On October 7, Lori Calvasina, RBC Capital Markets head of US equity strategy, joined CNBC’s ‘Power Lunch’ to discuss Calvasina’s thoughts on current valuations. Calvasina stated that she went back and looked at her valuation charts, and acknowledged that if one looks at the S&P 500 market cap weighted P/E, the overall valuation actually looks pretty similar to kind of the peaks in the market. However, when she looked at the same chart for the top 10 names in the S&P 500 or the NASDAQ 100, the valuations are at the highs of the last 6 or 7 years, but are not quite back to those tech bubble highs from the 90s. She calculated the NASDAQ number at the peak of the tech bubble to be around 65, while it is around 29 now, indicating big differences. She concluded that one can find data to support the comparisons, but also data to refute them, and the key difference is that the earnings environment is very different today.
Calvasina shared observations and stated that the common theme in the US and the UK was widespread wariness and concern about stock market valuations and jitters on the AI trade. When she tried to pin people down on the exact bother, it appeared to be the speed and the valuation levels of the move. She is having many conversations where people agree that the underlying technology makes sense, but that it’s gonna take time, and that things have gotten a little bit overdone in the short term. She suggested it might simply make more take more time for companies to really see the big productivity impacts.
That being said, we’re here with a list of the 10 best value stocks to invest in now.
Our Methodology
We sifted through the Finviz stock screener to compile a list of the top value stocks with a forward P/E ratio under 15. We then selected the 10 stocks that were the most popular among elite hedge funds and that analysts were bullish on. The stocks are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q2 2025. The hedge fund data was sourced from Insider Monkey’s database.
Note: All data was sourced on October 9.
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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
10 Best Value Stocks to Invest in Now
10. Sun Life Financial Inc. (NYSE:SLF)
Forward P/E Ratio as of October 9: 10.60
Number of Hedge Fund Holders: 15
Sun Life Financial Inc. (NYSE:SLF) is one of the best value stocks to invest in now. On October 8, Sun Life Global Investments/SLGI announced a collaboration with Picton Mahoney Asset Management (or simply PICTON Investments). The partnership introduces two new segregated funds, the Sun PICTON Income Fund and the Sun PICTON Balanced Fund, which will be available as investment options under certain series of SLGI’s Guaranteed Investment Fund products.
Sun Life Global Investments is a trade name of SLGI Asset Management Inc., Sun Life Assurance Company of Canada, and Sun Life Financial Trust Inc., all of which are members of the Sun Life group of companies. This collaboration is an industry-first, as it marks the first time that PICTON Investments’ funds will be used as underlying investments in segregated funds.
This launch is part of a broader expansion of SLGI’s segregated fund lineup, which also includes six new index-tracking ETF segregated funds for cost-effective investment solutions with competitive Management Expense Ratios/MERs, and two new segregated funds investing in two globally recognized fixed income mandates (the PIMCO Monthly Income Fund and the Sun Life MFS Global Core Plus Bond Fund).
Sun Life Financial Inc. (NYSE:SLF) is a financial services company that provides asset management, wealth, insurance & health solutions to individual & institutional customers in Canada, the US, the UK, Ireland, Hong Kong, the Philippines, Japan, Indonesia, India, China, Australia, Singapore, Vietnam, Malaysia, and Bermuda.
9. Globant (NYSE:GLOB)
Forward P/E Ratio as of October 9: 9.47
Number of Hedge Fund Holders: 26
Globant (NYSE:GLOB) is one of the best value stocks to invest in now. On October 6, Globant announced the release of version 2.3 of its proprietary AI platform, Globant Enterprise AI, or GEAI. This release was incorporated just hours after OpenAI’s corresponding announcement, to allow clients to adopt the cutting-edge advancements instantly.
The central feature of GEAI 2.3 is the integration of the Agentic Commerce Protocol/ACP, which is an open standard that OpenAI refers to as Instant Checkout. This protocol enables the platform to build AI Agents with transactional capabilities, moving from purely conversational interfaces to full transactions. ACP facilitates collaboration among AI agents, users, and businesses to complete purchases directly through conversational interfaces, using existing payment systems and fulfillment processes.
The new version builds on Globant’s earlier integrations of the Model Context Protocol/MCP and Agent-to-Agent/A2A communication, which enhanced GEAI’s ability to connect, scale, and adapt AI-powered solutions across complex enterprise ecosystems.
Globant (NYSE:GLOB) provides technology services. The company offers studio products comprising AI Studios Network, Globant GUT Network, Digital Evolution Network, and Enterprise Network.
8. Lincoln National Corporation (NYSE:LNC)
Forward P/E Ratio as of October 9: 6.74
Number of Hedge Fund Holders: 32
Lincoln National Corporation (NYSE:LNC) is one of the best value stocks to invest in now. On September 25, Lincoln Financial (another name for Lincoln National Corporation) and Partners Group formally launched the Lincoln Partners Group Royalty Fund, a new private market fund. The launch fulfills the strategic partnership between the two companies, which was first announced in March 2025.
