In this article, we will look at the 7 Most Undervalued Blue Chip Stocks to Invest In.
Large-cap stocks have not exactly fallen out of favor, but the conversation around them has shifted. After a period where market leadership was concentrated in a narrow group of high-growth names, attention has started to broaden toward companies that combine scale with more reasonable valuations. That shift is partly driven by valuation fatigue at the top end, and partly by a growing focus on earnings durability. In that context, blue chip stocks are being revisited not just for stability, but for whether parts of this group are trading below what their fundamentals might suggest.
Institutional investors are framing this through a mix of value and quality. Fidelity Investments, in its Value Discovery Fund review, points to “cheap valuations and high-quality franchises,” along with “healthy cash-flow generation,” highlighting that some established companies still offer both financial strength and pricing support. In a separate piece, Fidelity also notes that combining quality with valuation “may lead to a better outcome for investors,” suggesting that investors are increasingly looking for both, not one or the other. J.P. Morgan Asset Management adds that there remains “high conviction in the profitability of U.S. corporates,” even as markets “acknowledge the impact of high valuations,” which implies that not all large-cap names are priced the same way. Meanwhile, BlackRock seeks to invest in “companies that are undervalued by the market” within U.S. equities, pointing to a broader effort to find opportunities outside the most crowded trades. Taken together, these views suggest that parts of the blue-chip universe may be less fully priced than they appear.
With that in mind, we will look at the 7 Most Undervalued Blue Chip Stocks to Invest In.
Our Methodology
We used the Finviz screener to identify Blue Chip stocks that are trading below a forward P/E of 15 and limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. These stocks are also popular among analysts and elite hedge funds.
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).
7. The Walt Disney Company (NYSE:DIS)
On March 18, 2026, at its Annual General Meeting, The Walt Disney Company (NYSE:DIS) said it plans to expand its streaming platforms by adding experiences and games, according to Chief Executive Officer Josh D’Amaro.
On the same day, Guggenheim lowered its price target on The Walt Disney Company to $115 from $140 previously and maintained a Buy rating as it reassessed valuation and leadership transition dynamics with D’Amaro assuming the Chief Executive Officer role. The firm noted the stock has lagged the S&P 500 since Bob Iger’s return and CFO Hugh Johnston’s appointment, but said there are opportunities to rebuild investor confidence.
On March 17, 2026, incoming president and chief creative officer Dana Walden outlined a new leadership structure for Disney Entertainment, bringing together streaming, film, television, and gaming. The company said this unified approach reflects how consumers engage with its content across platforms.
The Walt Disney Company operates across entertainment, sports, and experiences segments globally.
6. Accenture plc (NYSE:ACN)
On March 23, 2026, Accenture plc (NYSE:ACN) announced an investment in DaVinci Commerce through Accenture Ventures, alongside a strategic partnership with Accenture Song. The company said commerce is shifting toward AI-driven interactions, with “AI agents that research, recommend, and increasingly transact,” and noted the collaboration will help clients build capabilities across the commerce value chain, from discovery to fulfillment, as brands adapt to this emerging “agentic commerce” model.
On March 20, 2026, JPMorgan raised its price target on Accenture plc (NYSE:ACN) to $247 from $243 previously and maintained an Overweight rating following fiscal Q2 results, citing continued execution. On
March 19, 2026, Accenture plc (NYSE:ACN) reported Q2 EPS of $2.93, above the $2.84 consensus estimate, on revenue of $18B versus $17.84B expected. CEO Julie Sweet said the company delivered “record second quarter bookings” and highlighted “strong AI-driven growth,” pointing to increasing demand for enterprise AI adoption and continued investment in capabilities through acquisitions.
Accenture plc (NYSE:ACN) provides consulting, technology, and outsourcing services across global markets.
5. Medtronic plc (NYSE:MDT)
On March 23, 2026, Medtronic plc (NYSE:MDT) received U.S. FDA approval for an expanded indication for its OmniaSecure defibrillation lead, now allowing placement in the left bundle branch area for conduction system pacing. The company said this approach more closely mimics the heart’s natural physiology, with additional benefits for patients requiring cardiac resynchronization through combined pacing techniques.
On March 10, 2026, Medtronic plc (NYSE:MDT) announced a definitive agreement to acquire Scientia Vascular for $550M, with potential additional earn-out payments. The company said the deal, expected to close in the first half of FY27, will be minimally dilutive to adjusted EPS in FY27 and accretive thereafter. Scientia operates in Salt Lake City with approximately 310 employees.
