Unlike the S&P/ASX 200 Index (ASX: XJO), the US markets have continued to push higher this December into fresh record territory. Earlier this month, the flagship S&P 500 Index (SP: .INX) hit a new all-time high of 6,920.34 points, dragging many US stocks to new 52-week and record highs of their own.
But not all US stocks are at all-time highs right now. In fact, many quality names have been left in the dust as investors flock to the tech titans that are so popular right now.
Today, let's discuss three US stocks that I believe are among the best businesses out there, but are currently underappreciated by the market.
Three high-quality US stocks I would buy at current prices
Procter & Gamble Inc (NYSE: PG)
Procter & Gamble is one of the best consumer staples stocks in the world. It might not be a household name itself, but I can almost guarantee that its products would be in most readers' houses as we speak. This company's brands include Gillette razors, Fairy dishwashing products, Oral-B toothpaste, and Pantene shampoo.
Procter & Gamble is distinguished by its phenomenal dividend track record. It has increased its annual dividends every single year for 69 years running. Despite this inherent quality, Procter & Gamble shares have had a rough year, currently down aobut 14% in 2025. Although the company has recently bounced off a new 52-week low of just over US$145 a share, I think its current 2.9% dividend yield represents a nice entry point.
Costco Wholesale Corp (NASDAQ: COST)
Next up, we have another US stock and consumer staples company in Costco, famous for its bulk-focused warehouse supermarkets. Its unique membership model has driven this company to immense profitability, evident from its five-year gain of 133%. Costco also has an impressive dividend track record. It has increased its annual dividend for 21 consecutive years, by an average of 12.97% per year since 2020.
However, just like Procter & Gamble, Costco has had a rough year. This US stock has lost 11.1% over 2025 so far, and is down more than 20% from its last 52-week high. Although I wouldn't call this company cheap just yet, it is still a rare dip for a high-quality name that almost never goes on sale. I'm seriously considering adding more shares to my position at these prices.
Waste Management Inc (NYSE: WM)
I've always been attracted to waste management as an investable industry, given its inherent defensiveness. Waste Management is the largest of these US stocks, and the most dominant. It has been growing its revenues and earnings like clockwork in recent years, helping the company to do the same with its dividends.
Waste Management has a 22-year streak of dividend increases, and has grown its payouts by an average of 8.65% per annum over the past five years.
Yet investors have been tepid on this company over 2025, with Waste Management stock down almost 10% from its May record high.
Again, if this US stock stagnates any further, I might add some more shares to my position.
