10 Undervalued S&P 500 Stocks to Buy According to Hedge Funds

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1. Pfizer Inc. (NYSE:PFE)

Forward P/E Ratio as of June 25: 8.31

Number of Hedge Fund Holders: 99

Pfizer Inc. (NYSE:PFE) is one of the undervalued S&P 500 stocks to buy according to hedge funds. On June 26, Pfizer announced positive topline results from its Phase 3 BASIS study evaluating HYMPAVZI (marstacimab) for individuals aged 12 to <75 years living with hemophilia A or B with inhibitors. The study met its primary and key secondary bleeding endpoints and showed the superiority of once-weekly subcutaneous HYMPAVZI in reducing bleeding outcomes compared to on-demand treatment.

Hemophilia is a group of rare genetic blood disorders that affects over 800,000 people globally and is caused by a deficiency in clotting factors (Factor VIII for hemophilia A, Factor IX for hemophilia B). About 20% of individuals with hemophilia A and 3% with hemophilia B develop inhibitors, which are antibodies that neutralize traditional factor replacement therapies, rendering them ineffective.

HYMPAVZI, discovered by Pfizer scientists, offers a differentiated mechanism of action. Instead of replacing missing clotting factors, it targets tissue factor pathway inhibitor/TFPI, a natural inhibitor of blood clotting initiation. HYMPAVZI has already received regulatory approvals in the US and Europe for eligible patients with hemophilia A without Factor VIII inhibitors or hemophilia B without Factor IX inhibitors. It was the first anti-TFPI approved for hemophilia A or B and the first hemophilia medicine in these regions to be administered via a pre-filled, auto-injector pen.

Pfizer Inc. (NYSE:PFE) discovers, develops, manufactures, markets, distributes, and sells biopharmaceutical products in the US and internationally.

While we acknowledge the potential of PFE 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 PFE and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

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