In this article, we will look at the 10 Best Value Stocks to Buy for Long Term Investment.
On March 13, Sébastien Page, T. Rowe Price’s head of global multi-asset and CIO, appeared on a CNBC television interview to discuss his investment thesis. The markets have been making record highs, Page noted that new highs are not sell signals. He elaborated that although the valuations seem high, the earnings have been awesome. He highlighted that at the end of March 2026, his firm was expecting the year-over-year earnings growth from the S&P 500 to be around 13%. However, currently, as the earnings season unfolds, the index is standing at around 27% year-over-year earnings growth.
While talking about his investment thesis, Page highlighted that he is advising investors to stay invested, diversify their portfolios, and hedge inflation risks. Page also likes US large-cap stocks and noted that his firm has been moving money from non-US stocks into US stocks. He elaborated that the valuation of US large cap stocks is below the 5-year historical average. This suggests some good stocks are offering attractive entry points for investors.
With that, let’s take a look at the 10 Best Value Stocks to Buy for Long Term Investment.
Our Methodology
To curate the list of 10 Best Value Stocks to Buy for Long Term Investment, we used the Finviz stock screener, Seeking Alpha, and Insider Monkey hedge funds database. Using the screener, we aggregated a list of stocks trading below the forward price to earnings ratio of 15, with EPS expected to grow by more than 10% over the next 5 years. Lastly, we ranked the stocks in ascending order of the number of hedge fund holders. We have limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that 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 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
10 Best Value Stocks to Buy for Long Term Investment
10. Royal Caribbean Cruises Ltd. (NYSE:RCL)
EPS Growth Next 5 Years: 13.61%
FWD P/E Ratio: 14.9
Number of Hedge Fund Holders: 53
Royal Caribbean Cruises Ltd. (NYSE:RCL) ranks among our Best Value Stocks to Buy for Long Term Investment. On May 1, Mizuho raised the firm’s price target on Royal Caribbean Cruises Ltd. (NYSE:RCL) from $377 to $380, and maintained an Outperform rating on the stock.
The rating follows Royal Caribbean’s Q1 2026 earnings release announced on April 30. During the quarter, the company posted $4.5 billion in revenue, up 11% year-over-year, and a GAAP EPS of $3.48, which topped management’s guidance. Management noted that the strong results were driven by favorable revenue, lower costs, and strong performance from joint ventures. The quarter also represented a record WAVE season and continued strong demand across brands. Moreover, gross margin yields increased 6.9% as-reported.
Looking ahead, the company expects revenue to grow roughly 10% year-over-year, while net yields are expected to increase by 2.3% to 3.3% in constant currency. The slower expected growth rate of net yields is due to recent geopolitical developments affecting Mediterranean and West Coast of Mexico itineraries.
Royal Caribbean Cruises Ltd. is a global cruise company that operates under the Royal Caribbean International, Celebrity Cruises, and Silversea Cruises brands, among others, and offers a wide range of itineraries.
9. Delta Air Lines, Inc. (NYSE:DAL)
EPS Growth Next 5 Years: 16.82%
FWD P/E Ratio: 12.84
Number of Hedge Fund Holders: 67
Delta Air Lines, Inc. (NYSE:DAL) is one of the Best Value Stocks to Buy for Long Term Investment. On May 11, Bernstein raised its price target on Delta Air Lines, Inc. (NYSE:DAL) from $81 to $88, while maintaining an Outperform rating on the shares.
The firm noted that the increase in price target is based on better fuel insulation. While Bernstein has lowered fiscal 2026 estimates for the sector, the long-term outlook remains strong.
Earlier, on May 7, UBS also raised its price target on the stock from $86 to $95 and maintained a Buy rating on the shares. UBS noted that the improved price target follows the firm’s meeting with Delta’s management team. The management team, during the meeting, expressed confidence in the company’s initiatives to transform Delta into a consumer brand. The company is doing this through cabin segmentations, partnerships with brands, and loyalty offerings. Management expects these initiatives to result in consumer base growth and an expansion in wallet share among consumers.
Delta Air Lines, Inc. provides passenger and cargo air transportation services globally.
8. Workday, Inc. (NASDAQ:WDAY)
EPS Growth Next 5 Years: 15.01%
FWD P/E Ratio: 11.27
Number of Hedge Fund Holders: 70
Workday, Inc. (NASDAQ:WDAY) is one of the 10 Best Value Stocks to Buy for Long Term Investment. On May 12, Workday, Inc. (NASDAQ:WDAY), in partnership with Anthropic and the Local Initiatives Support Corporation, announced the launch of its Foundation Solopreneurship Accelerator Program.
The program is a new AI-focused initiative which is aimed at supporting small business owners across the United States. Management noted that the accelerator will initially serve 15 solo entrepreneurs, each receiving a $10,000 grant from the Workday Foundation to cover business expenses. Moreover, Participants will also receive complimentary Claude AI credits from Anthropic, access to an AI entrepreneurship curriculum developed by LISC, and coaching through LISC’s network of Business Development Organizations.
