Best 2 Blue Chip Stocks to Buy After Last Week's Market Pullback

1 hour ago 1

Justin Pope, The Motley Fool

Tue, May 26, 2026 astatine 4:41 AM CDT 5 min read

The banal marketplace simply isn't going to spell up each the time. Even during the champion of times, the broader marketplace volition person an disconnected week oregon month; you conscionable ne'er know. Volatility isn't amusive for anyone, but it's however semipermanent investors tin get a limb up connected the market.

You see, erstwhile the tide goes retired and the broader marketplace declines, blue spot stocks, the champion companies connected Earth, often spell down, too. That's a immense accidental for investors due to the fact that determination whitethorn not beryllium thing incorrect with the concern itself -- it's conscionable the marketplace doing what the marketplace does.

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The caller pullback has created immoderate coagulated buying opportunities. Here are 2 bluish spot concern stocks that presently look similar 2 of the champion buys you tin make.

Military combatant pitchy successful the sky.

1. Lockheed Martin

The world's largest defence manufacturer, Lockheed Martin (NYSE: LMT), isn't a get-rich-quick stock, but it's a bluish spot institution successful each consciousness of the term. History has shown that the satellite seldom remains peaceful for long. As unfortunate arsenic that is, it creates a dependable request for the assorted weapons, vehicles, aircraft, and different technologies Lockheed Martin sells to the U.S. and its subject allies.

The ongoing warfare successful the Middle East has depleted arsenals, prompting the U.S. Department of Defense to motion a multi-year statement to triple and quadruple accumulation of assorted missiles. Lockheed Martin besides produces the F-35 Lightning II combatant jet, the astir costly craft programme successful modern history, and a halfway gross operator going guardant arsenic it continues to bring caller craft into work and rack up attraction and repair services.

While Lockheed Martin's backlog did shrink somewhat from the anterior quarter, it remains precise steadfast astatine $186 cardinal aft the archetypal 4th of 2026. The Trump Administration has made it wide that the authorities aims to proceed spending heavy connected defence implicit the adjacent fewer years, truthful it wouldn't beryllium a astonishment to spot the backlog turn again successful the adjacent future.

Analysts estimation the institution volition turn its net by an mean of 18% annually implicit the adjacent 3 to 5 years, which should construe to superior gains and steadfast dividend increases. Lockheed Martin banal presently trades good beneath its 52-week high, which, successful this case, has priced shares astatine an charismatic valuation astatine nether 18 times 2026 net estimates. Plus, investors get a coagulated 2.6% dividend output astatine the existent stock price.

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