11 Undervalued Chemical Stocks to Buy Now

1. DuPont de Nemours, Inc. (NYSE:DD)

Forward P/E: 16.89

Number of Hedge Fund Holders: 58

DuPont de Nemours, Inc. (NYSE:DD), or simply DuPont, is an American multinational chemical and materials company. It provides technology-based materials and solutions to various markets including electronics, transportation, construction, water, healthcare, and worker safety. DuPont de Nemours, Inc. (NYSE:DD) ranks among the best chemical stocks to invest in.

On February 13, Barclays analyst Duffy Fischer upgraded the rating on DuPont de Nemours, Inc. (NYSE:DD) from “Underweight” to “Equal-Weight” and raised the price target to $89 from $85. Fischer suggested that the company is uniquely positioned as electronic chemicals is a segment that is experiencing genuine growth, driven by both secular trends such as data centers and AI, as well as cyclical factors like the rebound in printed circuit board (PCB) and smartphone industries. The rising investments in AI further support the view that the momentum in electronic chemicals will persist. The analyst also noted that electronic chemicals, unlike other AI-related sectors such as utilities or multi-industrials, have not experienced excessive valuation multiple expansions. This indicates that the electronic chemicals segment might be less likely to experience valuation contraction from market fluctuations, unlike other sectors that were affected by recent events like the “DeepSeek impact”.

Overall, DD ranks first among the 11 undervalued chemical stocks to buy now. While we acknowledge the potential of chemical companies, our conviction lies in the belief that some 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 DD 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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