In this article, we explore the 12 Best Widow and Orphan Stocks to Buy According to Analysts.
According to Reuters, U.S. stock index futures increased on September 29. The Dow E-minis were up 202 points (0.43%), the S&P 500 E-minis were up 36.75 points (0.55%), and the Nasdaq 100 E-minis were up 162.5 points (0.66%). These gains occurred despite weekly losses on key indexes, as expectations of additional rate reductions by the Federal Reserve were maintained by in-line inflation data. The future could become more uncertain if important economic statistics are delayed due to a possible U.S. government shutdown on October 1, according to Reuters. The yield on the 10-year U.S. Treasury rose to 4.181% in August due to higher-than-expected consumer expenditure, while gold remained stable at $3,766.25 an ounce.
The “widow and orphan” stocks, which are established, dividend-paying companies in industries like consumer staples, utilities, and healthcare, are once again in the spotlight due to this environment of conflicting economic signals and policy risk. Because of their consistent profits and dependable dividends, conservative investors have historically preferred these shares. However, defensive areas have not kept pace with this year’s rally.
As Reuters reported, the Consumer Staples Select Sector SPDR Fund (XLP), which tracks major staples names, is up 4.02% year-to-date as of September 27, according to Yahoo Finance, and the medtech index is up only 2.3% in 2025 compared to a 12.5% gain in the broader S&P 500. According to economists, these conservative companies could once again act as a buffer for investors who are uneasy about volatility and changing monetary policy.
Methodology
To curate our list of the 12 Best Widow and Orphan Stocks to Buy According to Analysts, we used the Finviz screener to compile a list of large and mega-cap stocks with outstanding dividend profiles. We selected companies from this dataset that had solid foundations and a history of surviving difficult macroeconomic times. Hedge funds are also big fans of these equities. We then compared the analyst upside and the FWD P/E. Last but not least, we arranged the stocks according to the analyst’s upside potential.
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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
12. Biogen Inc. (NASDAQ:BIIB)
Number of Hedge Fund Holders: 55
Forward P/E: 8.96
Upside Potential: 33.69%
With significant upside potential, Biogen Inc. (NASDAQ:BIIB) secures a spot on our list of the 12 Best Widow and Orphan Stocks to Buy According to Analysts.
Jefferies began covering Biogen Inc. (NASDAQ:BIIB) on September 26 with a Buy rating and a price target of $190. The firm argued that despite the company’s significant strategic and regulatory advancements, investor expectations remain abnormally low.
However, following a series of developments, including Biogen Inc. (NASDAQ:BIIB)’s FDA Complete Response Letter for its high-dose nusinersen regimen for spinal muscular atrophy, its $85 million acquisition of Alcyone Therapeutics to expand its neurological device pipeline, and the European Commission’s approval of ZURZUVAE as the first oral postpartum depression therapy, Jefferies took a positive stance.
These events were cited as proof of the base business’s “continued resiliency” and highlighted an undervalued pipeline. The firm also mentioned the potential for Biogen Inc. (NASDAQ:BIIB)’s late-stage studies in depression and lupus, as well as the acceleration of sales potential for its Alzheimer’s medication Leqembi through a planned at-home subcutaneous formulation.
Globally, Biogen Inc. (NASDAQ:BIIB) discovers, develops, manufactures, and distributes treatments for neurological and neurodegenerative illnesses. It is one of the Best Widow and Orphan Stocks.
11. lululemon athletica inc. (NASDAQ:LULU)
Number of Hedge Fund Holders: 55
Forward P/E: 14.23
Upside Potential: 33.93%
Lululemon Athletica Inc. (NASDAQ:LULU) is one of the 12 Best Widow and Orphan Stocks to Buy According to Analysts.