Last month, Medtronic plc (NYSE:MDT) reported Q3 EPS of $1.36, above the $1.34 consensus estimate, on revenue of $9.02B versus $8.89B expected. CEO Geoff Martha said the company delivered “strong” performance with 6% organic revenue growth, highlighting continued investment in innovation and expansion into new markets to support long-term growth.
Medtronic plc (NYSE:MDT) develops and manufactures medical devices and therapies used across a range of healthcare applications.
4. Apollo Global Management, Inc. (NYSE:APO)
On March 23, 2026, Apollo Global Management, Inc. (NYSE:APO) capped redemptions from its $25B Apollo Debt Solutions business development company at 5% of shares outstanding after clients requested withdrawals of about 11%, according to a shareholder letter cited by Bloomberg.
On March 19, 2026, Apollo Global Management, Inc. and Realty Income announced that Apollo-managed funds plan to invest $1.0B to acquire a 49% stake in a joint venture holding a portfolio of roughly 500 single-tenant retail properties under long-term net leases. Realty Income will continue to manage the assets, which are described as generating stable contractual cash flows, with the transaction expected to close by March 31, subject to customary conditions.
Earlier in March, Barclays analyst Benjamin Budish lowered the price target on Apollo Global Management, Inc. to $131 from $158 and maintained an Overweight rating, citing revised estimates across the alternative asset manager group and lower expectations for business development company-related earnings tied to weaker flows and realizations.
Apollo Global Management, Inc. is an alternative asset manager investing across credit, private equity, infrastructure, and real estate markets.
3. Arthur J. Gallagher & Co. (NYSE:AJG)
On March 18, 2026, Truist lowered the price target on Arthur J. Gallagher & Co. to $235 from $271 previously and maintained a Hold rating, citing valuation pressure across the insurance brokerage peer group. Truist said management remains constructive on the market backdrop, describing conditions as “rational,” with renewal premium trends similar to Q4, where low single-digit changes reflect declines in property offset by increases in casualty.
On March 17, 2026, RBC Capital analyst Rowland Mayor resumed coverage on Arthur J. Gallagher & Co. with an Outperform rating and a $260 price target, stating that the recent AI-driven sell-off appears overdone. RBC added that the company’s platform includes several factors that help insulate near-term growth compared to peers.
Earlier in March, the company said its Risk Placement Services division acquired S Philips Surety & Insurance Services, expanding its U.S. wholesale brokerage and programs business.
Arthur J. Gallagher & Co. provides insurance brokerage, consulting, and claims management services globally.
2. Becton, Dickinson and Company (NYSE:BDX)
On March 23, 2026, Argus lowered the price target on Becton, Dickinson and Company (NYSE:BDX) to $180 from $230 and maintained a Buy rating, citing the company’s transition toward a pure-play medtech model following the spin-off of its Biosciences and Diagnostics Solutions business. Argus also noted the stock trades at about 11.5 times forward earnings, below the 20.4 times average for its MedTech coverage universe.
Earlier in the month, Becton, Dickinson and Company announced it received FDA 510(k) clearance for Surgiphor 1000mL, described as the first 1000 mL antimicrobial irrigation system designed for powered lavage, aimed at improving surgical efficiency and safety.
Last month, the company reported Q1 adjusted EPS of $2.91, above the $2.81 consensus estimate, on revenue of $5.3B versus $5.15B expected. CEO Tom Polen said results reflected “stronger-than-expected” performance driven by execution and growth across key markets, adding that the company is “fully pivoting to New BD” following its portfolio changes, with a focus on innovation, productivity, and long-term growth.
Becton, Dickinson and Company develops and sells medical devices, laboratory equipment, and diagnostic products globally.
1. General Motors Company (NYSE:GM)
On March 23, 2026, General Motors Company (NYSE:GM) said it is expanding real-world testing of its AI-based autonomous driving systems, moving from simulation and closed-course validation into supervised testing on public roads across select states. The company said it is leveraging data from manually driven vehicles and combining it with simulation and track testing to refine performance, with “real-world testing” helping generate data that feeds back into development and validation. General Motors Company added that the effort is built on its existing engineering and safety processes, with the goal of integrating autonomous capabilities into production vehicles while maintaining reliability and system integration at scale.
Earlier in March, BofA analyst Alexander Perry initiated coverage on General Motors Company with a Buy rating and a $105 price target. BofA said General Motors Company remains the top U.S. automaker by market share and is positioned to benefit from a more favorable environment for internal combustion vehicles, describing the company as “a key beneficiary” of regulatory changes that support higher-margin trucks and SUVs.
General Motors Company manufactures and sells vehicles and automotive parts across global markets.
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