoshop, Illustrator, Acrobat, and Premiere Pro, which are often bundled in the Adobe Creative Cloud subscription.
2. Charter Communications, Inc. (NASDAQ:CHTR)
Stock Upside Potential: 49.39%
Forward P/E: 4.75
Number of Hedge Fund Holders: 56
Charter Communications Inc. (NASDAQ:CHTR) is an affordable blue-chip stock to buy. On November 18, Charter Communications Inc. (NASDAQ:CHTR) inked a strategic partnership with Amazon Web Services. The strategic pact seeks to enhance the use of generative AI to transform software development and operations.
The company plans to leverage its AWS deal to enhance core software development and operational efficiency through artificial intelligence solutions. It is to leverage GitLab Duo with Amazon QuickSight to build, operate, and transform software development. Charter Communications and AWS will collaborate to deliver exceptional experience, reliability, and connectivity to Spectrum residential and business customers.
“Innovative technology from AWS provides opportunities to both leverage developer tools and build agentic solutions across the company,” said Jake Perlman, Executive Vice President, Chief Technology and Information Officer at Charter Communications. AWS technology enables us to develop AI-powered solutions that enhance our capabilities, ultimately improving the customer and employee experience and the overall performance and reliability of our services.
However, on November 3, Bernstein analyst Laurent Yoon downgraded Charter to Market Perform from Outperform, cutting the price target to $280 from $350. Yoon cited mounting challenges to EBITDA growth amid a tougher market, noting rising broadband subscriber losses, slower ARPU growth, and higher marketing spend, while acknowledging that Charter’s free cash flow story remains intact but with growing concerns.
Charter Communications, Inc. (NASDAQ:CHTR) is a broadband connectivity company. It has evolved from providing cable TV to streaming, and from high-speed Internet to providing converged broadband, WiFi, and mobile experience.
1. Fiserv, Inc. (NASDAQ:FISV)
Stock Upside Potential: 76.87%
Forward P/E: 7.17
Number of Hedge Fund Holders: 94
Fiserv, Inc. (NASDAQ:FISV) is an affordable blue-chip stock to buy. On November 13, analysts at Morgan Stanley reiterated an Equalweight rating on Fiserv (NASDAQ:FISV) and set an $81 price target. The neutral stance comes as the company navigates a competitive landscape amid evolving payment trends and digital transformation in banking.
Amid the challenges, the company has remained profitable, generating $21.16 billion in revenue in the last 12 months. Revenue in the third quarter increased 1% to $4.92 billion and was up 5% to $14.90 billion for the first nine months of the year. Adjusted earnings per share for the first nine months of the year were up 6% to $6.65.
“Our current performance is neither where we want it to be nor where our stakeholders expect it to be. As the world’s largest Fintech, Fiserv has the size, scale and suite of innovative products, networks and platforms, including Clover, to capitalize on the rapidly evolving finance and commerce landscape. With the actions being announced today, Fiserv will be better positioned to drive sustainable, high-quality growth and reach our full potential,” said Mike Lyons, Chief Executive Officer of Fiserv.
Fiserv, Inc. (NASDAQ:FISV) is a global leader in financial technology and payments, providing services to financial institutions, businesses, and merchants. The company offers solutions for account processing, digital banking, e-commerce, fee processing, risk management, and data analytics.
While we acknowledge the potential of FISV to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than FISV and that has 100x upside potential, check out our report about this cheapest AI stock.
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