5 Most Undervalued Quality Stocks to Invest In

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1. FedEx Corp. (NYSE:FDX)

Number of Hedge Fund Holders: 86

FedEx Corp. (NYSE:FDX) is one of the most undervalued quality stocks to invest in. On June 9, unionized pilots at FedEx Corporation ratified a new four-year labor agreement with 83% approval, formally ending more than five years of protracted negotiations. The contract takes effect on June 29 and covers compensation, retirement, scheduling, work rules, and job protections.

The agreement includes a 40% increase in hourly pay, additional benefits, and substantial back pay to compensate for delayed raises during bargaining. Pilots will also receive 3% annual pay increases starting in 2028, reflecting improved labor terms after extended disputes between the union and management.

The resolution follows a long mediation process and internal union divisions over prior negotiating strategies. Union leadership stated that focus will now shift toward implementing and enforcing the agreement, while emphasizing continued advocacy for FedEx Corp. (NYSE:FDX) pilots going forward.

FedEx Corp. (NYSE:FDX) provides transportation, ecommerce, and logistics services. The company is best-known for its shipping services, where it handles the delivery of packages, freight, and documents through air and land.

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

READ NEXT: 10 Most Undervalued Stocks to Buy and Hold for 2 Years and 8 Best Quality Growth Stocks to Buy.

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