In this article, we will discuss the 12 Best Undervalued Stocks to Buy According to the Financial Media.
Goldman Sachs Research lifted the forecast for the S&P 500 for year-end 2026 to 8,000, an increase from 7,600. The firm expects a 6% return as of May 26. The firm’s strategists increased the EPS forecast to $340 for 2026, implying 24% annual growth. For 2027, the forecast has been increased to $385, reflecting 13% growth. Notably, the beneficiaries of the AI infrastructure can make up for roughly half of the earnings growth this year.
The firm further added that the valuation multiple for US stocks is projected to remain flat at ~21x earnings. This is because marginal declines in treasury yields are expected to be mitigated by slowing growth, coupled with geopolitical uncertainty and investor skepticism about the durability of AI-related profits. Goldman Sachs Research believes that while conditions support a bull market for stocks, a significant increase in momentum and a narrow market breadth are some of the cautionary signals.
Let us now have a look at the 12 Best Undervalued Stocks to Buy According to the Financial Media.
Our Methodology
To list the 12 Best Undervalued Stocks to Buy According to the Financial Media, we sifted through reputable financial platforms to get an extensive list. Next, we narrowed our list down to the ones that trade at a forward P/E multiple of ~17x. We also mentioned the hedge fund sentiments around each stock, as of Q1 2026. Finally, the stocks are arranged in ascending order of their hedge fund sentiments.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating 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 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
Note: All the data is as of May 29
12 Best Undervalued Stocks to Buy According to the Financial Media
12. Adient plc (NYSE:ADNT)
Forward P/E: ~10.7x
Number of Hedge Fund Holders: 27
Adient plc (NYSE:ADNT) is one of the Best Undervalued Stocks to Buy According to the Financial Media. On May 20, the company released its China business update, wherein it highlighted that, since last year’s J.P. Morgan Summit, it has seen robust new bookings that continue to support the sales growth momentum. Adient plc (NYSE:ADNT) won ~$1.1 billion in annual business in FY 2025, while it captured business from 4 new auto brands. Notably, ~70% of the wins came from C-OEMs, which demonstrates a strategic transition in the customer mix in accordance with the broader market dynamics.
Adient plc (NYSE:ADNT) also highlighted that it continues to strengthen its relationships with C-OEMs via new JVs. In December 2025, the company established a new JV via the acquisition of 49% equity stake in SCI (Zhangjiakou) Co., Ltd. The collaboration is expected to bolster the relationship with critical Chinese OEMs, reflecting a strategic move for the company in enhancing its presence in China.
Adient plc (NYSE:ADNT) is engaged in designing, developing, manufacturing, and marketing seating systems and components for passenger cars, commercial vehicles, and light trucks.
