5 Undervalued Defensive Stocks for 2026

4. General Mills, Inc. (NYSE:GIS)

General Mills, Inc. (NYSE:GIS) is one of the best undervalued defensive stocks for 2026. RBC Capital cut the price target on General Mills, Inc. (NYSE:GIS) to $55 from $60 on March 19, maintaining an Outperform rating on the shares and telling investors in a research note that the company delivered a mixed quarter with performance affected by weather. However, it added that General Mills, Inc. (NYSE:GIS) maintained fiscal year 2026 guidance as these dynamics are anticipated to reverse in fiscal Q4.

General Mills, Inc. (NYSE:GIS) also received a rating update from TD Cowen on the same day. The firm cut the price target on the stock, bringing it down to $37 from $45 and reaffirming a Hold rating on the shares. It told investors that the company missed fiscal Q3 EPS but maintained guidance, and the inventory headwinds are expected to largely reverse in fiscal Q4. Although management stated that it is finished with price adjustments to improve affordability, TD Cowen lowered estimates for fiscal year 2027 EPS to take into account margin pressure from incentive comp, rising costs, and weak sales, which they are unlikely to offset with price increases, according to the firm.

General Mills, Inc. (NYSE:GIS) manufactures and markets branded consumer foods, including natural and organic food items. The company’s brand portfolio includes Annie’s, Betty Crocker, Cheerios, Wheaties, and more. Its operations are divided into the North America Retail, International, North America Pet, and North America Foodservice segments.