Sony Group Leads List of Undervalued Blue-Chip Stocks
Sony Group Corp is the most affordable stock on Morningstar's list of best blue-chip stocks to buy for the long term, according to data as of Sept. 22, 2026. The company's shares are trading 31% below its fair value estimate of $34 per share.
Sony Group has a market capitalization of $138.4 billion and offers a forward dividend yield of 0.68%, according to the firm's assessment. The company holds the largest global market share in the image sensor business, with the majority of sales coming from the mobile market due to strong demand for improved smartphone camera quality.
Sony has transformed its business model over the past decade by reducing consumer electronics volatility and aggressively investing in content acquisitions for entertainment businesses such as music, movies, and games. In its TV business, Sony is focused on avoiding losses by concentrating on premium products and strictly managing inventories.
Criteria for Selecting Undervalued Blue-Chip Stocks
To compile the list of undervalued blue-chip stocks, Morningstar screened for companies with wide Economic Moat Ratings, predictable cash flows, smart capital-allocation management teams, undervalued stocks based on price/fair value metrics, and market caps above $100 billion as of Sept. 22, 2026.
The list includes Sony Group, SAP, S&P Global, Lowe’s, PepsiCo, Alphabet, Lockheed Martin, Charles Schwab, Amphenol, Microsoft, and Disney.
Definition and Characteristics of Blue-Chip Stocks
Blue-chip stocks are from companies that are large, well-established, and financially sound. These companies have strong brand names and reputations, and they generate dependable earnings. Blue-chip companies usually boast consistent dividends and are often considered less risky, given their financial stability.
However, investors may differ in how they define blue-chip companies. Some investors demand that a blue-chip stock be included in a particular index, such as the Dow Jones Industrial Average. Others may include only companies with specific financial metrics or market capitalizations.