If you are looking for a profitable portfolio of stocks offering the best of value and growth investing, you can try the growth at a reasonable price or GARP strategy.

The strategy helps investors gain exposure to undervalued stocks with impressive prospects. Unlike a blend strategy, a portfolio that uses GARP investing is expected to include stocks that offer the best of value and growth investing. Tapestry (TPR Quick QuoteTPR - Free Report) , Autodesk (ADSK Quick QuoteADSK - Free Report) , Chewy (CHWY Quick QuoteCHWY - Free Report) and Howmet Aerospace (HWM Quick QuoteHWM - Free Report) are some GARP stocks that hold promise.

GARP Metrics: Mix of Growth & Value Metrics

The GARP strategy seeks to offer an ideal investment by utilizing the best features of value and growth investing. Investors adopting the GARP approach prefer buying stocks priced below the market or any reasonable target determined by fundamental analysis. These stocks also have solid prospects in terms of cash flow, revenues, earnings per share (EPS) and so on.

Growth Metrics

A strong earnings growth history and impressive earnings prospects are the main concepts that GARP investors borrow from the growth investing strategy. However, instead of super-normal growth rates, pursuing stocks with a more stable and reasonable growth rate is a tactic of GARP investors. Hence, growth rates between 10% and 20% are considered ideal under the GARP strategy.

Another metric that growth and GARP investors consider is return on equity (ROE). GARP investors look for a strong and higher ROE than the industry average to identify superior stocks. Stocks with positive cash flows find precedence under the GARP plan.

Value Metrics

GARP investing prioritizes popular value metrics, the price-to-earnings (P/E) and price-to-book (P/B) ratios. Though this investing style picks stocks with higher P/E ratios than value investors, it avoids companies with extremely high P/E ratios.

Using the GARP principle, we ran a screen to identify stocks that should offer solid returns in the near term.

Screening Parameters

Along with the criteria discussed in the above section, we have considered a Zacks Rank #1 (Strong Buy) or 2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here.

Last 5-year EPS & projected 3-5-year EPS growth rates between 10% and 25% (Strong EPS growth history and prospects ensure improving business.)

ROE (over the past 12 months) greater than the industry average (Higher ROE than the industry average indicates superior stocks.)

P/E and P/B ratios less than the M-industry average (P/E and P/B ratios less than that of the industry indicate that the stocks are undervalued.)

Here are four stocks from the 25 that made it through the screening process.

Tapestry presents a compelling investment case grounded in compounding profitable growth. The company posted record second-quarter fiscal 2026 revenues of $2.5 billion, up 14% year over year, with pro forma growth of 18%. The Coach brand achieved a standout 25% pro forma gain, while double-digit growth emerged across North America, Greater China and Europe. Non-GAAP EPS surged 34% to $2.69, accompanied by 620 basis points of GAAP operating margin expansion. Tapestry raised full-year fiscal 2026 revenue guidance above $7.75 billion and non-GAAP EPS to $6.4–$6.45. In March 2026, the company paid a quarterly dividend of 40 cents per share. Its Amplify strategy and focused two-brand portfolio following the Stuart Weitzman divestiture sharpen operational priorities, supporting strong, durable growth momentum through 2026.

The Zacks Consensus Estimate for this Zacks Rank #2 company’s fiscal 2026 earnings has moved north by 3.9% to $6.45 per share in the past 30 days. The company surpassed the Zacks Consensus Estimate in all the trailing four quarters, the average surprise being 12.84%.

Autodesk enters fiscal 2027 on a compelling fundamental footing. The company delivered fiscal 2026 revenue of $7.2 billion, up 18% year over year, while free cash flow surged 54% to $2.4 billion, demonstrating powerful operating leverage. Recurring revenue at 97% of total provides exceptional visibility. The March 24, 2026, integration of Autodesk Construction Cloud into the Autodesk Forma industry cloud creates a unified platform connecting planning, design, and construction workflows for the AECO sector. In April 2026, the company launched Forma Building Design and expanded Autodesk Assistant's agentic AI capabilities across Revit and AutoCAD 2027, deepening platform stickiness. For fiscal 2027, Autodesk guides revenues of $8.1–$8.17 billion and free cash flow of $2.7–$2.8 billion, underpinning a durable growth trajectory.

The Zacks Consensus Estimate for this Zacks Rank #2 company’s fiscal 2027 earnings has moved north by 8% to $12.38 per share in the past 60 days. The company surpassed the Zacks Consensus Estimate in all the trailing four quarters, the average surprise being 7.5%.

Chewy closed fiscal 2025 with net sales of $12.60 billion, growing 8.3% on a normalized basis, while adjusted EBITDA surged 26% to $719.2 million and free cash flow reached a record $562 million. Autoship sales representing 83.3% of revenue underscore a sticky, subscription-like demand model that supports revenue visibility. Gross margin expanded 60 basis points to 29.8%, and the active customer base grew 4% year over year to 21.3 million, with net sales per active customer rising to $591. For fiscal 2026, management guided for an adjusted EBITDA margin of 6.6%–6.8%, indicating roughly 100 basis points of year-over-year expansion, with EBITDA growth expected to outpace net sales growth by approximately 3x. The pending acquisition of Modern Animal, a technology-forward veterinary platform, accelerates Chewy's evolution toward a fully integrated pet healthcare ecosystem. Additionally, the board approved a $500 million increase to its share repurchase program in April 2026, reinforcing capital return discipline and management's confidence in the business outlook.

The Zacks Consensus Estimate for this Zacks Rank #2 company’s fiscal 2026 earnings has moved north by 3.8% to $1.63 per share in the past 60 days. Its earnings surpassed the Zacks Consensus Estimate in three of the trailing four quarters while missing once, the average surprise being 1.51%.

Howmet Aerospace enters 2026 powerfully positioned. Fiscal 2025 produced record revenue of $8.3 billion, up 11% year over year, with adjusted EPS growing 40% to $3.77 and operating income margin expanding 280 basis points to 24.8%. Defense aerospace revenues climbed 21%, while commercial engine spares surged 44%. At its March 2026 Technology and Markets Day, Howmet reaffirmed leadership in jet engine components, fastening systems, and airframe structures, highlighting an elongated commercial aerospace recovery with double-digit jet delivery growth through 2027. Data center buildouts are boosting industrial gas turbine demand, diversifying revenues. In April 2026, Howmet completed the $1.8 billion acquisition of Consolidated Aerospace Manufacturing, strengthening its fastener franchise. With fiscal 2026 revenue guidance of $9.1 billion, fundamentals remain robust.

The Zacks Consensus Estimate for this Zacks Rank #2 company’s fiscal 2026 earnings has moved north by 2.5% to $4.57 per share in the past 60 days. The company surpassed the Zacks Consensus Estimate in all the trailing four quarters, the average surprise being 7.24%.