Value investing remains a time-tested strategy that provides both stability and long-term growth, particularly during periods of market volatility and elevated stock valuations. Simply put, value investing involves identifying stocks that trade at a discount to their real value or relative to their peers based on financial metrics while possessing strong upside potential. The concept was first introduced by Benjamin Graham and David Dodd, who framed it as the “margin of safety” rather than simply value investing. Their philosophy emphasized that investors should never pay more than what a company is intrinsically worth, as determined by fundamental analysis. This margin of safety serves as a protective buffer in case the market does not perform as anticipated.
A key advocate of value investing, Warren Buffett, famously stated that the approach is about “finding an outstanding company at a sensible price” rather than settling for an average company at a bargain. This strategy relies heavily on fundamental analysis to assess a company’s true worth. Investors evaluate key metrics such as the price-to-earnings (P/E) ratio, price-to-book (P/B) ratio, and discounted cash flow (DCF) analysis to determine a company’s intrinsic value. As Buffett wisely noted, “Never invest in a business you don’t understand,” highlighting the importance of thorough research in selecting value stocks.
At the Delivering Alpha 2024 Investor Summit in November 2024, David Einhorn of Greenlight Capital noted that while the market is expensive, it’s not necessarily the wrong time to invest. He pointed out that many companies trade at historically high multiples, but overvaluation alone doesn’t signal an imminent downturn. Asset prices can stay mispriced for long periods, and he saw no immediate catalyst for a major market correction, though he cautioned that it may not be the best entry point for long-term investors.
Similarly, portfolio managers at the Heartland Mid Cap Value Fund, in their Q4 2024 Investor Letter, cautioned against investing in stocks with excessively high valuations, citing significant risks in the current environment. They expressed reluctance to chase speculative stocks or those with inflated valuations driven by temporary profit spikes, as these could quickly reverse if market conditions change. While acknowledging that their core holdings underperformed in the fourth quarter, they remained confident in their long-term potential. They believe the prevailing market trends of diminished risk aversion and extreme valuation growth are unsustainable. Rather than following speculative trends, they advocate for disciplined value investing, which they argue will yield better returns over time.
Navigating an unpredictable and choppy market makes achieving significant gains more challenging, and the higher a stock’s valuation, the more vulnerable it becomes to corrections. This is where value investing plays a crucial role. While investing in undervalued stocks may seem counterintuitive in a rising market, history has shown that these stocks often outperform when the market eventually recognizes their true worth. By staying patient and disciplined, value investors position themselves to capitalize on long-term opportunities while minimizing downside risks.
In this article, we have curated a list of 11 best mid-cap value stocks to buy according to analysts. Let’s explore them.
An analyst studying a graph of a company’s asset value and potential cash flow.
Our Methodology
To identify the 11 Best Mid-Cap Value Stocks to Buy According to Analysts, we started by screening U.S.-listed companies with a market capitalization between $2 billion and $10 billion. We then applied three key value criteria: a forward price-to-earnings (P/E) ratio of 15 or lower, which must also be below the trailing P/E; positive expected EPS growth for the upcoming financial year; and a dividend yield of at least 1%. From this list, we further selected stocks with a projected upside of at least 20%. We then ranked the top 11 stocks based on their potential upside, placing those with the highest expected gains at the top. Additionally, we also included data on hedge fund holdings in these companies as of Q4 2024 to provide further insight into investor interest.
Note: All pricing data is as of market close on March 6.
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).
11 Best Mid-Cap Value Stocks to Buy According to Analysts
11. The Mosaic Company (NYSE:MOS)
Fwd. P/E: 10.8
Potential Upside: 21%
Number of Hedge Fund Holders: 41
The Mosaic Company (NYSE:MOS) is a leading global producer and supplier of concentrated phosphate and potash crop nutrients (fertilizers), serving customers in approximately 40 countries. The company is among the top producers worldwide for these essential nutrients and animal feed ingredients, contributing around 11%-12% of the global annual phosphate and potash supply.
The Mosaic Company (NYSE:MOS) is currently trading near the bottom of its 52-week range, and at a low forward P/E of around 11. The company faced significant challenges throughout 2024 and into early 2025, impacted by supply constraints, declining potash prices, weakness in its Mosaic Fertilizantes segment, foreign currency losses, and various operational and weather-related disruptions. As a result, the company’s net income for fiscal year 2024 declined by 85% year-over-year. However, looking ahead to 2025, Mosaic anticipates benefiting from a strong recovery in sales volumes and the strategic redeployment or disposal of non-core assets.
