The market just saw its fourth straight week in the red, but there are some stocks that are so washed out they may be due for a rebound. On Friday, the S & P 500 closed the week down about 2.3%, putting the loss since its Feb. 19 all-time at 8.2%. The Nasdaq Composite and Dow Jones Industrial Average also finished lower, with the latter slumping 4.7%, its worst week in two years . The latest sell-off kicked off on Monday amid sudden concern that the U.S. economy was heading toward a recession. President Donald Trump said in a Fox News interview last Sunday that the economy was experiencing ” a period of transition ,” and wouldn’t rule out a downturn, and Treasury Secretary Scott Bessent had said days before that the economy might see a ” detox period ” as the administration curbs government spending. The losses were soon exacerbated by trade developments, as Trump’s 25% tariffs on steel and aluminum imports took effect Wednesday, followed by counter-measures from the European Union (EU) . In response, the president on Thursday threatened to impose 200% tariffs on all alcoholic beverages from the EU after Europe put a 50% tariff on American whiskey. Against all this volatility, CNBC Pro used its stock screener tool to identify the most oversold stocks on Wall Street, using their 14-day relative strength index, or RSI. Stocks that have a 14-day RSI below 30 are regarded as oversold, signaling a possible rebound may be in store. Delta Air Lines – with an RSI of 21.6 – fell 12% last week after the Atlanta-based carrier cut its first-quarter profit and revenue forecasts , citing softer domestic travel demand. Delta is down more than 28% in the past month. Still, the Street is uniformly bullish on the airline. According to LSEG, all 23 analysts covering Delta have the equivalent of a buy rating. That includes Morgan Stanley, which reiterated an overweight opinion on Delta even after its downward guidance. “We would be buyers of weakness in DAL (and other airline stocks) albeit with some caution around macro/geopolitical developments and overall market sentiment,” Morgan Stanley analyst Ravi Shanker wrote in a report. “We continue to like the long-term fundamentals at US Airlines and risk-reward still looks very attractive (esp. after the sell-off of the last month) but the market needs to be convinced that we are not headed into a broad consumer-led recession first.” Meanwhile, Target – whose RSI is 16.8 – lost about 9% this week, touching a 52-week low on Friday and bringing its year-to-date decline to nearly 23%. Over the past six months, the retailer has pulled back even more, falling almost 31%. The latest slide came after CEO Brian Cornell told CNBC last Tuesday that Trump’s 25% tariffs on goods from Mexico could lead the company and other grocers to increase produce prices . On Wednesday, Target fell nearly 5%. Of the 39 analysts covering Target, 16 rate it the equivalent of buy, while 22 are on the sidelines with a hold rating. Deckers Outdoor is also among the most oversold stocks on the Street, sporting the lowest RSI on our screen at 15.8. Shares of the Uggs boots maker have fallen for seven consecutive weeks, dropping more than 6% in the latest five days. The stock has collapsed 43% over the past three months.
