3 Undervalued Stocks to Buy Now, 6/5/2025, According to Analysts 

Amid the chaos caused by President Trump’s tariffs, value stocks present opportunities for investors seeking stability in the market. Value investing involves picking stocks that appear to be trading lower than their intrinsic or book value. This approach involves looking for undervalued stocks with strong fundamentals and growth potential. By investing in these stocks, investors can achieve significant returns once the market recognizes their true value.

One way to identify value stocks is by comparing a company’s price-to-earnings (P/E) ratio with industry averages or its historical P/E ratios. This ratio compares a company’s stock price to its earnings per share. It must be noted that a lower P/E ratio may indicate that the stock is undervalued. Along with this, we have zeroed in on stocks that have received Strong Buy ratings from Wall Street analysts. 

Here are this week’s stocks:

Advanced Drainage Systems (WMS) – WMS makes high-performance thermoplastic pipes and water management solutions for infrastructure, agriculture, and construction projects. It has a Strong Buy analyst consensus rating and an average price target of $29, implying a 24.87% upside potential from the current levels. The company’s P/E of 19.23x is trading at a 17.4% discount to the Industrials sector’s median of 23.29.

Tenet Healthcare (THC) – This diversified healthcare services company operates hospitals, outpatient centers, and provides healthcare support services. Its average price target of $184.71 implies an 8.72% upside potential from the current levels. THC stock has a Strong Buy consensus rating. The company’s P/E of 11.23x is trading at a 57.9% discount to the Healthcare sector’s median of 26.66.

Western Digital (WDC) – This data storage company designs, manufactures, and sells hard drives, SSDs, and data solutions. It has a Strong Buy analyst consensus rating and an average price target of $58.78, implying a 7.99% upside potential from the current levels. The company’s P/E of 10.35x is trading at a 62.1% discount to the Technology sector’s median of 27.33.