In its Q4 2024 Investor Letter, investment management firm White Brook Capital Partners highlighted its preference for owning high-quality companies in temporarily out-of-favour sectors. The firm acknowledged that The Mosaic Company (NYSE:MOS) had a difficult 2024 but noted its strong start to 2025. Of the two commodities the company sells, White Brook expects phosphate to be the stronger performer this year. While potential impact of tariffs on imports from Canada and Russia could create challenges, the fund remains cautiously optimistic about favourable operating conditions.
White Brook Capital Partners’ fund manager, Basil F. Alsikafi, expressed confidence in The Mosaic Company (NYSE:MOS)’s value creation potential, emphasizing that the stock remains extremely undervalued, generates substantial free cash flow, and maintains a strong balance sheet. With the company’s new CEO now nearly a year into his role, Alsikafi expects the stock to unlock meaningful value in the near future.
10. Silgan Holdings Inc. (NYSE:SLGN)
Fwd. P/E: 12.9
Potential Upside: 25%
Number of Hedge Fund Holders: 21
Silgan Holdings Inc. (NYSE:SLGN) is a leading manufacturer of sustainable rigid packaging solutions for the consumer goods industry. The company produces and supplies dispensing and specialty closures for various markets, including fragrance and beauty, food, beverage, personal and health care, home care, and lawn and garden. Additionally, it manufactures both metal containers and custom containers.
In 2024, Silgan Holdings Inc. (NYSE:SLGN) reported earnings per share (EPS) of $3.62, marking a 6% year-over-year increase despite a 2% decline in revenue to $5.9 billion. The revenue decline was primarily attributed to lower pricing in the Metal Containers segment. For 2025, the company has provided EPS guidance in the range of $4.00 to $4.20, implying a 13% year-over-year growth at the midpoint. Additionally, it expects to generate approximately $450 million in free cash flow, reflecting a 15% increase from the $391.3 million reported in 2024.
The stock gained 15% in 2024 but has remained flat so far in 2025. Despite this, it currently trades at a relatively low forward P/E ratio of 12.9, significantly below its trailing P/E of 20.
Analyst sentiment toward Silgan Holdings Inc. (NYSE:SLGN) remains largely positive, with the consensus price target indicating a potential upside of over 25%. Analysts at Loop Capital were particularly encouraged by strong volume growth across segments and overall solid Q4 results. As a result, one analyst raised his price target on the stock from $70 to $75 while reaffirming a Buy rating.
9. H.B. Fuller Company (NYSE:FUL)
Fwd. P/E: 14.5
Potential Upside: 26%
Number of Hedge Fund Holders: 20
H.B. Fuller Company (NYSE:FUL) is a specialty chemicals manufacturer primarily focused on industrial adhesives. The company formulates, produces, and markets adhesives, sealants, and other specialty chemicals used across a wide range of industries worldwide.
H.B. Fuller Company (NYSE:FUL) is currently trading at a forward price-to-earnings (PE) ratio of 14.0, which is lower than its 12-month trailing PE of 24 and its historical average forward PE of 17. The company faced a weaker start to 2025 after lowering its Q4 2024 earnings guidance due to softer-than-expected market conditions and order delays. Additionally, planned price increases were postponed to 2025, while rising raw material costs further pressured profitability. For FY 2024, it reported adjusted EBITDA of $594 million and an adjusted EPS of $3.84.
To address these challenges, the company’s management is implementing cost-cutting measures and optimizing its manufacturing footprint through recently announced restructuring initiatives. As part of these efforts, H.B. Fuller Company (NYSE:FUL) has divested its Flooring business and introduced a reorganization across multiple business segments. Alongside these actions, the company is prioritizing margin expansion through portfolio transformation and operational efficiencies. It is also working to strengthen its position in the specialized adhesives market by gaining market share and accelerating growth through mergers and acquisitions. In line with this strategy, the company acquired two medical adhesive technology firms, GEM S.r.l. and Medifill Ltd, in late 2024.
Looking ahead, H.B. Fuller Company (NYSE:FUL) is projected to achieve earnings growth of 4% in the coming year, followed by a 15% increase, which would imply a forward PE of 12.
