In this article, we will discuss the 11 Blue Chip Stocks to Invest in at 52-Week Lows.
For the first time since 2023, the S&P 500 was seen in the market correction territory, according to US Bank (Wealth Management). The rapid fall surprised several investors, mainly considering the favorable underlying conditions US stocks carried into 2025. The broader markets are reacting primarily to the potential economic consequences of the Trump administration’s policies. Most critical are the new trade policies focused on raising tariffs for goods imported to the US. According to Rob Haworth, senior investment strategy director with U.S. Bank Asset Management, the uncertainty remains the key driver around the market’s recent decline. There are increased concerns related to the potential economic weakness, mainly because of tariff impacts.
Sector Performance in 2025
As per US Bank (Wealth Management), in 2023 and 2024, stocks were aided by consistent economic growth as technology stocks dominated the broader market performance. The revenues of technology companies were aided by significant spending on AI-related investment. As per Haworth, it is of utmost importance for other sectors to make increased earnings contributions. In the early months of 2025, there was a shift in investor sentiment. The sectors that supported the prior year’s market performance, i.e., IT, communication services, and consumer discretionary, have been dragging the market down.
READ ALSO: 7 Best Stocks to Buy For Long-Term and 8 Cheap Jim Cramer Stocks to Invest In.
Underlying Fundamentals Remain Strong
US Bank (Wealth Management) stated that the markets fluctuated through most of Q1 2025. That being said, by February 19, the S&P 500 gained 4.5%, says the firm. Furthermore, the firm added that YTD through March 17, the broader S&P 500’s total return was down 3.23%. This comes after 2 years of 25%+ S&P 500 total returns. Despite the uncertainty, for the time being, many underlying fundamentals remain positive. According to Eric Freedman, chief investment officer for U.S. Bank Asset Management, the consumers remain in a good spot, and companies are flush with cash.
As per Haworth, while US markets were impacted in Q1 2025, global stocks delivered positive returns. In the current environment, Haworth believes that a globally diversified portfolio places the investors in a position to capitalize on numerous opportunities. Notably, investors tend to respond to the perceived potential corporate earnings based on specific policies or events. Even though there have been struggles in early 2025, most of the underlying data is favorable.
Amidst these trends, let us now have a look at the 11 Blue Chip Stocks to Invest in at 52-Week Lows.
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Our Methodology
To list the 11 Blue Chip Stocks to Invest in at 52-Week Lows, we sifted through the holdings of SPDR S&P 500 ETF Trust and shortlisted the stocks trading close to their respective 52-week lows. Next, we mentioned hedge fund sentiments around each stock, as of Q4 2024. Finally, the stocks were arranged in ascending order of their hedge fund sentiments.
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 Blue Chip Stocks to Invest in at 52-Week Lows
11. Stanley Black & Decker, Inc. (NYSE:SWK)
Stock Price as of March 25: $80.47
52-week Low: $77.7
Number of Hedge Fund Holders: 34
Stanley Black & Decker, Inc. (NYSE:SWK) offers hand tools, power tools, outdoor products, and related accessories. The company’s stock has received a “Buy” rating by Jefferies analyst, Jonathan Matuszewski. The analyst’s rating is backed by its strategic transformation and market positioning. It has witnessed a strong transformation, which is projected to substantially culminate, reducing the execution risks. As per the analyst, the transformation consists of inventory and debt reduction, and divestitures, together with an agile organizational structure, placing it well for future growth.
Furthermore, the analyst has highlighted the positive market conditions benefiting Stanley Black & Decker, Inc. (NYSE:SWK). The aging housing stock in the US can fuel higher spending on residential repairs and renovations, driving demand for power tools, where it remains well-positioned. Also, the momentum of DEWALT, together with the stabilization in the CRAFTSMAN and STANLEY brands, further aids the growth outlook. In FY 2024, Stanley Black & Decker, Inc. (NYSE:SWK) witnessed continued gross margin expansion, healthy FCF generation, strengthening of balance sheet, and making new investments focused on fueling market share growth.
