In this article, we will look at the 8 Worst Blue Chip Stocks to Buy Now.
The word “worst” here is not about business quality. It refers to blue chip stocks that have lagged badly, traded near 52-week lows, or lost investor confidence despite still having recognizable franchises.
Fidelity says market pullbacks can create chances to buy quality stocks at “temporarily marked-down prices,” especially when investors are looking at companies with durable franchises rather than broken businesses. Capital Group makes a similar point from a market-cycle perspective, saying “stock market returns are typically stronger after sharp declines” and that “a selloff can create investment opportunities.” BlackRock is more direct about investor behavior, warning that “Selling falling stocks out of fear will just lock-in losses,” particularly when “the quality of a company remains sound.” In summary, a weak chart is not always the same as a weak business. Against this backdrop, sold-down blue chip stocks deserve a closer look.
With that in mind, let’s take a look at the 8 Worst Blue Chip Stocks to Buy Now.
Our Methodology
We used the Finviz screener to identify blue-chip stocks that are trading near their 52-week lows. We then 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. Insider Monkey’s quarterly newsletter strategy selects 14 small-cap and large-cap stocks every quarter and has returned 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).
8. McDonald’s Corporation (NYSE:MCD)
On July 9, 2026, Deutsche Bank lowered the firm’s price target on McDonald’s Corporation (NYSE:MCD) to $325 from $350 and kept a Buy rating on the shares ahead of the company’s Q2 report.
On July 2, McDonald’s announced that Bryan Brown will join McDonald’s USA as Chief Development Officer, effective July 14. The company said Brown most recently spent more than a decade with Raising Cane’s, where he helped the brand grow from a regional concept into a national restaurant system while maintaining a focus on restaurant operations and long-term performance.
On June 29, KeyBanc lowered the firm’s price target on McDonald’s to $315 from $330 and kept an Overweight rating on the shares. KeyBanc said it was reducing near-term U.S. same-store sales expectations. While the firm sees bright spots for McDonald’s during Q2, it said the core business has yet to regain meaningful momentum following a challenging April. KeyBanc sees less downside with valuation near multiyear low levels, but noted that questions around the company’s recently unveiled strategy and tougher comparisons ahead may keep pressure on shares in the near term.
McDonald’s Corporation (NYSE:MCD) owns, operates, and franchises restaurants under the McDonald’s brand in the United States and internationally.
7. PepsiCo, Inc. (NASDAQ:PEP)
On July 10, 2026, RBC Capital lowered the firm’s price target on PepsiCo, Inc. (NASDAQ:PEP) to $161 from $163 and kept a Sector Perform rating on the shares. RBC Capital said the company reported a mixed quarter, leaving investors waiting for signs of a sustainable turn. RBC Capital said PepsiCo’s international business remains impressive and a consistent bright spot, while the domestic business continues to fall short amid a more difficult consumer environment.
Also on July 10, Deutsche Bank lowered the firm’s price target on PepsiCo to $155 from $168 and kept a Buy rating on the shares. Deutsche Bank said the PepsiCo Foods North America recovery is “still half-baked,” though international momentum continues.
On July 9, PepsiCo reported Q2 core EPS of $2.20, compared with consensus of $2.21, and revenue of $24.18B, compared with consensus of $23.96B. For 2026, the company continues to expect organic revenue to increase between 2% and 4%, core constant currency EPS to increase between 4% and 6%, a core annual effective tax rate of approximately 22%, capital spending below 5% of net revenue, a free cash flow conversion ratio of at least 80%, and total cash returns to shareholders of approximately $8.9B, including dividends of $7.9B and share repurchases of $1.0B.
PepsiCo, Inc. (NASDAQ:PEP) manufactures, markets, distributes, and sells beverages and convenient foods worldwide.
6. The Walt Disney Company (NYSE:DIS)
On July 10, 2026, Business Insider’s James Faris reported that The Walt Disney Company (NYSE:DIS) is exploring making some Disney+ content available without a paywall, citing two people familiar with the matter. Faris said product and tech chief Adam Smith discussed the idea of enabling free-tier content during a virtual town hall on Thursday, though Smith did not provide a timeline or scope for such plans.
On July 2, Raymond James analyst Ric Prentiss lowered the firm’s price target on Disney to $111 from $119 and kept an Outperform rating on the shares. Prentiss cited the firm’s Walk in the Parks survey findings, other channel checks, and recent Comcast (CMCSA) as factors introducing some caution on very near-term park attendance and softer summer sentiment.
On June 30, JPMorgan raised the firm’s price target on Disney to $140 from $139 and kept an Overweight rating on the shares ahead of the fiscal Q3 earnings report. JPMorgan said investor sentiment on the stock “remains generally muted” amid concerns about park attendance and Disney’s future streaming growth. The firm believes this “could provide a catalyst for a re-rating” of the shares and remains bullish on Disney’s price and volume opportunity for experiences and direct-to-consumer.
The Walt Disney Company (NYSE:DIS) operates as an entertainment company in the Americas, Europe, and the Asia Pacific through its Entertainment, Sports, and Experiences segments.
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