8. Valley National Bancorp (NASDAQ:VLY)
Fwd. P/E: 10.2; P/B: 0.71
Potential Upside: 28%
Number of Hedge Fund Holders: 27
Valley National Bancorp (NASDAQ:VLY), through its regional bank Valley National Bank and its subsidiaries, provides a comprehensive range of national and regional banking services. Its offerings span commercial and private banking, retail banking, insurance, and wealth management. As of December 31, 2024, the company reported consolidated total assets of $62.5 billion, total net loans of $48.2 billion, total deposits of $50.1 billion, and total shareholders’ equity of $7.4 billion.
After a 17% decline in 2024, Valley National Bancorp (NASDAQ:VLY) shares have recovered slightly, rising approximately 2% year-to-date. Despite this modest rebound, the stock continues to trade at a relatively low valuation, with a forward price-to-earnings (P/E) ratio of 10.2 and a price-to-book (P/B) ratio of 0.71.
The company’s Q4 2024 financial results highlighted both challenges and opportunities. It reported net interest income of $424.3 million, supported by a 6-basis-point improvement in its net interest margin to 2.92%. This expansion was driven by an increase in lower-cost core deposits and a gradual normalization of the yield curve. However, adjusted net income for the quarter came in at $75.7 million, marking a 22% decline from the previous quarter. Despite this short-term weakness, analysts remain optimistic about the company’s earnings trajectory, with consensus projections of 52% growth in 2025 and 22% in 2026.
To strengthen financial stability and position itself for long-term growth, Valley National Bancorp is actively working to rebalance its loan portfolio by reducing its exposure to commercial real estate (CRE) loans. This strategic shift aims to create a more diversified and less risky portfolio. Additionally, the company is focused on increasing fee-based income, driving branch deposit growth, and implementing cost-cutting initiatives to enhance overall profitability.
Following the earnings report, analyst sentiment remained mixed, though the consensus one-year price target suggests a potential upside of 25%. On January 24, JP Morgan analyst Anthony Elian reaffirmed his Buy rating on Valley National Bancorp (NASDAQ:VLY) with a price target of $11, expressing confidence in the company’s long-term prospects. Meanwhile, analysts at Citi raised their price target to $11 but maintained a Neutral rating, reflecting a more cautious stance on the stock’s near-term performance.
7. Levi Strauss & Co. (NYSE:LEVI)
Fwd. P/E: 13.4
Potential Upside: 30%
Number of Hedge Fund Holders: 31
Levi Strauss & Co. (NYSE:LEVI) is a leading global apparel company, best known for its dominance in the jeanswear market. The company designs and sells jeans, casual clothing, and related accessories for men, women, and children. Its products are available in over 120 countries through a mix of chain retailers, department stores, e-commerce platforms, and a global network of approximately 3,400 brand-dedicated stores and shop-in-shops. The company currently trades at slightly over 13 times its forward earnings as compared to its trailing P/E of 32.
Levi Strauss & Co. (NYSE:LEVI) is currently facing challenging market conditions, with topline growth slowing and profitability under pressure. In September 2024, management acknowledged difficulties in achieving its goal of reaching $9 billion to $10 billion in annual revenue by 2027, citing headwinds from prolonged inflationary pressures affecting its customers. As a result, the company announced a delay in meeting these targets. Additionally, management revealed that they were exploring strategic alternatives for the Dockers brand, including a potential sale.
Despite these challenges, the company delivered strong Q4 2024 results. However, its guidance was perceived as soft, with reported revenue expected to decline by 1%-2%. That said, organic revenue growth remained solid at 3.5%-4.5%.
Analyst reactions to the results were mixed. Alexandra Straton from Morgan Stanley maintained a Hold rating on the stock with a $17 price target, citing subdued revenue and earnings growth, along with lukewarm market sentiment, as reasons for her cautious stance. She expects the stock to trade within a narrow range until sales growth picks up.
More recently, an analyst from Guggenheim expressed optimism about the company’s long-term growth potential and management’s commitment to reaching the $10 billion revenue target. As a result, he reiterated his Buy rating and raised his price target on Levi Strauss & Co. (NYSE:LEVI) from $20 to $22.
6. HA Sustainable Infrastructure Capital Inc. (NYSE:HASI)
Fwd. P/E: 10.8; P/B: 1.42
Potential Upside: 34%
Number of Hedge Fund Holders: 12
HA Sustainable Infrastructure Capital Inc. (NYSE:HASI) is an investment company specializing in sustainable infrastructure assets. It primarily focuses on investing in businesses that provide climate solutions and drive the energy transition.