Ariel Investments, an investment management company, released its Q4 2024 investor letter. Here is what the fund said:
“Alternatively, shares of Stanley Stanley Black & Decker, Inc. (NYSE:SWK) traded lower on mixed earnings results. Although organic revenue growth declined on lower sales volumes, solid cost containment drove a bottom-line beat. Meanwhile, SWK’s transformation initiatives remain on track. The company delivered margin expansion by realizing savings from sourcing initiatives, productivity improvements and cost efficiencies. Though the macroeconomic backdrop remains challenging, management is cautiously optimistic lower interest rates will drive consumer demand. We have conviction in SWK’s experienced executive management team and think the balance sheet is well positioned to weather the storm.”
10. Avery Dennison Corporation (NYSE:AVY)
Stock Price as of March 25: $175.69
52-week Low: $173.02
Number of Hedge Fund Holders: 36
Avery Dennison Corporation (NYSE:AVY) operates as a materials science and digital identification solutions company. Stifel Nicolaus analyst Lars Kjellberg maintained a “Buy” rating on the company’s stock, setting a price objective of $250.00. The analyst’s rating is backed by a combination of factors highlighting the company’s outlook. The analyst believes that Avery Dennison Corporation (NYSE:AVY) has shown growth potential, mainly in the Intelligent Labels (IL) segment, which is anticipated to grow. This demonstrates a healthy expansion in key areas, including apparel and general retail, which can offset weaknesses in logistics.
Elsewhere, JPMorgan analyst Jeffrey Zekauskas upped the rating on the company’s stock to “Overweight” from “Neutral.” The firm views Avery Dennison Corporation (NYSE:AVY)’s intelligent label initiative as a strong and attractive long-term growth lever. The company remains well-placed to continue its long track record of healthy earnings growth in 2025, which includes accelerating growth in its high-value categories, which now make up almost half of its portfolio. Avery Dennison Corporation (NYSE:AVY) remains confident that the consistent execution of its strategies will allow it to meet its long-term goals for superior value creation in a range of geopolitical and macro scenarios. The company anticipates a reported EPS of $9.55 – $9.95 in 2025.
9. Eastman Chemical Company (NYSE:EMN)
Stock Price as of March 25: $89.34
52-week Low: $86.7
Number of Hedge Fund Holders: 37
Eastman Chemical Company (NYSE:EMN) operates as a specialty materials company. Analyst Michael Sison of Wells Fargo maintained a “Buy” rating on the company’s stock, retaining the price target of $125.00. The analyst’s rating is backed by factors demonstrating the company’s growth prospects. As per the analyst, Eastman Chemical Company (NYSE:EMN) continues to showcase consistent EPS growth in the chemical sector, thanks to the new product volumes, demand in stable markets as well as effective cost management. Furthermore, the company’s healthy performance in 2024, reflected by EPS growth and improvement in sales volumes, places a favorable outlook for 2025, despite some expected challenges related to increased energy costs and currency fluctuations.
Elsewhere, analyst Vincent Andrews from Morgan Stanley maintained a “Buy” rating on Eastman Chemical Company (NYSE:EMN)’s stock with the price objective of $125.00. The rating is backed by factors that include the company’s strong performance in Q4 2024. The performance stemmed from increased sales volumes and favorable price-cost dynamics. Notably, in Q4 2024, Eastman Chemical Company (NYSE:EMN) saw an adjusted EBIT of $305 million as compared to $222 million in Q4 2023. Moving forward, the company expects modest volume growth in its specialty businesses, and it plans to continue to leverage its innovation-driven growth model to deliver growth above underlying challenged market trends.
