In this article, we will look at the 12 Best Mid-Cap Value Stocks to Buy Right Now.
Midcap stocks offer some of the best investment opportunities given their ability to strike the right balance between proven business deals and market opportunities that can support $100 billion corporations. Even though they are companies that face stiff competition from industry giants, most stand out on trading at highly discounted valuations.
According to Joseph Lai of Ox Capital Management Pty Ltd, mid-cap companies could prove to be the next winners as they capitalize on the artificial intelligence boom.
“A lot of these mid-cap companies are benefiting from a rapid implementation of AI,” said Sydney-based Joseph Lai in an interview late last month. “It’s very cheap for these companies to implement AI solutions to increase the return on interest.”
While the SPDR S&P MidCap 400 ETF Trust is up by just 1.98% year-to-date, mid-cap stocks have started to bottom out as investors rotate from mega-cap stocks trading at premium valuations. According to Janus Henderson midcap portfolio manager Brian Demain, the US reaching an agreement on trade with countries like the UK, the EU, and China should be a boon for smaller companies that are more sensitive to the domestic economy compared to their larger counterparts.
Similarly, the prospect of the US Federal Reserve cutting interest rates also asserts mid-cap stocks long term prospects. The move would only make it easier and cheaper to acquire the capital needed to finance activities that have the potential to accelerate growth and generate long-term value.
Our Methodology
To compile the list of the 12 Best Mid-Cap Value Stocks to Buy According to Analysts, we used Finviz to screen for companies with a market capitalization of between $2 billion and $10 billion (as of August 24). We then focused on stocks with a forward price-to-earnings (P/E) ratio of 20 or lower and a dividend yield of at least 1%. We further considered stocks with a year-to-date performance of at least 20% and popular among elite hedge funds. Finally, we ranked the stocks in ascending order based on year-to-date gains.
Why are we interested in the stocks that hedge funds pile into? The reason is straightforward: our research has demonstrated that we can outperform the market by replicating 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).
Best Mid-Cap Value Stocks to Buy Right Now
12. UGI Corporation (NYSE:UGI)
Market Capitalization: $7.48 Billion
Forward Price to Earnings Ratio: 7.73
Dividend Yield: 4.30%
Year to Date Return: 23.02%
Number of Hedge Fund Holders: 36
UGI Corporation (NYSE:UGI) is one of the best mid-cap value stocks to buy right now. On August 6, the company delivered solid third-quarter fiscal 2025 results, showcasing strength in its asset portfolio and a commitment to safely and reliably delivering energy solutions to customers.
The company reported adjusted diluted earnings per share of $3.55, surpassing the $3.22 achieved in the same quarter last year. Revenue came in at $1.39 billion, falling short of consensus estimates of $1.77 billion.
During the quarter, UGI Corp executed its strategic portfolio optimization initiative, which ultimately generated approximately $150 million from asset sales.
“Through our balanced approach to growth investment and shareholder returns, we are building a more resilient and profitable UGI that creates sustainable value for shareholders,” said Bob Flexon, President and Chief Executive Officer.
UGI Corporation (NYSE:UGI) is a utilities company that engages in the distribution, storage, transportation, and marketing of energy products and related services. It distributes propane to approximately 1.1 million residential, commercial/industrial facilities.
11. Grupo Aeroportuario del Sureste, S. A. B. de C. V. (NYSE:ASR)
Market Capitalization: $9.15 Billion
Forward Price to Earnings Ratio: 14.86
Dividend Yield: 8.01%
Year To Date Return: 26.97%
Number of Hedge Fund Holders: 9
Grupo Aeroportuario del Sureste, S. A. B. de C. V. (NYSE:ASR) is one of the best mid-cap value stocks to buy right now. On August 5, the company announced that passenger traffic for July was up 1.5% year-over-year, reaching 6.5 million.
The increase was driven by a 3.5% passenger increase in Colombia and a 2.0% increase in Mexico that helped offset a 1.9% decrease in Puerto Rico. The increase in the two markets was also driven by growth in International and Domestic travel. Increased passenger traffic positions the company to generate more revenue from passenger fees and landing charges.
Grupo Aeroportuario del Sureste, S. A. B. de C. V. (NYSE:ASR) is a well-established international airport operator that maintains and develops 16 airports across the Americas. It generates revenue from aeronautical charges, such as passenger fees and landing charges, as well as non-aeronautical services, including retail leases, food and beverage concessions, and advertising within the terminals.
10. Lincoln National Corporation (NYSE:LNC)
Market Capitalization: $7.71 Billion
Forward Price to Earnings Ratio: 5.75
Dividend Yield: 4.44%
Year to Date Return: 27.67%
Number of Hedge Fund Holders: 42
Lincoln National Corporation (NYSE:LNC) is one of the best mid-cap value stocks to buy right now. On August 6, CFRA reiterated a ‘Hold’ rating on the stock and increased its price target to $42 from $37. The price target hike comes on the company delivering solid Q2 2025 results, whereby earnings per share came in at $2.36, beating consensus estimates of $1.58.
Likewise, Lincoln National posted a 4.3% increase in operating revenues to $4.04 billion. Its margins in the quarter benefited from a continued turnaround in Life Insurance profitability, which posted $32 million in operating profits compared to a loss of $35 million in the previous quarter.
The company’s Group Protection unit delivered a record quarter, with operating income increasing 33% to $173 million, as the operating margin jumped 2.5%. Lincoln National also benefited from Premiums rising 7% to $1.4 billion.
Lincoln National Corporation (NYSE:LNC) is a major provider of insurance, annuities, and retirement plan services. It offers solutions that help individuals and employers plan, protect, and grow their financial futures by providing a range of products and services designed to build wealth and secure financial stability.
