NEW YORK (TheStreet) -- Value investing as a strategy may have underperformed growth investing in the past decade. Nevertheless,value stocks play an indispensable role when constructing a portfolio, and they actually outperform growth over the longer term, said John Linehan, portfolio manager at T. Rowe Price.

"Typically in a rising rate environment, value will outperform growth," said Linehan. "And this is a market that has been dominated by a select group of companies, and I think going forward that breaks. And when it breaks, value will do fairly well relative to growth."

Linehan is taking over portfolio management of the T. Rowe Price Equity Income Fund (PRFDX) - Get Report at the end of this month. The fund has had only one portfolio manager in its 30 years of existence: Brian Rogers. This marks the second time Linehan will succeed Rogers in managing a fund; he previously followed in Rogers' footsteps when he ran the T. Rowe Price Value Fund (TRVLX) - Get Report from 2003 to 2009.

From February 2009 to June 2014, Linehan was head of U.S. Equity and chairman of the U.S. Equity Steering Committee at T. Rowe Price. He is also a member of the firm's U.S. Equity Steering, Equity Brokerage and Trading Control, and Counterparty Risk Committees. Linehan has 25 years of investment experience, 16 of which have been at T. Rowe Price, where he started in 1998 as an equity analyst covering the paper and forest products and airline industries.

Linehan is bullish on holding company Loews (L) - Get Report , which has seen its shares drop more than 13% in 2015. Linehan said the selloff was overblown because the market is focusing on weakness in the conglomerate's Diamond Offshore (DO) - Get Report drilling subsidiary, even though it only makes up around 15% of the company's asset value.

"It's trading at a 20% discount to its sum of the parts," said Linehan. "I think just looking at the underlying value makes sense."

Staying in the oil patch, Linehan is also positive on Apache (APA) - Get Report , despite the fact that the oil and natural gas driller's shares have dropped more than 28% so far this year.

"They have a very strong position in the Permian Basin. They have a very strong balance sheet. And they have the opportunity to do a lot of self-help in terms of cost cutting," said Linehan.

Finally, Linehan is constructive on chemical giant DuPont (DD) - Get Report , which is down almost 21% year-to-date, though it has bounced back substantially in the past week after CEO Ellen Kullman was pressed into retiring by major shareholder Nelson Peltz of Trian Fund Management.

"If you look at DuPont, there is tremendous opportunity for internal improvement," said Linehan.