In this article, we will discuss the 10 Deep Value Stocks to Invest In Now.
Value stocks are on the move, after years of underperformance, amid heightened market volatility and a shift away from mega-cap concentration. Investors are increasingly favoring lower valuations and quality fundamentals after three years of blockbuster gains sent markets to all-time highs, triggering premium valuations.
According to JPMorgan, the rotation away from growth into value stocks is underpinned by supportive fiscal and monetary policy, backed by a broad-based recovery in economic activity.
“Although the current environment is laden with risks and uncertainty, Value stocks, which typically exhibit high dividend yields with lower valuations, appear set to turn the tides in 2026,” JPMorgan said in a blog post.
Ongoing tensions and conflict in the Middle East could also benefit select value sectors, with the energy sector the biggest beneficiary. Renewed interest in value stocks also stems from their low valuation multiples, which provide a margin of safety rarely available with growth stocks.
Additionally, value stocks have delivered more consistent returns in 2026 than growth stocks, despite uncertainties around AI and geopolitical tensions in the Middle East.
Investors are increasingly using value stocks to hedge against elevated market volatility.
“If the market sells off, we’d expect value stocks to hold their value better and can be sold, and the proceeds used to increase positions in those technology and AI stocks that will have sold off too far into undervalued territory,” said Morningstar Chief US Market Strategist Dave Sekera.
With that in mind, let’s take a look at some of the best deep value stocks to buy.
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Our Methodology
To identify deep-value stocks to buy based on analysts’ price targets, we started by screening U.S.-listed companies with a market capitalization of over $2 billion and a potential upside of at least 20%. We then applied three key deep-value criteria: a forward price-to-earnings (P/E) ratio of 10 or lower; return on equity of at least 10%; and a dividend yield of at least 1%. These stocks are also popular among elite hedge funds in Q1 2026. Finally, we ranked the stocks in ascending order based on their 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. Insider Monkey’s quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).
Deep Value Stocks to Invest In Now
10. ConocoPhillips (NYSE:COP)
Stock Upside Potential: 21.07%
Market Cap: $145.26 Billion
Dividend Yield: 2.8%
Forward P/E: 13.26
Number of Hedge Fund Holders: 74
ConocoPhillips (NYSE:COP) is a deep value stock to invest in now. On May 18, ConocoPhillips (NYSE:COP) signed a long-term natural gas supply deal with Glenfarne’s Alaska LNG. The 30-year agreement secures natural gas produced on Alaska’s North Slope, as part of the Alaska LNG project.
The agreement underscores ConocoPhillips’ commitment to developing Alaska’s resources for the long-term benefit. The agreement also aligns with the company’s push to enable access to reliable natural gas while completing ongoing investment in Alaska.
The agreement coincides with the company confirming that it expects delays of months for the increase in liquefied natural gas production capacity at a joint venture with Qatar. The delays were necessitated by damage to the Ras Laffan facilities in Qatar from the ongoing US-Iran war.
Meanwhile, ConocoPhillips continues to reward investors with dividends. The company pays an annualized dividend of $3.36 per share, yielding 2.8%. Its most recent dividend was on June 1, whereby it paid a regular dividend of $0.84 a share.
ConocoPhillips (NYSE:COP) is a leading global independent exploration and production (E&P) company. They explore for, develop, and produce crude oil, natural gas, bitumen, and liquefied natural gas (LNG) across 14 countries.
9. Gilead Sciences, Inc. (NASDAQ:GILD)
Stock Upside Potential: 23.64%
Market Cap: $160.39 Billion
Dividend Yield: 2.5%
Forward P/E: 13.39
Number of Hedge Fund Holders: 77
Gilead Sciences, Inc. (NASDAQ:GILD) is a deep value stock to invest in now. On June 2, Gilead Sciences, Inc. (NASDAQ:GILD) announced topline results of the Phase 3 IDEAL study for its candidate drug Livdelzi in people with primary biliary cholangitis (PBC).
Study results showed that treatment with Livdelzi (seladelpar) led to significantly more patients achieving normalization of alkaline phosphatase. Additionally, the safety profile observed in IDEAL was consistent with previously reported studies and raised no new concerns. The study results affirm Livdelzi as the first and only PBC treatment with statistically significant reductions in disease markers and pruritus versus placebo.
The study results make the case for Gilead Sciences to target the more than 130,000 Americans struggling with PBC, a chronic autoimmune disease. Livdelzi has already received FDA accelerated approval for the treatment of PBC.
On the other hand, the US Food and Drug Administration has approved Hepcludex, a Gilead Sciences therapy for the treatment of hepatitis delta virus. The approval marks an important milestone in the treatment of a rare and severe liver infection.
Additionally, Gilead Sciences boasts of an impressive dividend growth history, having initiated quarterly dividends in 2015. It pays an annualized dividend of $3.28 per share, translating to a yield of 2.5%.