The pilot program’s curriculum centers on building AI fluency for practical business use and covers areas such as strategy, marketing, customer relationship management, and financial management. The first cohort is set to begin in July 2026.
Workday, Inc., founded in 2005 and headquartered in Pleasanton, California, provides cloud-based financial management, human capital management, and student information systems. Its strong enterprise client base, recurring subscription revenue model, and strategic AI investments position it to capture long-term digital transformation spending, supporting a balanced yet growth-oriented investment outlook.
7. Carnival Corporation Ltd. (NYSE:CCL)
EPS Growth Next 5 Years: 10.28%
FWD P/E Ratio: 11.15
Number of Hedge Fund Holders: 73
Carnival Corporation Ltd. (NYSE:CCL) is one of the Best Value Stocks to buy for Long Term Investment. Recently, on May 15, TD Cowen raised the firm’s price target on Carnival Corporation Ltd. (NYSE:CCL) from $33 to $34 and maintained a Buy rating on the shares.
The firm also moved the stock to its “Top Picks” list and noted that it updated estimates across the industry. TD Cowen has lowered estimates on Norwegian Cruise Line and Royal Caribbean, but upgraded Carnival. The firm cited that the company has an industry-leading yield, which reflects strong execution. While the price target has been increased, the firm still sees headwinds for the industry from the Caribbean, Iran, and Mexico.
That said, on May 8, the company announced that its Board of Directors approved a dividend of $0.15 per share as a quarterly dividend for shareholders. The payments are to be made on May 29, 2026.
Carnival Corporation & plc (NYSE:CCL) delivers travel services under several brands, including Seabourn, Carnival Cruise Line, Princess Cruises, Cunard, Holland America Line, and P&O Cruises. The company operates several islands, hotels, port destinations, and lodges. It markets its offerings online as well as through tour operators and travel agents.
6. Apollo Global Management, Inc. (NYSE:APO)
EPS Growth Next 5 Years: 13.75%
FWD P/E Ratio: 14.77
Number of Hedge Fund Holders: 74
Apollo Global Management, Inc. (NYSE:APO) is one of the Best Value Stocks to Buy for Long Term Investment. On May 12, the company announced Apollo managed firm has acquired a majority stake in Noble Environmental, Inc. Noble Environment is a waste management company with operations spanning the Northeast, Mid-Atlantic, and Midwest United States.
Management noted that the company offers a vertically integrated suite of services, including solid waste collection, hauling, transfer, and disposal to both municipal and commercial customers. The company also operates a growing renewable natural gas business that captures landfill gas and converts it into pipeline-quality fuel.
Partners at Apollo Global Management, Inc., Scott Browning and Brad Fierstein, pointed to the company’s scarce permitted landfill assets, fully integrated service model, and expanding RNG operations as key drivers of long-term value. Latham & Watkins advised the company on the deal, while Guggenheim Securities acted as financial advisor, and Vinson & Elkins served as legal counsel to Noble Environmental’s Strategic Alternatives Committee.
Apollo Global Management, Inc. is a leading global alternative asset manager that specializes in credit, private equity, and real estate investments. It provides capital solutions to businesses, operates extensively in retirement services, and aims to generate income-oriented returns across market cycles for its investors.
5. United Airlines Holdings, Inc. (NASDAQ:UAL)
EPS Growth Next 5 Years: 16.51%
FWD P/E Ratio: 10.49
Number of Hedge Fund Holders: 79
United Airlines Holdings, Inc. (NASDAQ:UAL) is one of the Best Value Stocks to Buy for Long Term Investment. On May 14, United Airlines Holdings, Inc. (NASDAQ:UAL) announced two new flight routes from San Francisco to Sapporo, Japan, and Chicago to Tokyo-Narita.
Management noted that starting from December 11, the company will launch three times weekly service between San Francisco and Sapporo, marking the first-ever nonstop flights between the continental US and the northern Japanese city. The flight will be operated on a Boeing 787-9 Dreamliner, and the route will connect travelers from nearly 80 US cities to Sapporo via San Francisco. This will open access to the region’s skiing, cuisine, and the famous Sapporo Snow Festival.
Moreover, the airline will also begin daily year-round service between Chicago O’Hare and Tokyo-Narita on October 24, making it the only US airline on that route. This flight will be operated on a Boeing 787-8 Dreamliner and will unlock one-stop connections to 21 Asia-Pacific destinations through United and joint venture partner ANA.
United Airlines Holdings, Inc. is a major American airline headquartered in Illinois. The company operates a large domestic and international network and is a founding member of the Star Alliance, the world’s largest airline alliance.
