10 Most Undervalued Industrial Stocks to Buy According to Analysts

3. Chart Industries Inc. (NYSE:GTLS)

Forward PE: 12.2

Potential Upside: 40%

Number of Hedge Fund Holders: 50

Chart Industries Inc. (NYSE:GTLS) is one of the 10 most undervalued industrial stocks to buy according to analysts. On June 4, UBS analyst Manav Gupta maintained a Buy rating on Chart Industries today and set a price target of $225, implying a 40% potential upside.

The analyst’s affirmation follows the announcement of the all-stock merger agreement between Chart Industries and Flowserve, which will form a new industrial player valued at around $19 billion. The deal is expected to close by the end of Q4 2025, pending shareholder and regulatory approvals.

The merger brings together Flowserve’s flow control capabilities and Chart’s process technology expertise, forming a diversified business spanning energy, water, industrial gases, chemicals, and data centers. The combined company will have a presence in more than 50 countries.

The deal is expected to yield $300 million in cost synergies over the next three years and contribute to adjusted earnings per share (EPS) within the first year. The company will also maintain Flowserve’s existing dividend policy.

A June 4 Bloomberg report noted that the two companies view the merger as a means to navigate demand cycles better and serve a broader customer base. However, the report points out that mergers of this size don’t happen often, mainly because they can be difficult to pull off, whether due to cultural differences, challenges in combining operations, or unclear strategic fit. The deal’s success will depend largely on how well it’s executed.

Chart Industries Inc. (NYSE:GTLS) is a global leader in the design, engineering, and manufacturing of process technologies and equipment used across the gas and liquid molecule supply chain. Its solutions support the production, storage, distribution, and end-use of atmospheric, hydrocarbon, and industrial gases, serving industries such as energy, industrial gas, and medical.