8. Dow Inc. (NYSE:DOW)
Stock Price as of March 25: $35.32
52-week Low: $35.22
Number of Hedge Fund Holders: 48
Dow Inc. (NYSE:DOW) offers various materials science solutions for packaging, infrastructure, mobility, and consumer applications. Fitch Ratings has highlighted the company’s significant scale and diversification, strong liquidity, consistent FCF, and low-cost position with feedstock flexibility. Dow Inc. (NYSE:DOW)’s diversification throughout the end-markets and geographies aids its credit profile, as it happens to be one of the largest chemical producers globally and the largest in North America, says the ratings agency. The company tends to benefit from access to cost-advantaged natural gas-based feedstocks as well as an industry-leading feedstock flexibility on the European assets.
The company announced targeted actions to deliver $1 billion in cost savings. The proactive actions are expected to reduce Dow Inc. (NYSE:DOW)’s costs in response to macroeconomic uncertainty while reinforcing its long-term competitiveness throughout the economic cycle. The company anticipates achieving the majority of the $1 billion in cost savings on an annual run-rate through a $500 million – $700 million reduction in direct costs, mainly focused on purchased services and third-party contract labor, and decreased labor costs. The cost actions support Dow Inc. (NYSE:DOW)’s commitment to the long-term growth objectives while aligning spending levels to the realities of the broader macroeconomic environment.
7. International Flavors & Fragrances Inc. (NYSE:IFF)
Stock Price as of March 25: $76.92
52-week Low: $76.6
Number of Hedge Fund Holders: 49
International Flavors & Fragrances Inc. (NYSE:IFF) is the largest specialty ingredients producer. It sells ingredients for the food, beverage, health, household goods, personal care, and pharmaceutical industries. The company’s strategic emphasis on integrating biotechnology into its Health & Biosciences business can create a significant and sustainable competitive advantage. With the help of leveraging biotech innovations, International Flavors & Fragrances Inc. (NYSE:IFF) can develop unique, high-value products that are difficult to replicate. This can result in increased profit margins and improved market share throughout multiple segments.
The biotech focus places the company at the forefront of catering to emerging consumer trends, including the demand for natural and sustainable ingredients. Through developing bio-based alternatives to traditional chemical compounds, International Flavors & Fragrances Inc. (NYSE:IFF) remains well-placed to capture a growing market segment and become an industry leader in sustainable solutions. Additionally, the biotechnology integration is expected to lead to more efficient production processes, decreasing costs and improving International Flavors & Fragrances Inc. (NYSE:IFF)’s overall operational efficiency.
The merger with Nutrition & Biosciences (N&B) offers International Flavors & Fragrances Inc. (NYSE:IFF) numerous opportunities for synergies, which can help it fuel future growth. The combined entity benefits from an enhanced product portfolio, enabling the company to provide more comprehensive solutions to its customers and potentially enhance the share of wallet with current clients.
6. United Parcel Service, Inc. (NYSE:UPS)
Stock Price as of March 25: $109.95
52-week Low: $109.4
Number of Hedge Fund Holders: 59
United Parcel Service, Inc. (NYSE:UPS) is a package delivery and logistics provider that provides transportation and delivery services. The cyclical recovery in the transportation sector is expected to offer significant tailwinds for the company. With the economic activity picking up, there seems to be an increase in both B2B and B2C shipping volumes. This increase in demand can enable United Parcel Service, Inc. (NYSE:UPS) to better utilize the network capacity, improving operational efficiency and potentially fueling margins. Also, a recovery in the economy often results in higher industrial production and trade, which can fuel growth for the company.
United Parcel Service, Inc. (NYSE:UPS)’s global network and comprehensive service offerings place the company well to capitalize on an overall economic recovery. For FY 2025, on a consolidated basis, the company anticipates revenue to be ~$89.0 billion and an operating margin of ~10.8%. The company’s strategic investments, primarily in the SMB market and healthcare logistics, can fuel significant long-term growth. United Parcel Service, Inc. (NYSE:UPS) announced that it has completed the acquisition of Frigo-Trans and its sister company BPL, which offer industry-leading, complex healthcare logistics solutions throughout Europe.
