Skip to Content

New 5-Star Stocks

These names are all significantly undervalued by our standards after the market rout.

Editor’s note: Read the latest on how the coronavirus is rattling the markets and what investors can do to navigate it.

Fueled by ongoing coronavirus concerns, the market experienced its worst session since 1987 on Monday, with the S&P 500 skidding nearly 12%.

Long-term investors often view volatility as their friend: A market downturn can provide a chance to increase our positions in existing holdings or initiate new positions in stocks we've been eyeing. In a lengthy and wide-ranging interview with CNBC in late February (as the market was down about 3%), Warren Buffett acknowledged that the coronavirus will have a near-term impact on companies that he owns, but he also noted that it likely won't make a difference when it comes to their 10- or 20-year outlooks. He added that if the market gives you an opportunity to buy something you like for far less than it was the day before, you're in luck.

Dozens of companies that our analysts cover edged into 5-star range yesterday--which means they're significantly undervalued by our measures. Don't think of this as a list of "buys," though. Instead, think of it as a collection of names to investigate further.

Dig Deeper: The Morningstar Rating for Stocks Do's and Don'ts

When bargain hunting, be sure to consider company fundamentals and valuations--but don't overlook your risk tolerance and time horizon, too.

Wide Nike NKE Polaris PII Blackbaud BLKB Magellan Midstream Partners MMP Starbucks SBUX Intel INTC CRM McDonald's MCD CSX CSX Medtronic PLC MDT Yum Brands YUM Unilever UN Diageo PLC DEO Reckitt Benckiser Group PLC RBGLY

Narrow Broadcom AVGO SS&C Technologies Holdings SSNC NXP Semiconductors NXPI Dunkin' Brands Group DNKN Splunk SPLK Pentair PLC PNR Diamondback Energy FANG MPLX MPLX Liberty Forumula One Group FWONA FWONK BRP DOOO Ring Central RNG CNH Industrial CNHI Viper Energy Partners VNOM Workiva WK Summit Materials SUM Pearson PLC PSO Basf SE BASFY Fomento Economico Mexicano SAB de CV FMX America Movil SAB de CV AMOV KT Corp KT Royal Philips NV PHG Koninklijke KPN NV KKPNY First Energy FE Tallgrass Energy LP TGE Fortive FTV Valvoline VVV Fox Corp FOX Pinterest PINS Myriad Genetics MYGN Asbury Automotive Group ABG Sealed Air SEE AutoNation AN Cognizant Technology Solutions CTSH Las Vegas Sands LVS Citigroup C Laboratory Corp. of America Holdings LH New Jersey Resources NJR Pinnacle West Capital Group PNW Anthem ANTM Anixter International AXE Sysco SYY ONEOK OKE NiSource NI Entergy ETR Edison International EIX ETrade ETFC Pioneer National Resources PXD Sempra Energy SRE Oshkosh OSK UBS Group UBS John Bean Technologies JBT

None Technip FMC PLC FTI Oasis Petroleum OAS Caesar's Entertainment CZR Laredo Petroleum LPI Five Below FIVE RH RH FireEye FEYE Parsley Energy PE Hewlett Packard Enterprises HPE Canon CJ Barclays PLC BCS BNP Paribas BNPQY Gildan Activewear GIL Magna International MGA First Solar FSLR Kirby Corp KEX Lennar LEN AECOM ACM Farfetch FTCH PNC Financial PNC Regency Centers REG Toll Brothers TOL Federal Realty Investment Trust FRT Host Hotels & Resorts HST Mohawk Industries MHK Steel Dynamics STLD WW International WW Manulife Financial MFC

More on this Topic