Gilead Sciences, Inc. (NASDAQ:GILD) is a research-based biopharmaceutical company that discovers, develops, and commercializes innovative medicines for life-threatening illnesses. Their primary therapeutic focus areas include virology (particularly HIV and viral hepatitis), oncology (cancer), and inflammation.
8. AT&T Inc. (NYSE:T)
Stock Upside Potential: 30.25%
Market Cap: $158.21 Billion
Dividend Yield: 4.8%
Forward P/E: 8.96
Number of Hedge Fund Holders: 72
AT&T (NYSE:T) is a deep value stock to invest in now. On June 3, LiveOne tapped AT&T (NYSE:T)’s Connected Car platform to deliver in-vehicle entertainment. The company is to leverage the carrier’s existing connectivity infrastructure and Cisco multi-party billing technology to enable automotive manufacturers to deploy music and audio content services.
AT&T is to make it possible for LiveOne to offer premium music and entertainment experiences in connected vehicles at scale. The company’s Connected Car platform works with more than 60 global automotive brands, enabling scalable turnkey entertainment experiences.
On June 3, Oppenheimer downgraded AT&T (NYSE:T) to a Perform from Outperform, citing stiff competition from satellite low Earth orbit constellations. There are growing concerns that broadband subscriber growth and mobile services face risk from satellite providers. Amid the soaring competition, AT&T plans to build 7 million new fiber passes this year and 5 million thereafter. It is part of an effort to reach more than 60 million locations by 2030.
In addition, AT&T maintains a reliable payout cycle, having paid dividends for 40 consecutive years. It pays an annualized dividend of $1.11, translating to a yield of about 4.8%.
AT&T Inc. (NYSE:T) is a major telecommunications company that provides wireless cell phone plans, high-speed home internet (including fiber optics), and entertainment services. Their core services and offerings include wireless plans, home internet, and device deals.
7. ICICI Bank Limited (NYSE:IBN)
Stock Upside Potential: 30.86%
Market Cap: $93.54 Billion
Dividend Yield: 1.11%
Forward P/E: 13.47
Number of Hedge Fund Holders: 37
ICICI Bank Limited (NYSE:IBN) is a deep value stock to invest in now. On June 4, Morgan Stanley touted ICICI Bank Ltd (NYSE:IBN) as one of its top picks in the Indian banking sector. According to the investment bank, the company is not seeing worsening competitive intensity in mortgages.
Morgan Stanley also insists that ICICI Bank is benefiting from a stronger corporate loan pipeline at acceptable rates. Management has already hinted that fee income will be better in F27 than in F26 due to higher credit card fees. In addition, ICICI Bank remains focused on driving operating cost growth at a much slower pace than revenue growth. Consequently, it expects ROA to moderate as credit costs normalize from current lows.
ICICI Bank Limited boasts of an impressive 23-year track record of paying dividends. The company offers a dividend yield of 1.11%, with its most recent dividend of $0.25 per share.
ICICI Bank Limited (NYSE:IBN) is a major multinational financial institution and the second-largest private sector bank in India. It provides a comprehensive suite of banking and financial products to retail consumers, SMEs, and corporations, including savings accounts, loans, credit cards, wealth management, and cross-border trade solutions.
6. Blackstone Inc. (NYSE:BX)
Stock Upside Potential: 32.52%
Market Cap: 145.78 Billion
Dividend Yield: 4.3%
Forward P/E: 15.70
Number of Hedge Fund Holders: 84
Blackstone Inc. (NYSE:BX) is a deep value stock to invest in now. On June 6, 2026, Apollo Global Management (NYSE:APO) and Blackstone (NYSE:BX) finalized a $35 billion financing package for Anthropic, according to Bloomberg. The deal is one of the largest private credit transactions on record and will fund Google’s custom TPUs, leased by Anthropic to expand its AI computing capacity.
The financing reflects surging demand for capital tied to data centers, semiconductors, and AI infrastructure as tech firms race to support next‑generation models. Structured across three tranches, the package includes senior notes backed by Broadcom (NASDAQ:AVGO), which helped secure investment‑grade ratings and lower borrowing costs.
A special‑purpose vehicle will purchase the chips using debt and equity, then lease them to Anthropic. Lease payments will service the debt, a model increasingly used to finance AI assets. The senior tranches included $6 billion A1 notes and $24 billion A2 notes, while a separate $4.5 billion B tranche carried an 8.5% coupon.
Broadcom CEO Hock Tan confirmed collaboration on the AI XPV platform, aiming to deploy 20 GW of compute capacity by 2028. The financing follows Anthropic’s confidential U.S. IPO filing and a recent funding round.
Blackstone Inc. (NYSE:BX) is the world’s largest alternative asset manager, overseeing over $1.3 trillion in total assets. The firm invests on behalf of institutional and individual investors by acquiring, building, and managing businesses across multiple asset classes to generate long-term financial returns.
While we acknowledge the potential of BX 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 BX and that has 100x upside potential, check out our report about the cheapest AI stock.
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