On September 25, Needham downgraded Lululemon Athletica Inc. (NASDAQ:LULU) to Hold, warning that growing challenges were offsetting its strong brand and 59.1% gross margins. After remaining unchanged in Q4 2024, North American comparable sales dropped 1% and 3% in the first two quarters of 2025, respectively, due to declining demand and unexpected tariff exposure on U.S. e-commerce orders.
In contrast to Wall Street’s flat growth prediction, Needham now projects mid-single-digit earnings declines for FY2026, citing a more competitive environment from non-athletic apparel companies such as Alo, Vuori, Fabletics, and Athleta. Younger consumers have also shifted away from Lululemon Athletica Inc. (NASDAQ:LULU)’s primary leggings category due to the denim trend, while the company’s casual collection has started to weaken. The brokerage stated that after years of rapid expansion, the climate remains “too challenging” for a lasting recovery, though new product releases might provide some support in 2025.
Under the Lululemon brand, Lululemon Athletica Inc. (NASDAQ:LULU) designs, markets, and sells technical sportswear, accessories, and footwear for men and women in North America and beyond. It is one of the Best Widow and Orphan Stocks.
10. Sanofi (NASDAQ:SNY)
Number of Hedge Fund Holders: 24
Forward P/E: 9.39
Upside Potential: 35.05%
With significant upside potential, Sanofi (NASDAQ:SNY) secures a spot on our list of the 12 Best Widow and Orphan Stocks to Buy According to Analysts.
On September 29, Berenberg reaffirmed its Buy rating on Sanofi (NASDAQ:SNY) with a price target of EUR110.00, citing better returns from the company’s medication pipeline. Analysts’ estimates for the $111.7 billion market-cap pharmaceutical company range between $53 and $69, while the stock is currently trading at $45.65.
According to Berenberg, Sanofi (NASDAQ:SNY)’s 2020 pipeline cohort now yields a 10% return, but if peak sales of key drugs like amlitelimab and frexalimab double, or if duvakitug enters Phase 3, its 2025 cohort could surpass its cost of capital.
Separately, on September 26, Sanofi (NASDAQ:SNY) announced it would expand an earlier program for the uninsured by capping the cost of any insulin product at $35 per month for U.S. patients with a valid prescription, regardless of insurance status. These actions highlight Sanofi’s pipeline momentum as well as its pricing strategy, which aims to increase patient access in the United States.
Sanofi (NASDAQ:SNY) researches, develops, manufactures, and markets pharmaceutical solutions globally, providing therapies in immunology, neurology, oncology, rare diseases, vaccines, and other fields. It is one of the Best Widow and Orphan Stocks.
9. Smurfit Westrock Plc (NYSE:SW)
Number of Hedge Fund Holders: 42
Forward P/E: 9.39
Upside Potential: 35.05%
Smurfit Westrock Plc (NYSE:SW) is one of the 12 Best Widow and Orphan Stocks to Buy According to Analysts.
On September 15, 2025, UBS initiated coverage on Smurfit Westrock Plc (NYSE:SW) with a Buy rating and a $60 price target. The multinational manufacturer of corrugated packaging and containerboard is attracting new investor interest. T
rading at roughly 6.4x 2026 EV/EBITDA compared to 8–10x for rivals like International Paper and Packaging Corporation of America, UBS views Smurfit Westrock Plc (NYSE:SW) as an inexpensive turnaround bet. The bank anticipates a 4% increase in U.S. containerboard prices by 2026, supporting a 10% increase in EBITDA and a potential 230% increase in free cash flow.
The valuation gap compared to peers may narrow due to Smurfit Westrock Plc (NYSE:SW)’s history of exceptional returns on invested capital, which have averaged 14.7% over the last decade. UBS also projects that synergy gains could exceed $800 million by 2030.
Smurfit Westrock Plc (NYSE:SW) operates facilities in North America, Europe, and other international markets, producing, distributing, and selling consumer packaging, corrugated containers, containerboard, and paper-based solutions worldwide. It is one of the Best Widow and Orphan Stocks.