The Lincoln Partners Group Royalty Fund is the first cross-sector private markets royalties evergreen fund made available to individual investors in the US. The evergreen structure offers investors benefits such as access to a fully funded portfolio with multiple positions and no capital calls, a feature typically used by institutions.
The fund’s strategy provides individual investors access to Partners Group’s pioneering cross-sector royalty investments. These investments span key sectors including pharmaceuticals, music, media and entertainment, and energy transition, among others. Partners Group is an active investor in this space and has made 15 investments in royalties in the 12 months preceding the announcement.
Lincoln National Corporation (NYSE:LNC) operates multiple insurance and retirement businesses in the US. It has four segments: Life Insurance, Annuities, Group Protection, and Retirement Plan Services.
Partners Group is one of the largest firms in the global private markets industry.
7. Lantheus Holdings Inc. (NASDAQ:LNTH)
Forward P/E Ratio as of October 9: 8.68
Number of Hedge Fund Holders: 34
Lantheus Holdings Inc. (NASDAQ:LNTH) is one of the best value stocks to invest in now. On October 8, Goldman Sachs downgraded Lantheus to Neutral from Buy with a price target of $77, down from $110. The firm believes that the stock has underperformed year-to-date due to pricing pressure on PYLARIFY and slower-than-anticipated uptake of approved Alzheimer’s disease therapeutics.
Additionally, in Q2 2025, the company made $378.05 million in sales, which was a modest drop of 4.07% year-over-year. Before this downgrade on September 24, Lantheus and GE HealthCare Technologies Inc. (NASDAQ:GEHC) announced an exclusive licensing agreement for the prostate cancer imaging agent, PYLARIFY. Under the agreement, GE HealthCare will develop, manufacture, and commercialize the agent in Japan for prostate cancer diagnostics and companion diagnostic use.
Furthermore, earlier this year, Lantheus announced that its clinical-stage F18-labeled tau Positron Emission Tomography/PET radiodiagnostic, MK-6240 (F18-florquinitau), successfully met its co-primary endpoints in two pivotal studies. This confirmed the high sensitivity and specificity of MK-6240 as a diagnostic tool for Alzheimer’s disease.
Lantheus Holdings Inc. (NASDAQ:LNTH) develops, manufactures, and commercializes diagnostic and therapeutic products that assist clinicians in the diagnosis and treatment of heart, cancer, and other diseases worldwide.
6. Sabre Corporation (NASDAQ:SABR)
Forward P/E Ratio as of October 9: 8.00
Number of Hedge Fund Holders: 35
Sabre Corporation (NASDAQ:SABR) is one of the best value stocks to invest in now. On October 6, Sabre Corporation, through its travel payments division Sabre Direct Pay, announced the introduction of a new and integrated chargeback management service. The service is designed to help travel companies simplify and scale chargeback resolution more efficiently across both issuing and acquiring channels.
The solution was developed in partnership with Chargebacks911, which will operate as the dispute resolution engine. The platform streamlines what is typically a fragmented process into a single interface tailored for the travel industry.
The platform features a chargeback layer that automates dispute creation, aligns submissions to issuer-specific requirements, and routes everything through a unified interface for full visibility and measurable recovery outcomes.
Sabre Corporation (NASDAQ:SABR) operates as a software and technology company for the travel industry internationally. It has two segments: Travel Solutions and Hospitality Solutions.
5. Energy Transfer (NYSE:ET)
Forward P/E Ratio as of October 9: 9.74
Number of Hedge Fund Holders: 36
Energy Transfer (NYSE:ET) is one of the best value stocks to invest in now. On September 26, Transwestern Pipeline Company LLC, which is a subsidiary of Energy Transfer, announced the launch of a binding open season for its new Desert Southwest expansion project. The Desert Southwest expansion is designed to transport natural gas supplies from the Permian Basin to markets in the Desert Southwest, specifically in New Mexico and Arizona, via a system expansion across Texas, New Mexico, and Arizona.
The project involves a combination of new large-diameter pipeline, compression, and metering facilities. It will be capable of transporting a minimum of 1.5 billion cubic feet per day of natural gas from various receipt points in the Permian Basin to existing and new delivery points.
Transwestern has already secured sufficient binding commitments to proceed with the project. Additional binding commitments submitted during this open season will be used to determine the optimal final size and design of the expansion. The project is expected to be completed in Q4 2029, pending necessary regulatory approvals, permits, and other related authorizations.
Energy Transfer (NYSE:ET) provides energy-related services in the US. It has several segments: Intrastate Transportation & Storage, Interstate Transportation & Storage, Midstream, Natural Gas Liquid/NGL & Refined Products Transportation & Services, Crude Oil Transportation & Services, Investment in Sunoco LP, Investment in USA Compression Partners, LP/USAC, and All Other segments.
