10 Lowest PE Ratio Stocks in S&P 500

Page 9 of 9

1. United Airlines Holdings, Inc. (NASDAQ:UAL)

P/E Ratio as of April 29: 6.26

Number of Hedge Fund Holders: 86

United Airlines Holdings, Inc. (NASDAQ:UAL) provides air travel for both passengers and cargo across the US, Canada, Latin America, and beyond.  It ranks 1st on our list of stocks with a low PE ratio. On April 22, BofA Securities maintained a Buy rating on UAL and a $90 price target. BofA forecasts that United will earn $10.14 per share in 2025, slightly above Wall Street’s $10.10 estimate. The airline’s outlook includes scenarios for stable demand and a potential recession. Despite uncertainty, BofA remains positive, citing United’s strong revenue streams, loyalty program, and free cash flow.

United Airlines Holdings, Inc. (NASDAQ:UAL) reported a record $13.2 billion in revenue for the first quarter of 2025. The company saw growth in premium cabin, business, and Basic Economy fares, and international travel performed well too. The airline had an operating cash flow of $3.7 billion, and free cash flow came in at $2.3 billion. United ended the quarter with $18.3 billion in available liquidity and $27.7 billion in debt, maintaining a net leverage ratio of 2x. Year-to-date, the company has repurchased about $451 million worth of shares.

According to Insider Monkey’s fourth quarter database, 86 hedge funds were long United Airlines Holdings, Inc. (NASDAQ:UAL), compared to 54 funds in the previous quarter.

Overall, UAL ranks first among the 10 Lowest PE Ratio Stocks in the S&P. While we acknowledge the potential of low PE stocks, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than UAL but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.

Page 9 of 9