In this article, we explore the 10 High-Growth Low-PE Stocks to Buy Now.
The resilience of the US equity market is not showing any signs of fading, supported by a strong US economy, solid fourth-quarter 2025 earnings, and accommodative monetary policies. The easing of trade and tariff-related issues has also strengthened the case for high-growth stocks despite the premium valuations.
Wall Street strategists anticipate continued corporate earnings growth in 2026, a positive signal for equity investors. Consensus forecasts project S&P 500 company earnings will rise by 15.5% this year, compared to estimated growth rates of 13.2% for 2025 and 12.1% for 2024, supporting confidence in the market’s fundamental outlook.
“We are still pretty optimistic in terms of our outlook for U.S. equities. We’re pretty upbeat, relatively bullish,” says Kristy Akullian, head of iShares investment strategy for the Americas at BlackRock.
Growth stocks with an aggressive revenue-growth trajectory continue to outperform the market amid strengthened investor confidence. Similarly, Andrew Greenebaum, senior vice president of equity research product management at Jefferies, insists there is potential rotation in the equity market into value stocks.
“Value has gained a lot of ground versus growth recently, but if you look further back – even just to the start of the Fed’s last hike cycle – there is plenty of room for outperformance,” Greenebaum said.
While baseline expectations remain constructive, some US economists expect muted economic growth in 2026. This environment could present an opportune moment to focus on growth stocks trading at highly discounted valuations. In particular, stocks with low multiples to forward earnings may offer strong potential despite market concerns.
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Our Methodology
To curate 10 High-Growth Low-PE Stocks to Buy Now, we sifted through high-growth ETFs and compiled a list of their holdings. From the list, we identified companies whose sales have grown by more than 20% and boast an upside potential of more than 10%. We trimmed the list by focusing on stocks trading with a forward price to earnings multiple of less than 15, and are popular among elite hedge funds in the third quarter of 2025. Finally, we ranked the stocks in ascending order of the upside potential.
Note: The stock’s Forward P/E and upside potential data are as of February 11, 2026.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research shows we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
High-Growth Low-PE Stocks to Buy Now
10. Coterra Energy Inc. (NYSE:CTRA)
5-Year Revenue Growth: 22.43%
Forward P/E: 13.19
Stock Upside Potential: 11.11%
Number of Hedge Fund Holders: 47
Coterra Energy Inc. (NYSE:CTRA) is one of the high-growth, low P/E stocks to buy now. On February 6, Wolfe Research touted Coterra Energy Inc. (NYSE:CTRA) as one of its top oil-sector picks, poised to benefit from heightened merger and acquisition activity.
According to the research firm, there are unique opportunities in an industry that is consolidating and evolving in response to changing market dynamics. Consequently, it maintained an Outperform rating on the stock and raised the price target to $35 from $32.
Earlier, on February 2, Coterra Energy Inc. reached an agreement to merge with Devon Energy Corp. in an all-stock transaction. The merger will result in the largest US shale operator, with an enterprise value of about $58 billion.
Under the terms of the agreement, Coterra shareholders are to receive 0.70 shares of Devon Common stock for each share held. Once the deal closes, Devon shareholders will own 54% of the combined company, with Coterra shareholders owning the remaining 46%. The combined company is to achieve $1 billion in annual pretax synergies by the end of 2027.
Coterra Energy Inc. (NYSE:CTRA) is an independent Houston-based company focused on the exploration, development, and production of oil, natural gas, and natural gas liquids within the United States. Operating in the Permian Basin, Marcellus Shale, and Anadarko Basin, Coterra develops high-quality, low-cost assets to provide energy resources.
9. Delta Air Lines, Inc. (NYSE:DAL)
5-Year Revenue Growth: 29.96%
Forward P/E: 10.32
Stock Upside Potential: 11.20%
Number of Hedge Fund Holders: 70
Delta Air Lines, Inc. (NYSE:DAL) is one of the high-growth, low P/E stocks to buy now. On February 4, the Delta Air Lines, Inc. (NYSE:DAL) board approved a quarterly dividend of $0.1875. The dividend is to be paid on March 19, 2026, to shareholders of record as of February 26, 2026. The company has increased its dividend payments for 3 consecutive years, with 25% growth in the past year.
Earlier, on January 27, Delta Air Lines reiterated its plans to expand and modernize its international fleet. The company confirmed plans to purchase 31 Airbus wide-body jets as it seeks to address strong demand from corporate and high-income travelers.
The airline has already placed orders for 16 A330-900s and 15 A350-900s, with deliveries scheduled for 2029. In addition, the new deal combines a new order that will result in the conversion of 10 previously held options into firm purchases. It also includes options for 20 additional wide-body aircraft. The new aircraft are to be used for medium and long-haul flights.
The new orders come as Delta Airlines increasingly leans towards newer, more fuel-efficient aircraft that reduce fuel burn. It is also in the process of replacing older Boeing 767s and early-generation Airbus A330s. The push is part of an effort to capitalize on resilient premium international demand.
Delta Air Lines, Inc. (NYSE:DAL) is a major American airline providing scheduled air transportation for passengers and cargo across a vast global network. It operates thousands of daily flights to hundreds of destinations, specializing in passenger travel, cargo logistics, aircraft maintenance, and vacation packages.