Artisan Partners, an investment management company, released its Q3 2024 investor letter. Here is what the fund said:
“We made no new purchases in Q3. Instead, our purchase activity was focused on adding to a few of our existing names that remain cheap, such as Dollar General and United Parcel Service, Inc. (NYSE:UPS). When we initiated our position in UPS in late 2023, shares were under pressure due to concerns about its new labor contract diverting volumes and driving up costs, as well as the continued normalization of volumes following COVID-related gains. We welcomed the market’s short-term focus as it provided us an opportunity to purchase UPS at an undemanding valuation of less than 11X our view of normalized earnings. UPS is a good transport operation that easily earns its cost of capital, generates significant free cash, has a wide economic moat, has a strong financial profile and pays an attractive dividend—now yielding 4.8%. More recently, the stock has been weak because profits came in weaker than expected. UPS’ customers traded down to the lower yielding ground segment, which negatively impacted overall pricing and margins. These shifts are common and occur in both directions, but what is important, in our view, is the long-term trend of volume growth remains intact. Nevertheless, investors have lost patience with UPS after a string of earnings disappointments.”
5. CSX Corporation (NASDAQ:CSX)
Stock Price as of March 25: $29.53
52-week Low: $28.98
Number of Hedge Fund Holders: 63
CSX Corporation (NASDAQ:CSX) provides rail-based freight transportation services. The company’s extensive rail network, mainly in the eastern United States, offers a healthy foundation for future growth. Its reach enables the company to serve a diverse range of industries and markets, placing it well to capitalize on economic expansion and transitions in trade patterns. As industrial development continues, CSX Corporation (NASDAQ:CSX) possesses the opportunity to attract new customers and increase volumes throughout product categories. Its strong emphasis on service quality can act as a critical differentiator in getting new business and retaining existing customers.
Through the consistent delivery of reliable and efficient transportation solutions, CSX Corporation (NASDAQ:CSX) is expected to potentially convert more over-the-road shipments to rail, tapping an enormous market opportunity. This transition can be appealing to customers who look to reduce their carbon footprint. This is because rail transportation is generally more fuel-efficient as compared to trucking for long-haul freight. Also, CSX Corporation (NASDAQ:CSX)’s robust network and service quality can allow it to command premium pricing for the services, mainly in markets where the company possesses a competitive advantage.
Appalaches Capital, an investment management firm, released its Q3 2024 investor letter. Here is what the fund said:
“During the quarter, we established core positions in two railroads: Canadian National Railway Company (CNI) and CSX Corporation (NASDAQ:CSX). The investment thesis is simple. Domestic railroads have not seen volume growth over the last 20 years despite being the cheapest, cleanest, and safest form of freight transportation.4 The lack of volume growth and related share losses to trucking is due to the poor reliability of the networks. However, there is strong evidence to believe that this may not be the case going forward. It seems that investors are overweighting historical characteristics of the industry and not giving credit to recent and sustainable improvements in service metrics. If the rails are able to show any sign of sustained volume growth, our investment should perform very well.
The Canadian railroads have more or less operated at full capacity over the last two decades, while the U.S. networks have not. Why is that? There are a few reasons for the anemic volume growth domestically, but only one of which is not shared by the Canadian railroads: service. In 2017, had you shipped goods by rail in Canada, the odds that your shipment would arrive on time, or the “trip plan compliance” rate, was around 90% or higher. In the U.S., these levels were closer to 50%.5 Maybe you have a different opinion, but I am not particularly excited about using a shipping service that only has a coin flip’s chance of arriving on time, even if it may be more economical…” (Click here to read the full text)
4. Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN)
Stock Price as of March 25: $634.14
52-week Low: $629.02
Number of Hedge Fund Holders: 68
Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) is engaged in discovering, inventing, developing, manufacturing, and commercializing medicines for treating various diseases. Dupixent® has been characterized as a critical growth driver for the company, with strong potential for further expansion. The drug’s efficacy throughout multiple inflammatory conditions as well as its favorable safety profile place it well for continued expansion into the new indications. Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN) and Sanofi presented positive results from the pivotal ADEPT Phase 2/3 trial evaluating the investigational use of Dupixent® (dupilumab) in adults having moderate-to-severe bullous pemphigoid (BP). To provide a brief context, BP is a chronic, debilitating, and relapsing skin disease.