8. Stellantis N.V. (NYSE:STLA)
Number of Hedge Fund Holders: 28
Forward P/E: 5.97
Upside Potential: 37.05%
With significant upside potential, Stellantis N.V. (NYSE:STLA) secures a spot on our list of the 12 Best Widow and Orphan Stocks to Buy According to Analysts.
On September 27, 2025, Stellantis N.V. (NYSE:STLA) announced advancements in electric vehicle technology while addressing quality-control concerns in its current fleet. The automaker unveiled its Intelligent Battery Integrated System (IBIS) prototype, developed in collaboration with Saft, a subsidiary of TotalEnergies.
By integrating inverter and charger operations directly into the battery, the system reduces vehicle weight by 40 kg (88 lbs), frees up additional space, and accelerates charging by approximately 15%. Stellantis N.V. (NYSE:STLA) claims IBIS is 10% more efficient than similar EV batteries and could be deployed in production models by the end of the decade. The initiative seeks to overcome financial and charging barriers that hinder broader EV adoption.
At the same time, Stellantis N.V. (NYSE:STLA) recalled 123,396 Jeep Wagoneer and Grand Wagoneer vehicles in the U.S. due to loose window trim components that could detach and cause accidents.
Stellantis N.V. (NYSE:STLA) designs, engineers, manufactures, distributes, and sells cars, light commercial vehicles, engines, transmission systems, and mobility services worldwide. It is one of the Best Widow and Orphan Stocks.
7. Teva Pharmaceutical Industries Limited (NYSE:TEVA)
Number of Hedge Fund Holders: 57
Forward P/E: 7.06
Upside Potential: 37.08%
Teva Pharmaceutical Industries Ltd. (NYSE:TEVA) is one of the 12 Best Widow and Orphan Stocks to Buy According to Analysts.
On September 23, 2025, Truist Securities reaffirmed its Buy rating for Teva Pharmaceutical Industries Limited (NYSE:TEVA), maintaining its $25 price target, following a recap call on Olanzapine LAI (long-acting injectable) data presented at the Psychiatric Congress. Truist emphasized the potential of Teva’s schizophrenia treatment franchise based on the new data.
The launch of Olanzapine LAI is part of Teva Pharmaceutical Industries Limited (NYSE:TEVA)’s broader strategy to expand its innovative medicines division, which grew 27% in Q2 to offset a slight decline in generics.
CEO Richard Francis highlighted Teva Pharmaceutical Industries Limited (NYSE:TEVA)’s transition toward higher-value treatments during the Bank of America Global Healthcare Conference on September 24, where he reiterated the company’s focus on innovation, debt reduction, and achieving $700 million in cost savings by 2027. Key drugs such as Austedo are projected to reach $3 billion in peak sales, while Ajovy could generate up to $2 billion.
Teva Pharmaceutical Industries Limited (NYSE:TEVA) develops, manufactures, markets, and distributes generic and biopharmaceutical products across the U.S., Europe, Israel, and other countries. It is one of the Best Widow and Orphan Stocks.
6. Keurig Dr Pepper Inc. (NASDAQ:KDP)
Number of Hedge Fund Holders: 46
Forward P/E: 12.2
Upside Potential: 40.39%
With significant upside potential, Keurig Dr Pepper Inc. (NASDAQ:KDP) secures a spot on our list of the 12 Best Widow and Orphan Stocks to Buy According to Analysts.
On September 24, 2025, Barclays downgraded Keurig Dr Pepper Inc. (NASDAQ:KDP) from Overweight to Equal Weight, lowering its price target from $39 to $26, citing “elevated noise and uncertainty” expected to persist for the next 12 months due to ongoing asset reorganization actions.
Despite the downgrade, Keurig Dr Pepper Inc. (NASDAQ:KDP) continues to show solid fundamentals, including a 54.93% gross profit margin and 4.63% revenue growth. Barclays acknowledged that while the restructuring could provide long-term benefits, near-term investor visibility remains clouded by the company’s complex story.