4. The Charles Schwab Corporation (NYSE:SCHW)
EPS Growth Next 5 Years: 18.89%
FWD P/E Ratio: 14.97
Number of Hedge Fund Holders: 104
The Charles Schwab Corporation (NYSE:SCHW) is one of the Best Value Stocks to Buy for Long Term Investment. On May 15, Deutsche Bank raised the firm’s price target on The Charles Schwab Corporation (NYSE:SCHW) from $127 to $128, while maintaining a Buy rating on the shares.
The rating follows the company’s investor day, where Deutsche Bank notes that management laid out greater visibility into the company’s strategic priorities and growth initiatives. The firm highlighted that Schwab’s financial outlook reflects strong momentum and robust client engagement heading into the year.
Separately, on the same day, Raymond James analyst Patrick O’Shaughnessy raised the firm’s price target on the stock from $126 to $137, while keeping an Outperform rating on the shares. The analyst expects that the updated financial outlook of the company will drive another round of positive revisions. The analyst also pushed back on prevailing bearish sentiment around AI, stating his belief that concerns in that area will ultimately prove unwarranted.
The Charles Schwab Corporation is a major U.S.-based financial services firm. It provides brokerage, banking, and financial advisory services to individual investors and independent investment advisors.
3. Citigroup Inc. (NYSE:C)
EPS Growth Next 5 Years: 27.79%
FWD P/E Ratio: 11.72
Number of Hedge Fund Holders: 115
Citigroup Inc. (NYSE:C) is one of the Best Value Stocks to Buy for Long Term Investment. On May 9, Richard Ramsden from Goldman Sachs maintained a Buy rating on Citigroup Inc. (NYSE:C), with a price target of $149.
The analyst cited that he sees a cleaner pathway to improved profitability and stronger return on tangible equity over the next few years. The analyst pointed out that management is targeting a higher ROTCE by 2028 and 2030. This is expected to be driven by mid-single-digit revenue growth along with efficiency ratios down toward the mid-50s. The analyst finds this a meaningful combination.
Moreover, Ramsden noted that the Wealth and Markets are expected to grow faster than the previous estimates of Wall Street. He expects that this will help offset more conservative projections in Services and Banking.
Separately, on May 1, KBW analyst reiterated an Outperform rating on the stock with a price target of $140. The firm also cited optimism on Citi’s investor day event, where the company highlighted its strategic plan and initiatives.
Citigroup Inc. is a global financial services giant offering a wide range of products through segments like Services, Markets, Banking, Wealth, and U.S. Personal Banking.
2. Capital One Financial Corporation (NYSE:COF)
EPS Growth Next 5 Years: 12.51%
FWD P/E Ratio: 9.32
Number of Hedge Fund Holders: 136
Capital One Financial Corporation (NYSE:COF) is one of the Best Value Stocks to Buy for Long Term Investment. On May 15, Hoang Nguyen from TD Cowen maintained a Buy rating on Capital One Financial Corporation (NYSE:COF) with a price target of $260. Earlier, on May 13, Donald Fandetti from Wells Fargo also reiterated a Buy rating on the stock with a price target of $260.
The ratings follow the company’s fiscal Q1 2026 earnings released on April 21. During the quarter, the company posted $15.2 billion in net revenue, along with an EPS of $4.42. Both revenue and EPS fell below the expectations of $15.37 billion and $4.57, respectively. Revenue was down 2% from Q4 2025, while noninterest expense also declined 9% over the same time. The company missed estimates mainly due to higher-than-expected provisions, mostly in the card and consumer segments.
On the bright side, the pre-provision earnings improved $530 million, or 8%, compared to the prior quarter. Consumer provision was driven by better growth and a higher reserve rate due to the subprime mix and a modestly lower outlook for vehicle values.
Capital One Financial Corporation is a technology-based financial services company.
1. Micron Technology, Inc. (NASDAQ:MU)
EPS Growth Next 5 Years: 117.74%
FWD P/E Ratio: 13.15
Number of Hedge Fund Holders: 137
Micron Technology, Inc. (NASDAQ:MU) is one of the Best Value Stocks to Buy for Long Term Investment. On May 13, Bank of America Securities reiterated a Buy rating on Micron Technology, Inc. (NASDAQ:MU) and raised the price target on the stock from $500 to $950.
The firm noted that the improved outlook comes after they updated the AI data center total addressable market outlook for the calendar year 2030. The firm now believes that the AI data center systems market will be worth around $1.7 trillion in 2030, up significantly from the previous projection of $1.4 trillion. The firm believes that this larger market portion is expected to structurally benefit suppliers like Micron that sell high‑value memory into AI servers.
Based on the improved projections for 2030, BofA expects 2026 to be a year of accelerating AI sales and return on investments. Looking ahead into 2027, the firm expects improved efficiency as new architecture compute and memory systems ramp.
Micron Technology, Inc. provides innovative memory and storage solutions. Its operations are divided into the following segments: Compute and Networking Business Unit (CNBU), Mobile Business Unit (MBU), Embedded Business Unit (EBU), and Storage Business Unit (SBU).
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