The investment case for HA Sustainable Infrastructure Capital Inc. (NYSE:HASI) is built on the massive opportunity presented by the U.S. energy transition, estimated at over $10 trillion through 2050. The company offers investors stable, predictable earnings growth along with a reliable dividend income stream. Its annual dividend yield currently stands at approximately 6%, supported by a portfolio of high-quality, long-lived, and sustainable assets that generate recurring cash flow.
The company’s managed assets have expanded by more than 90% in recent years, growing from $7.2 billion in 2020 to $13.7 billion in 2024. Its payout ratio currently stands at 50% of adjusted EPS, but management has guided for an increase to 55%-60% by 2027. Meanwhile, earnings per share (EPS) are expected to grow at a compounded annual rate of 8%-10% from 2024 to 2027.
HA Sustainable Infrastructure Capital Inc. (NYSE:HASI) has a consensus Buy rating, with a one-year median price target of $38.50, implying a potential upside of 34%. In late February, a Wells Fargo analyst initiated coverage on the stock with an Overweight rating and a $33 price target. The analyst highlighted the company’s low-risk business model and its attractive valuation as a way to invest in the energy transition. He also expects its relative valuation to expand, driven by above-average earnings growth.
5. Brunswick Corp. (NYSE:BC)
Fwd. P/E: 14.1
Potential Upside: 35%
Number of Hedge Fund Holders: 30
Brunswick Corp. (NYSE:BC) designs, manufactures and markets a wide range of marine recreation products, including marine engines, boats, and fitness equipment as well as parts and accessories for the marine and RV markets. The company has renowned brands such as Mercury Marine, Sea Ray, and Life Fitness.
The year 2025 started on a tough note for Brunswick Corp. (NYSE:BC) due to challenging U.S. retail marine market. Q4 2024 sales were down 15% mainly due to impact of continued lower production and wholesale ordering by dealers, OEMs and retailers, coupled with higher discounts. For FY 2024, sales were down 18% YoY and EPS was down 48% to $4.57. Revenue and earnings guidance for 2025 was also lower-than-expected.
For 2025, the company estimates an annualized impact of approximately $35 million in 2025 due to the new tariff rates. Moreover, original equipment manufacturers (OEMs) and the company’s channel partners are continuing to be cautious in their production and ordering patterns, and thus there might be demand pressure in the coming months. While these impacts were partially anticipated, they have weighed on the share price which is down over 10% YTD.
However, the management expects cost cuts and lower interest rates to provide some relief. In addition, it continued to outperform the market and gained 110 basis points of U.S. retail outboard engine share during the year, in addition to achieving significant share increases at 2025 early season boat shows. The stock trades at around 14 times 2025 forward earnings of $4.1, with consensus expecting earnings to decline 10% in 2025 and earnings growth of 30% in 2026.
4. HNI Corp. (NYSE:HNI)
Fwd. P/E: 13.0
Potential Upside: 39%
Number of Hedge Fund Holders: 12
HNI Corp. (NYSE:HNI) is a manufacturer of office furniture and hearth products. The company’s portfolio includes well-known brands like HON, Allsteel, and Kimball, offering a diverse range of products for both commercial and residential markets.
HNI Corp. (NYSE:HNI)’s diverse product offerings, strong brand portfolio, the scale and capability of its manufacturing, and strong distribution network provide a solid foundation for growth. It boasts of average free cash flow per share continuously exceeding adjusted EPS over the last two decades. It has also paid dividends for the last 68 years. That said, in recent quarters, the company has seen headwinds in its Residential Building Products segment due to challenging housing market. Despite this, it posted a 15% year-over-year growth in its EPS for 2024, which was the third straight year of double-digit earnings growth.
While HNI Corp. (NYSE:HNI) expects demand volatility in 2025 due to elevated interest rates, tariff uncertainty and weaker consumer sentiment, it guided for low-to-mid single digit revenue growth in both its segments and a robust double-digit EPS growth in 2025. The company’s progress on its profit transformation plan, incoming synergies from recent acquisitions, and productivity and network optimization would support earnings growth.
3. Atlas Energy Solutions Inc. (NYSE:AESI)
Fwd. P/E: 13.7
Potential Upside: 39%
Number of Hedge Fund Holders: 10
Atlas Energy Solutions Inc. (NYSE:AESI) is a leading provider of proppant and proppant logistics services for the oil and gas industry. The company specializes in producing and distributing high-quality frac sand, a critical component in hydraulic fracturing operations. It is exclusively focused on serving customers in the Permian Basin of West Texas and New Mexico, the most active oil and natural gas-producing region in North America.
