Key Points

• WBD, ABNB, and CRM are magnificent value bets that Bill Nygren’s fund picked up in Q2.
• The markets might be expensive, but Nygren’s latest Q2 bests are full of value options!
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Legendary billionaire investor Bill Nygren and his team over at the Oakmark Select fund made quite a few notable moves in the second quarter. Many of the buys were not only intriguing, but seemed to scream of value. Given he’s a value investor who’s not shy away from some of the more unloved corners of the market, the following second-quarter bets shouldn’t come across as too surprising.

Either way, I think the names are worth stashing on a radar or even buying if you’re able to achieve a more desirable entry point going into year’s end. At this juncture, though, it doesn’t look like the market is all too upset about the U.S. government shutdown. Not with that recent rate cut dealt by the Fed and hopes for more in the coming months.

Either way, don’t let market-wide overvaluation concerns deter you from picking the value stocks that do exist out there. In this piece, we’ll check in on three cheap-looking stocks that Nygren’s fund recently shed a bright light on. I’m tempted to pursue them in the fourth quarter, especially if there’s a pullback by the time the holiday season rolls around.

Warner Bros. Discovery

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Warner Bros. Discovery(NYSE:WBD)just so happened to be one of the best performers of the third quarter. So, hats off to Nygren and Oakmark for picking such a timely winner in the second quarter. Indeed, shares of the hard-hit media firm clocked in some very strong earnings. As things look up for streaming and the box office (the Minecraft movie was a hit), it’s tempting to pursue the Q3 winner, even though the price of admission has gone way up since Nyrgren likely bought.

Add the recent Paramount Skydance merger talks into the equation, and the case for buying in the high-teens, I think, still makes a lot of sense. Indeed, it took some time for the merger to start showing promise. Now that there’s upside momentum behind the name and the potential for further industry consolidation, I continue to view shares as a very interesting, even after gaining more than 72% in the past three months.

Airbnb

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Airbnb(NASDAQ:ABNB)wasn’t quite the Q3 winner that WBD was. In fact, it’s actually down around 12% in the past three months, providing value investors a second window of opportunity to pick up a few shares of the alternative accommodations kingpin. Of course, there’s no easy solutions for Airbnb, which has gone nowhere for a few years now.

With recent pressures hitting consumers, one would think Airbnb would be an easy sell, given it’s a travel play that hasn’t been working all too well. In any case, lodging won’t stay in a funk forever. And for investors who can get in at a depressed multiple, I do think the long-term risk/reward is looking too good to pass up.

For value investors who have time to wait for things to play out, I like the name, perhaps a bit more than WBD. With shares going for 24.8 times forward price-to-earnings (P/E), I like the sticker price for the wide-moat firm that’s well-positioned to boom once consumers are ready to spend again.

Salesforce

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Salesforce (NYSE:CRM)is a cloud software stock that’s been really left behind as AI has powered many of its tech peers higher in recent quarters. The stock has lost more than a third of its value from its late-2024 peak, and things don’t seem to be looking all too upbeat, not after the post-earnings guidance dealt out in the last quarter. Indeed, Marc Benioff needs to start showing his investors what Agentforce is truly capable of.

Indeed, the agentic AI platform may still be in its early innings, but sooner or later, it’s going to need to post numbers that get investors excited enough to buy the stock. Sooner or later, investors will run out of patience and go for one of the AI plays that’s working.

With Nygren initiating a new position in the firm, I do think that it’s time to view Benioff’s empire as a deep value option with underrated AI tailwinds. At 18.8 times forward P/E, CRM stock has arguably never been this cheap! It’s a name like Salesforce that leads me to believe that maybe we’re not in an AI bubble, after all!

In any case, if Agentforce can accelerate adoption, I think its stock could really surprise investors in 2026.

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