4. Franklin Resources Inc. (NYSE:BEN)
Forward P/E Ratio as of October 9: 9.35
Number of Hedge Fund Holders: 40
Franklin Resources Inc. (NYSE:BEN) is one of the best value stocks to invest in now. On October 2, BofA raised the firm’s price target on Franklin Resources to $22 from $19, while maintaining an Underperform rating on the shares. Given certain market sentiments, BofA increased price targets for all traditional asset managers under its coverage, which drove Q3 2025 and future EPS estimates higher.
In Q2 2025, Franklin Resources reported that the company’s diversified asset management platform ended the quarter with Assets Under Management/AUM totaling $1.54 trillion, which was a modest decrease from the prior quarter. The quarter was defined by long-term net outflows of $26.2 billion, which included $3.3 billion of reinvested distributions and were attributed to its subsidiary, Western Asset Management.
Fixed Income net outflows totaled $30.5 billion. However, excluding Western Asset Management’s impact, the overall financial results were resilient, with long-term net inflows of $7.4 billion and fixed income net inflows of $2.8 billion.
Franklin Resources Inc. (NYSE:BEN) is an asset management holding company. Through its subsidiaries, the firm provides its services to individuals, institutions, pension plans, trusts, and partnerships.
3. Celanese Corporation (NYSE:CE)
Forward P/E Ratio as of October 9: 7.92
Number of Hedge Fund Holders: 50
Celanese Corporation (NYSE:CE) is one of the best value stocks to invest in now. On October 6, UBS lowered the firm’s price target on Celanese to $48 from $49, while keeping a Neutral rating on the shares. This announcement was made ahead of the company’s Q3 2025 earnings report.
In Q2 2025, the company made $311 million in free cash flow, which represents an 80% increase year-over-year for H1 2025. However, Celanese Corporation saw its sales decline slightly in Q2 by 4.49% year-over-year to a total of $2.53 billion. Still, the EPS of $1.44 beat Street estimates by $0.04. The company is now focused on achieving a $2 per share quarterly EPS run rate through controllable actions.
For instance, the Celanese Corporation CFO, Scott Richardson, stated that the company is headed towards the $2 target by focusing on cost structure improvements and differentiated business models. This includes inventory movement, cost actions, and price opportunities in Engineered Materials.
Celanese Corporation (NYSE:CE) is a chemical and specialty materials company that manufactures and sells engineered polymers worldwide.
2. EOG Resources Inc. (NYSE:EOG)
Forward P/E Ratio as of October 9: 9.99
Number of Hedge Fund Holders: 53
EOG Resources Inc. (NYSE:EOG) is one of the best value stocks to invest in now. On October 7, Barclays lowered the firm’s price target on EOG Resources to $136 from $140, while keeping an Equal Weight rating on the shares. This price target was downgraded along with other modest cuts made for 2026 for the oil and exploration & production space.
Earlier in Q2 2025, EOG Resources reported that its adjusted net income (non-GAAP) was $1.3 billion, or $2.32 per share, compared to a GAAP net income of $1.345 billion, or $2.46 per share. This financial performance was supported by total revenue of $5.478 billion, which was modestly down 9.08% year-over-year.
However, production volumes for the quarter exceeded guidance midpoints across all commodities. Total Crude Oil Equivalent production averaged 1,134.1 MBoed, surpassing the midpoint of 1,114.8 MBoed. This included Crude Oil and Condensate volumes of 504.2 MBod, NGLs volumes of 258.4 MBbld, and Natural Gas volumes of 2,229 MMcfd.
EOG Resources Inc. (NYSE:EOG), together with its subsidiaries, explores for, develops, produces, and markets crude oil, natural gas liquids, and natural gas in producing basins in the US, the Republic of Trinidad & Tobago, and internationally.
1. Bank of America Corporation (NYSE:BAC)
Forward P/E Ratio as of October 9: 11.85
Number of Hedge Fund Holders: 115
Bank of America Corporation (NYSE:BAC) is one of the best value stocks to invest in now. On September 30, Evercore ISI raised the firm’s price target on Bank of America to $55 from $49, while keeping an Outperform rating on the shares. This sentiment was posted as Evercore ISI noted that big banks had a stellar summer, with several stocks rallying about 20% over the season.
In Q2 2025, Bank of America Corporation reported that its total quarterly revenue reached $26.46 billion, which was a 4.28% increase year-over-year. Net income for the quarter was $7.1 billion after tax, which translated to EPS of $0.89, which was up 7%. The company achieved a record Net Interest Income of $14.8 billion, up 7%.
CEO Brian Moynihan highlighted the bank’s extensive use of AI, including the virtual assistant Erica, to enhance client experience and operational efficiency. Moynihan also emphasized the strength of the consumer deposit business, with $950 billion in deposits, noting that the bank has grown its deposits 39% since the pre-pandemic period.
Bank of America Corporation (NYSE:BAC), through its subsidiaries, provides various financial products and services for individual consumers, small and middle-market businesses, institutional investors, large corporations, and governments worldwide.
While we acknowledge the potential of BAC 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 BAC and that has 100x upside potential, check out our report about this cheapest AI stock.
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