To provide clarity, Keurig Dr Pepper Inc. (NASDAQ:KDP) plans to hold an investor event in October to explain the terms of its acquisition strategy and future roadmap. Additionally, the company announced a $16.96 billion cash acquisition of JDE Peet’s, including a planned spin-off of its coffee operations, and declared a quarterly dividend of $0.23 per share, payable on October 10.
Keurig Dr Pepper Inc. (NASDAQ:KDP) operates through its U.S. Coffee, U.S. Refreshment Beverages, and International divisions, producing and distributing beverages and single-serve brewing systems across domestic and international markets. It is one of the Best Widow and Orphan Stocks.
5. Regeneron Pharmaceuticals Inc. (NASDAQ:REGN)
Number of Hedge Fund Holders: 73
Forward P/E: 14.41
Upside Potential: 40.95%
Regeneron Pharmaceuticals Inc. (NASDAQ:REGN) is one of the 12 Best Widow and Orphan Stocks to Buy According to Analysts.
On September 17, 2025, Regeneron Pharmaceuticals Inc. (NASDAQ:REGN) reported positive results from several late-stage trials, highlighting the strength of its pipeline beyond its core ophthalmology franchise. In its Phase 2 COURAGE obesity trial, the combination of semaglutide and trevogrumab reduced fat mass by up to 27.1%, compared to 15.7% for semaglutide monotherapy, while preserving significantly more lean muscle mass. Overall weight reduction ranged between 9.9% and 13.4% across treatment groups in the 599-patient study.
Additionally, Regeneron Pharmaceuticals Inc. (NASDAQ:REGN) announced that the monitoring committee recommended early crossover in its Phase 3 Optima trial of garetosmab for fibrodysplasia ossificans progressiva, after showing a 94% reduction in new bone lesions versus placebo. The company intends to expand Phase 3 testing to pediatric patients next year and submit a U.S. regulatory application for garetosmab by the end of 2025.
Regeneron Pharmaceuticals Inc. (NASDAQ:REGN) is a global pharmaceutical company that researches, develops, manufactures, and markets treatments for a wide range of diseases, including its EYLEA injection for severe retinal disorders. It is one of the Best Widow and Orphan Stocks.
4. Baxter International Inc. (NYSE:BAX)
Number of Hedge Fund Holders: 31
Forward P/E: 8.75
Upside Potential: 45.59%
With significant upside potential, Baxter International Inc. (NYSE:BAX), secures a spot on our list of the 12 Best Widow and Orphan Stocks to Buy According to Analysts.
On September 26, 2025, Baxter International Inc. (NYSE:BAX), a leading global medtech company, was awarded a Gold Level Resiliency Badge by the Healthcare Industry Resilience Collaborative (HIRC) across IV Solutions, Nutrition Solutions, and Premix Drugs. This marks the first time a manufacturer has been recognized at this level across these categories, reflecting Baxter’s efforts to strengthen healthcare supply chain resilience.
The recognition followed HIRC’s comprehensive review of Baxter International Inc. (NYSE:BAX)’s resilience measures, including proactive inventory management, enhanced risk forecasting, robust cybersecurity frameworks, and real-time logistical visibility through its Control Tower system. The award builds on Baxter’s previous Transparency Badges in 2023 and 2024, as well as its launch of the Welch Allyn Connex 360 Vital Signs Monitor earlier this month, which expanded its connected monitoring product line.
Baxter International Inc. (NYSE:BAX) operates through its Pharmaceuticals, Healthcare Systems and Technologies, and Medical Products and Therapies divisions, offering a wide range of healthcare products in the U.S. and worldwide. It is one of the Best Widow and Orphan Stocks.