In fiscal year 2024, Atlas Energy Solutions Inc. (NYSE:AESI) generated $251.3 million in free cash flow, reflecting a solid 24% adjusted free cash flow margin. However, this was a decline from the 47% margin reported in 2023, primarily affected by its acquisitions. For the fourth quarter, the company posted revenue of $271.3 million and earnings per share (EPS) of $0.13, both of which fell short of consensus estimates. Despite the earnings miss, Atlas announced a quarterly dividend of $0.25 per share, translating to a healthy annual dividend yield of 5.4%.
The company’s emphasis on efficiency and cost reduction through integrated supply chain solutions positions it well to capitalize on sustained demand for energy resources. While pricing pressures in frac sand remain a headwind, the company’s outlook is underpinned by ramp-up of its overland conveyor system, the Dune Express, and progress on its semi-autonomous oilfield logistics network. However, the stock currently trades near its 52-week low of $17.02, with a forward P/E ratio of 13.7, which is below the sector average of around 20 times.
On January 28, Benchmark analyst Kurt Hallead raised the price target on the shares to $28 from $23 previously based on his revised estimates after the company announced the acquisition of Moser Energy Systems for $220 million. The analyst maintained his Buy rating.
2. KBR Inc. (NYSE:KBR)
Fwd. P/E: 13.1
Potential Upside: 40%
Number of Hedge Fund Holders: 56
KBR Inc. (NYSE:KBR) provides science, technology, and engineering solutions to governments and corporations worldwide. The company operates across multiple sectors, including aerospace, defense, industrial, and intelligence.
With its expertise in delivering complex solutions, KBR Inc. (NYSE:KBR) is well-positioned to benefit from rising government spending on defense and infrastructure, along with the increasing demand for technological advancements across industries. The company boasts a portfolio of over 85 innovative, sustainable, and proprietary process technologies, allowing it to provide differentiated solutions. Its strategy focuses on serving high-growth end markets such as global security, sustainability, and digitalization. Additionally, KBR has a diversified customer base, with more than 60% of its adjusted EBITDA coming from non-U.S. government clients.
For fiscal year 2024, KBR Inc. (NYSE:KBR) reported $7.7 billion in revenue, reflecting 11% year-over-year growth, and an EBITDA of $870 million, maintaining a margin above 11%. Looking ahead to 2025, the company aims to expand revenue by 15%, targeting a range of $8.7-$9.1 billion. It also projects an 11% increase in adjusted EBITDA and a 15% rise in EPS compared to the prior year. In terms of cash flow, KBR generated $385 million in free cash flow (FCF) in 2024 and expects to achieve a robust FCF of $450-$485 million in 2025.
KBR Inc. (NYSE:KBR) holds a consensus Buy rating, with all analysts covering the stock recommending a Buy, according to CNN.com data. The consensus one-year median price target stands at $70, implying a potential upside of 40%.
1. The Chemours Company (NYSE:CC)
Fwd. P/E: 7.4
Potential Upside: 57%
Number of Hedge Fund Holders: 40
The Chemours Company (NYSE:CC) is a global provider of performance chemicals that are key inputs in end-products and processes in a variety of industries. Its principal products include refrigerants, titanium dioxide pigment and industrial fluoropolymer resins which are used in client markets including refrigeration and air conditioning, paints and coatings, plastics, semiconductor, and oil and gas.
The Chemours Company (NYSE:CC) had a very rough 2024 including internal management and control issues, which led to the substantial underperformed last year with a -46% decline. So far in 2025, the weak performance has continued with share price falling 17% YTD.
After the challenges of 2024, the company is making changes to improve and set itself up for future success with its new strategic plan, “Pathway to Thrive.” As part of this plan, it is focusing on high-value, innovative projects to grow its business, aiming for over 5% annual sales growth from 2024 to 2027. Additionally, the company is working to cut costs, expecting to save more than $250 million during this period. It has also fully remediated all the material weaknesses previously identified in internal control system.
BMO Capital analyst John McNulty reduced his price target for The Chemours Company (NYSE:CC) from $34 to $27 while maintaining an Outperform rating following the company’s weaker-than-expected Q4 earnings and outlook. According to the analyst, the company may experience a slow start in Q1. However, despite a challenging economic environment, the company is still positioned for solid earnings growth and strong free cash flow driven by tariffs, cost reductions in its Titanium Technologies segment, and overall corporate efficiency improvements. RBC Capital analyst Arun Viswanathan also reiterated his Buy rating with a price target of $25.
While we acknowledge the potential of CC to grow, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CC but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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