2026 Market Drop. 5 Stocks to Buy Right Now.

The S&P 500 has been heading downward since oil prices started soaring last week. As the war with Iran goes on, affecting oil shipments from the Middle East, it's unclear if this will clear up fast or if there will be long-term effects.

While the market is dipping, many great stocks have gone on sale. Consider Carnival (NYSE: CCL)(NYSE: CUK), Apple (NASDAQ: AAPL), MercadoLibre (NASDAQ: MELI), Dutch Bros (NYSE: BROS), and On Holding (NYSE: ONON). They all have excellent prospects, but they're trading at a discount right now.

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1. Carnival

Carnival is the world's leading cruise operator, and although it's made a strong recovery from the pandemic, the stock is being hit hard again as oil prices rise. Oil is a major expense for cruise companies, and prices always play into their financial management and outlook. Carnival just reported record operating income, but a prolonged impasse for oil shipments could send it lower.

It's understandable that the market is worried, but this is likely to be a short-term trend that could end quickly. Otherwise, Carnival has been demonstrating phenomenal performance and resilience despite continued inflation and macroeconomic volatility. Demand remains high, it's paying down its debt, and it's investing for the future. Trading at only 12 times trailing 12-month earnings, Carnival looks like a bargain.

2. Apple

The market was disappointed in Apple recently due to its falling behind its mega-tech peers in artificial intelligence (AI) development. But as it demonstrates power in its ecosystem, with a 23% increase in iPhone sales year over year in its most recent quarter, investors have been recognizing its value. On top of that, the tide looks like it's turning in terms of investor sentiment about AI spending. Investors are getting worried about hyperscaler guidance for nearly $700 billion in capital expenditures this year, and it's looking like Apple's $1 billion deal to use Alphabet's Gemini large language model (LLM) instead of building it out its own might be the right way to go.

Apple stock is down 7% this year, and it's an excellent long-term value stock.

3. MercadoLibre

MercadoLibre is a powerhouse Latin American tech stock that's a leader in e-commerce and fintech. It's the dominant e-commerce player in 18 countries, and since its region is still underpenetrated, it has plenty of room to grow.

Despite outstanding performance in the 2025 fourth quarter, with a 47% year-over-year increase in revenue, the stock has been falling. Profits and margins have been compressed as the company invests in its platform, and the stock has dropped 14% this year. MercadoLibre stock is trading near a five-year low price-to-earnings (P/E) ratio of 42, making this a great opportunity to buy on the dip.

4. Dutch Bros

Dutch Bros is a young coffee shop chain that's growing quickly and has huge expansion opportunities. It has doubled its store count over the past four years that it's been a public company to more than 1,000, and it's planning to double it again, reaching 2,029 stores by 2029. In the long term, it anticipates reaching 7,000 stores.

Revenue increased 29% year over year in the 2025 fourth quarter, including a 7.7% increase in same-store sales. Net incomes rose from $6.4 million to $29.2 million.

However, the market seems to be worried about how it will perform in a continued inflationary environment. The stock had also become extremely expensive, even when factoring in its opportunities. Dutch Bros stock is down 18% this year, and it trades at a P/E ratio of 50. That's still a premium, implying that the market is still excited about its future.

5. On

On is a young, Swiss-based athletic wear company that's making its mark among fitness enthusiasts. It's capturing the premium market, and its marketing to affluent customers provides resilience under pressure. Sales are growing fast, in contrast with most of its peers, and it has the highest gross margin in the industry despite rising costs and a challenging operating environment. In Q4 2025, sales were up 30% year over year, and gross margin expanded from 62.1% to 63.9%.

On stock is down 16% year to date, and it trades at a P/E ratio of 52, a large discount to its three-year average of 100. Now is a great time to stock up on shares and hold for the long term.

Jennifer Saibil has positions in Apple, Dutch Bros, MercadoLibre, and On Holding. The Motley Fool has positions in and recommends Alphabet, Apple, Dutch Bros, MercadoLibre, and On Holding and is short shares of Apple. The Motley Fool recommends Carnival Corp. The Motley Fool has a disclosure policy.