After three consecutive years of above-average gains, the S&P 500 is off to a volatile start to 2026. The S&P 500’s forward earnings multiple of 22.2 is currently well above its 10-year average of 18.8, raising concerns about potentially bloated stock prices. In other words, stock selection may be critically important for investors in 2026.
[Sign up for stock news with our Invested newsletter.]
The 10 best stocks to buy included below are all recommended by Argus analysts and have a Thomson Reuters consensus rating of “positive,” an Argus A6 quantitative rating of “buy” and a Market Edge rating of “long”:
| Stock | Implied change* |
| Consolidated Edison Inc. (ticker: ED) | 3.3% |
| Fastenal Co. (FAST) | 14.3% |
| Regions Financial Corp. (RF) | 11.8% |
| Masco Corp. (MAS) | 16.6% |
| Cintas Corp. (CTAS) | 13.5% |
| Pilgrim’s Pride Corp. (PPC) | 5.9% |
| Zions Bancorp. N.A. (ZION) | 6.5% |
| Paccar Inc. (PCAR) | -0.9% |
| Lockheed Martin Corp. (LMT) | -8.9% |
| Chubb Ltd. (CB) | 1.5% |
*From Jan. 26 closing price, using latest available Argus price targets.
Consolidated Edison Inc. (ED)
Consolidated Edison is a regulated energy utility company that provides gas, electric and steam services in New York City and other areas of New York and New Jersey. The company’s main business operations include the regulated electric, gas and steam operations of Consolidated Edison Co. of New York, the transmission services of Con Edison Transmission and the electric and gas utility operations of Orange and Rockland Utilities. Analyst Marie Ferguson says Consolidated Edison has already filed for additional rate hikes for early 2026, suggesting ongoing earnings growth ahead. Argus has a “buy” rating and $108 price target for ED stock, which closed at $104.59 on Jan. 26.
Fastenal Co. (FAST)
Fastenal is a leading industrial distributor that sells fasteners, safety supplies, and other tools and products, as well as supply chain solutions for manufacturing and non-residential construction clients. Analyst Kristina Ruggeri says Fastenal has overcome inflationary margin pressures and sluggish end markets and has relied on its Onsite distribution centers and other technological innovations to maintain growth. The Onsite locations are within or near customers’ facilities, emphasizing convenience. Ruggeri says Fastenal is positioned for additional market share gains, and its industry is showing early signs of a rebound. Argus has a “buy” rating and $50 price target for FAST stock, which closed at $43.73 on Jan. 26.
Regions Financial Corp. (RF)
Regions Financial is a U.S. regional bank that provides banking and wealth management services in 16 states in the South and Midwest regions. Analyst Kevin Heal says expectations that the Federal Reserve will cut short-term interest rates and steepen the yield curve have fueled an uptick in capital markets segment activity and growth in Regions’ lending pipeline. The company recently reported record growth in its wealth management business and guided for low-single-digit deposit growth in 2026, and Heal also anticipates elevated net interest margins. Argus has a “buy” rating and $31 price target for RF stock, which closed at $27.74 on Jan. 26.
Masco Corp. (MAS)
Masco is one of the world’s leading producers of faucets, coatings and other consumer brand-name building and home improvement products. Analyst Christopher Graja says Masco’s financial performance has been impressive, and the company’s efficiency and innovation have allowed it to overcome a difficult market for home improvement products. Graja says Masco also has a strong track record of innovation and brand management, noting that between 25% and 30% of the company’s sales typically come from products that have been launched within the past three years. Argus has a “buy” rating and $80 price target for MAS stock, which closed at $68.59 on Jan. 26.
Cintas Corp. (CTAS)
Cintas is a leading supplier of corporate identity uniforms. The company also provides cleaning services and supplies, as well as first aid products. Ruggeri says Cintas has a long history of earnings and dividend growth, as well as a track record of stock market outperformance. She says the company’s combination of new client wins and recurring revenue from existing customers has helped Cintas maintain solid sales growth. In addition, the company’s growing customer base provides plenty of opportunities to cross-sell products from its large portfolio of offerings. Argus has a “buy” rating and $220 price target for CTAS stock, which closed at $193.89 on Jan. 26.
Pilgrim’s Pride Corp. (PPC)
Pilgrim’s Pride supplies fresh, frozen, and value-added chicken and pork products to distributors, retailers and food service operators. Analyst John Staszak projects high pork and beef prices will increase chicken demand at both fast food chains and grocery stores. He says chicken sales will likely exceed other protein sales in mature markets and emerging markets. He also anticipates low-single-digit chicken supply growth percentages for the next five years. Staszak says Pilgrim’s Pride has opportunities for margin expansion and plenty of cash flow to invest in future growth opportunities. Argus has a “buy” rating and $45 price target for PPC stock, which closed at $42.49 on Jan. 26.
Zions Bancorp. N.A. (ZION)
Zions Bancorp. is a U.S. regional bank that operates seven different brands of bank branches in the western U.S. in states such as Utah, California and Texas. Its leading bank brands include Zions Bank, California Bank & Trust and Amegy Bank. Heal says Zions shares are attractively valued given the bank’s deposits are stabilizing and the Trump administration will likely take a bank-friendly stance on regulations. He is bullish on Zions’ risk management and financial performance, as well as its improvements to retail customer service. Argus has a “buy” rating and $63 price target for ZION stock, which closed at $59.18 on Jan. 26.
Paccar Inc. (PCAR)
Paccar is a heavy-duty truck manufacturer that produces the popular Peterbilt, DAF and Kenworth brand highway trucks. Paccar also provides financial services, truck parts and transportation tech solutions. Analyst Bill Selesky says Paccar has a reputation for producing high-quality trucks and has successfully created a niche for itself by focusing on premium vehicles that offer drivers enhanced comfort and reliability. While operating margins have been pressured as of late, Selesky says Paccar’s new truck deliveries, margins and sales will begin to improve in early 2026. Argus has a “buy” rating and $121 price target for PCAR stock, which closed at $122.11 on Jan. 26.
Lockheed Martin Corp. (LMT)
Lockheed Martin is one of the world’s largest defense, security and intelligence firms and is also an important supplier to NASA and other non-defense government agencies. The company produces missile and targeting systems, as well as mission systems for ships, submarines and aircraft. It also manufactures Black Hawk and Seahawk military helicopters. Ruggeri says ongoing global geopolitical tensions will boost international defense sales and earnings growth in 2026 and beyond, which is good news for Lockheed given more than 25% of its revenue comes from international markets. Argus has a “buy” rating and $530 price target for LMT stock, which closed at $589.66 on Jan. 26.
Chubb Ltd. (CB)
Chubb is a property and casualty insurance company that provides commercial insurance and reinsurance. The company also underwrites life and health insurance and has a high-end personal lines insurance franchise. Heal says Chubb has an experienced management team, a valuable international brand and a strong balance sheet. He says Chubb’s underwriting results have been solid, and its core operating earnings (excluding catastrophes) recently hit record highs. Heal says Chubb’s margins have been improving, its retention rates have been high and it is expanding its international operations. Argus has a “buy” rating and $308 price target for CB stock, which closed at $303.49 on Jan. 26.
[READ: 9 Best Growth Stocks for the Next 10 Years]
More from U.S. News
7 Best Oil and Gas Stocks to Buy in 2026
7 Best Long-Term ETFs to Buy and Hold
10 of the Best Stocks to Buy for 2026 originally appeared on usnews.com
Update 01/27/26: This story was published at an earlier date and has been updated with new information.