3. Schlumberger Limited (NYSE:SLB)
Number of Hedge Fund Holders: 63
Forward P/E: 12.55
Upside Potential: 45.92%
Schlumberger Limited (NYSE:SLB) is one of the 12 Best Widow and Orphan Stocks to Buy According to Analysts.
On September 25, 2025, Petrobras awarded Schlumberger Limited (NYSE:SLB), operating under the SLB brand, a contract to supply technology and completion services for up to 35 ultra-deepwater wells in Brazil’s Santos Basin. These wells, located beneath salt layers up to 2,000 meters deep, are part of the second development phase of the Atapu and Sépia fields.
Schlumberger Limited (NYSE:SLB) will deploy electric completion technology and digital solutions to enhance real-time production data and improve reservoir management. Beginning in mid-2026, SLB will use its Electris interval control valves, designed for high-flow-rate wells, to execute the completions.
This new award builds on a 2024 subsea production systems contract for the same fields won by Schlumberger Limited (NYSE:SLB) OneSubsea. Combined with Stifel’s recent reaffirmation of a Buy rating, citing strong international performance and $35.48 billion in trailing twelve-month revenue, the company continues to demonstrate global momentum.
Schlumberger Limited (NYSE:SLB) provides services and technology to the global oil industry through its Production Systems, Reservoir Performance, Well Construction, and Digital & Integration divisions. It is one of the Best Widow and Orphan Stocks.
2. CGI Inc. (NYSE:GIB)
Number of Hedge Fund Holders: 17
Forward P/E: 13.97
Upside Potential: 68.20%
With significant upside potential, CGI Inc. (NYSE:GIB) secures a spot on our list of the 12 Best Widow and Orphan Stocks to Buy According to Analysts.
On September 26, 2025, the State of New Jersey awarded CGI Inc. (NYSE:GIB) a 10-year contract to continue building and maintaining its State Integrated Recovery Operations Management Systems (SIROMS). Originally developed to coordinate recovery operations after Superstorm Sandy, SIROMS has now become the state’s official system of record for natural disaster recovery, enabling the distribution of over $7 billion in recovery funds.
Under the renewed agreement, CGI Inc. (NYSE:GIB) will enhance New Jersey’s disaster response capabilities and improve the management of federal recovery funding. Along with its 7.13% year-over-year revenue growth and the August acquisition of Apside in France, the award highlights CGI Inc. (NYSE:GIB)’s growing role in U.S. public-sector IT services and positions it for further growth despite market challenges.
CGI Inc. (NYSE:GIB) provides IT and business process services globally, including software solutions, systems integration, and strategic IT consulting. It is one of the Best Widow and Orphan Stocks.
1. BioMarin Pharmaceutical Inc. (NASDAQ:BMRN)
Number of Hedge Fund Holders: 58
Forward P/E: 12.35
Upside Potential: 71.24%
BioMarin Pharmaceutical Inc. (NASDAQ:BMRN) is one of the 12 Best Widow and Orphan Stocks to Buy According to Analysts.
On September 23, 2025, BioMarin Pharmaceutical Inc. (NASDAQ:BMRN) hit a 52-week low, falling 23.7% over the past year to $52.93. Despite this decline, the company maintains an 81.8% gross profit margin and trades at an attractive P/E ratio relative to its growth potential.
Earlier this month, BioMarin Pharmaceutical Inc. (NASDAQ:BMRN) announced positive Phase 3 data for its PALYNZIQ® therapy in teens with phenylketonuria, showing significant reductions in dangerous phenylalanine levels compared to diet alone. While increased competition and shifting biotech dynamics have pressured the stock, strong clinical results and its low valuation suggest potential upside if pipeline assets succeed.
BioMarin Pharmaceutical Inc. (NASDAQ:BMRN) develops and commercializes treatments for rare, life-threatening diseases across the U.S., Europe, Latin America, the Middle East, Asia Pacific, and other international markets. It is one of the Best Widow and Orphan Stocks.
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