5 Best Undervalued Stocks According to Hedge Funds

2. Laboratory Corporation of America Holdings (NYSE:LH)

Number of Hedge Fund Holders: 60 

PE Ratio: 10.84

Laboratory Corporation of America Holdings (NYSE:LH) is an independent clinical laboratory firm. The company generates over 60% of annual revenue from the diagnostics market and is set to grow in this domain for the coming ten years despite a decrease in COVID-related diagnostic revenue. The firm registered over 12% revenue growth and more than 20% EPS growth per year in the last decade.

Elite hedge funds hold large stakes in Laboratory Corporation of America Holdings (NYSE:LH). Among the hedge funds being tracked by Insider Monkey, New York-based investment firm Melvin Capital Management is a leading shareholder in Laboratory Corporation of America Holdings (NYSE:LH) with 1.9 million shares worth more than $620 million.