By targeting the underlying type 2 inflammation, which happens to be the critical driver for bullous pemphigoid, Dupixent has been categorized as the first investigational biologic to demonstrate sustained disease remission and reduce disease severity and itch as compared to the placebo in a clinical trial. In February, the US FDA accepted for Priority Review the supplemental Biologics License Application for Dupixent to treat BP. Notably, the FDA decision is expected by June 20, 2025. Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN)’s financial and commercial strength enables it to continue to invest in its industry-leading R&D pipeline.
Baron Funds, an investment management company, released its Q3 2024 investor letter. Here is what the fund said:
“We purchased Regeneron Pharmaceuticals, Inc. (NASDAQ:REGN), a biopharmaceutical company that was built on a foundation in basic scientific research and antibody development. The company has successfully developed several blockbuster medicines, including Eylea and Eylea HD for retinal diseases (such as wet age-related macular degeneration, diabetic macular edema, and diabetic retinopathy) and Dupixent for immunological and inflammatory diseases (such as atopic dermatitis, asthma, and COPD). While Eylea is nearing the end of its patent life and faces potential biosimilar competition, the company has been transitioning patients to Eylea HD, which is a higher dose, longer-acting formulation of Eylea, and Dupixent is growing rapidly through indication expansion. Beyond the current product portfolio, Regeneron has an exciting new product pipeline with over 35 candidates in various stages of development, including a novel treatment for treating severe food allergy, a combination checkpoint inhibitor therapy for melanoma, lung cancer and other solid tumors, biospecific antibodies for blood cancers, and Factor XI antibodies for blood clot prevention, among others. Based on Regeneron’s track record of success discovering and developing new drugs, we are optimistic the pipeline will deliver some successes, which we think will drive upside in the stock.”
3. PepsiCo, Inc. (NASDAQ:PEP)
Stock Price as of March 25: $145.54
52-week Low: $141.51
Number of Hedge Fund Holders: 69
PepsiCo, Inc. (NASDAQ:PEP) is engaged in the manufacturing, marketing, distributing, and selling of various beverages and convenient foods. UBS analyst Peter Grom reaffirmed a “Buy” rating on the company’s stock with the price objective of $175.0. The analyst’s statement came after the company’s announcement that it has agreed to acquire Poppi, which is a prebiotic soda brand. Notably, this initiative forms part of PepsiCo, Inc. (NASDAQ:PEP)’s strategy to improve the carbonated soft drink (CSD) portfolio with a brand that remains in line with the increased consumer demand for healthier options. UBS expects that the catalysts for the company’s stock performance would be closely associated with the trends in North America, mainly within the salty snacks segment.
PepsiCo, Inc. (NASDAQ:PEP)’s emphasis on productivity initiatives and cost savings offers a strong opportunity for improvement in profitability and operational efficiency. Such initiatives can drive increased margins and might potentially offset some of the challenges witnessed in the domestic market. Through the implementation of efficient processes and leveraging economies of scale, PepsiCo, Inc. (NASDAQ:PEP) can reduce the cost base, resulting in more competitive pricing or higher investment in marketing and product innovation.
2. NIKE, Inc. (NYSE:NKE)
Stock Price as of March 25: $66.5
52-week Low: $65.1
Number of Hedge Fund Holders: 73
NIKE, Inc. (NYSE:NKE) is engaged in the designing, developing, marketing, and selling of athletic footwear, apparel, equipment, accessories, and services. Jefferies analyst Randal Konik reaffirmed a “Buy” rating on the company’s stock with a steady price objective of $115.00. The analyst showcased the positive signs from NIKE, Inc. (NYSE:NKE)’s latest product roll-outs and its progress in reducing the excess inventory. Furthermore, the analyst mentioned the swift restoration of the company’s relationships with wholesale partners. Overall, the price objective demonstrates a consistent view of the company’s value and growth potential despite the current market conditions.
