3 Must-Buy Undervalued Stocks for Long-Term Investment in June 2024

Finding the right stocks to invest in can be challenging, especially in a volatile market. However, seven stocks stand out as undervalued gems with high growth potential.

These companies, leading in sectors like advanced processors, social media, AI, and financial services, are poised for significant long-term gains. Let’s explore what makes these stocks worth considering for your portfolio.

Advanced Micro Devices (AMD)

Advanced Micro Devices (NASDAQ) is a major player in the semiconductor industry, designing and manufacturing computer processors.

Investigating Advanced Micro Devices's Standing In Semiconductors & Semiconductor Equipment Industry Compared To Competitors – Advanced Micro Devices ( NASDAQ:AMD ) https://t.co/mj4HwQ51OW

— John (@FintechAlgo) June 17, 2024

AMD’s client segment revenue surged to $1.4 billion, an 85% increase from the previous year, driven by the widespread adoption of Ryzen processors in commercial PCs. HP (NYSE) and other major partners have integrated Ryzen CPUs, reflecting AMD’s growing market share.

AMD’s Ryzen Pro portfolio, featuring AI accelerators and enhanced security, is designed to meet industry demands, gaining popularity among commercial PC makers.

“Our Ryzen processors continue to see strong market acceptance,” noted an AMD spokesperson. Despite challenges in the embedded sector, advancements in edge AI present substantial opportunities, solidifying AMD as a top undervalued stock to buy and hold.

Meta Platforms (META)

Meta Platforms (NASDAQ), the parent company of Facebook, Instagram, and WhatsApp, recorded a robust performance with $36.5 billion in total sales for Q1 2024, marking a 27% year-over-year increase.

The significant rise was driven by a 27% increase in ad revenue from its Family of Apps category, which contributed $35.6 billion.

Meta’s revenue diversification strategy saw substantial gains in Europe (33%) and the Rest of the World (40%). Additionally, Meta’s AI advancements, powered by the Llama 3 model, enhance user experience across its platforms.

“Our investments in AI are setting the stage for future revenue growth,” stated Meta’s CEO. With these developments, Meta remains a compelling choice for long-term investment.

Intel (INTC)

Intel (NASDAQ), a leader in semiconductor manufacturing, reported an increase in operating profit by $2.1 billion year-over-year, with a 28% operating margin in Q1 2024.

Despite sales challenges, Intel’s advancements in AI and data centre products, like the Intel Gaudi 3 AI accelerator, promise significant efficiency gains and faster processing speeds.

Intel’s strategic moves in advanced node technology and factory utilization improvements position it well for future growth.

“Our focus on innovation and operational excellence continues to drive our success,” said an Intel spokesperson. As Intel strengthens its foundry capabilities and processor technologies, it remains a key pick for undervalued stocks to invest in and hold for the long term.

Conclusion

These seven stocks represent some of the best opportunities for investors seeking undervalued assets with strong growth potential. Companies like AMD, Meta, and Intel, through their technological innovations and strategic market positions, offer compelling cases for long-term investment.

As these firms continue to lead in their respective industries, they provide solid arguments for being included in any diversified investment portfolio.