Elsewhere, Alison Fok from DBS maintained a “Buy” rating on the company’s stock with a price objective of $115.00. The rating is backed by factors indicating growth potential and strategic improvements for NIKE, Inc. (NYSE:NKE). One of the critical reasons revolves around the launch of the NikeSKIMS line, which is a partnership with Kim Kardashian targeting the women’s fitness and activewear market. Furthermore, the company continues to take steps to revitalize its product offerings and marketing strategies. NIKE, Inc. (NYSE:NKE) remains focused on refreshing the footwear lineup and managing expenses in a bid to maximize consumer impact.
RiverPark Advisors, an investment advisory firm and sponsor of the RiverPark family of mutual funds, released its Q4 2024 investor letter. Here is what the fund said:
“NIKE, Inc. (NYSE:NKE): NKE shares were a top detractor in the quarter following better than expected fiscal second quarter results reported in December but worse than feared third quarter guidance. The company delivered $13.4 billion of revenue (roughly $1 billion better than expectations) and $1.9 billion of EBIT (roughly $500 million ahead of street consensus) and generated better than expected earnings of $1.03 (investors were looking for $0.78). Despite better operating metrics last quarter, the company dramatically lowered expectations for the fiscal third quarter including expectations for double-digit percentage declines in revenue. NKE’s new CEO, Elliot Hill, described several key issues negatively impacting the company’s growth trajectory including 1) a multi-year move away from a focus on sports, 2) a shift away from innovative demand creating marketing, 3) too much centralization, which has led to lack of execution capabilities in local markets, and 4) too much focus on Nike Digital, which negatively impacted the brands standing in the marketplace.
Nike is, by far, the leading athletic footwear, apparel, and equipment company in the world with over $50 billion in revenue, $6.7 billion in FY2024 annual free cash flow, and $10 billion of excess cash. We believe that over the long term, the global secular growth trend towards active wear will continue to aid Nike’s top-line growth driving gross and operating margin improvements and long-term mid-teens or higher annual EPS growth. In the short term, we believe that the company will work through the above headwinds and that revenue and earnings growth will reaccelerate in the next 12 months.”
1. Pfizer Inc. (NYSE:PFE)
Stock Price as of March 25: $25.55
52-week Low: $24.48
Number of Hedge Fund Holders: 92
Pfizer Inc. (NYSE:PFE) is engaged in discovering, developing, manufacturing, marketing, distributing, and selling biopharmaceutical products. The company remains focused on improving the productivity of its R&D pipeline and advancing the clear strategic priorities in 2025. Pfizer Inc. (NYSE:PFE) made significant progress with the commercial execution as well as achieved growth throughout its product portfolio for FY 2024, which includes $3.4 billion in revenue from its legacy Seagen portfolio, and healthy growth from the Vyndagel family, Eliquis, Xtandi, Nurtec, and several other products throughout all categories.
Pfizer Inc. (NYSE:PFE) saw 12% operational revenue growth of its non-COVID products in FY 2024, demonstrating its continued focus on commercial execution. The company has delivered on its $4 billion net cost savings target from the ongoing cost realignment program and has increased its overall savings target to ~$4.5 billion by the end of the year. Overall, strong commercial execution and global presence are expected to act as potential tailwinds. Pfizer Inc. (NYSE:PFE)’s global commercial infrastructure could be used to maximize the potential of Seagen’s approved products and pipeline candidates, resulting in the acceleration of market penetration and revenue growth. Also, the addition of Seagen’s products and pipeline supports the company in diversifying the revenue base, reducing the dependency on any single product or therapeutic area.
While we acknowledge the potential of PFE as an investment, our conviction lies in the belief that some deeply undervalued AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for a deeply undervalued AI stock that is more promising than PFE but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
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