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3 Beaten-Down Industrial Stocks That Could Be Q4 Comeback Plays

MarketDash Editorial Team
4 days ago
Three industrial sector stocks are showing oversold signals with RSI readings near or below 30, potentially offering value opportunities for contrarian investors willing to bet on a fourth-quarter rebound after significant recent declines.

When stocks get beaten up badly enough, they can become interesting. Not necessarily good investments, mind you, but interesting. That's the premise behind looking at oversold stocks in the industrials sector, where a handful of names have been knocked down hard enough that contrarian investors might start circling.

The Relative Strength Index, or RSI for short, measures momentum by comparing how strong a stock performs on up days versus down days. It's scaled from 0 to 100, and conventional wisdom says anything below 30 signals an oversold condition. The idea is that when selling gets excessive, a bounce might be coming. Of course, sometimes stocks are oversold for very good reasons, but that's what makes this interesting.

Here are three industrial stocks currently flashing oversold signals, each with their own story of recent struggles and potential for recovery.

Copart Inc. (CPRT)

Copart reported first-quarter sales results on November 20 that fell short of expectations, and the market wasn't thrilled about it. The stock has declined roughly 9% over the past month, bringing shares down to a 52-week low of $38.61.

The company's current RSI sits at 28.7, firmly in oversold territory. Shares closed at $38.85 on Wednesday, down 0.3% for the day. For those keeping score at home, the stock carries a momentum score of 11.63 with a value rating of 47.14, according to Edge Stock Ratings.

Copart operates vehicle auctions, primarily for insurance companies looking to offload totaled cars. When the business misses sales targets, it suggests either fewer accidents (good for society, bad for business) or pricing pressure in a competitive market.

Wheels Up Experience Inc. (UP)

Now here's where things get really interesting. Wheels Up Experience has been absolutely hammered, falling about 51% over the past month. The stock hit a 52-week low of $0.59 and closed Wednesday at $0.62, down another 0.4%.

With an RSI of 27.7, this is the most oversold name on our list. The company posted a third-quarter loss of 12 cents per share on November 5, compared to a loss of 8 cents per share a year earlier. Losses are widening, which explains some of the selling pressure.

But CEO George Mattson struck an optimistic tone in the earnings release: "Last month marked one full year since we announced our fleet modernization strategy, a crucial part of our overall business transformation that is reshaping our programs, aircraft, and operations to better serve our customers. We are encouraged by the financial and operating performance of our new fleet and customer feedback has been strongly positive. Signature membership sales of our new fleet offerings are off to a very strong start, and we expect to see accelerating growth of corporate and individual Signature membership sales in the fourth quarter and coming year."

That's the tension with oversold stocks right there. Management sees green shoots and transformation progress. The market sees mounting losses and clicks "sell." Someone's going to be right eventually.

Mobile Infrastructure Corp. (BEEP)

Mobile Infrastructure rounds out our trio with the lowest RSI reading of the bunch at 24.2. The stock dropped 8.5% on Wednesday alone, closing at $2.57, just above its 52-week low of $2.52. Over the past month, shares have fallen roughly 24%.

The company reported disappointing quarterly results on November 10, but like Wheels Up, management tried to find the silver lining. CEO Stephanie Hogue noted: "Our third quarter performance was stable on a sequential basis, and contract parking volumes continued to trend higher, increasing 1.4% sequentially in the third quarter and growing 8.0% year-to-date. Portfolio-level utilization was comparable to prior-year and second-quarter 2025 levels. While pricing remained competitive, higher utilization typically leads to long-term pricing power, and we expect to see the benefits of these volume gains as business conditions strengthen."

In other words, more cars are using their parking facilities, but they're not yet able to charge more for it. The volume growth is encouraging, but in a competitive pricing environment, it takes time for those volume gains to translate into actual profit improvements.

The big question with all three of these stocks is whether they're oversold bargains ready to bounce, or falling knives that have further to drop. The RSI indicator is saying they've been sold too hard too fast. But the fundamentals, with disappointing earnings and guidance that requires some optimism to believe in, suggest the market might have good reasons for its pessimism.

For investors with high risk tolerance and a contrarian bent, these oversold readings could represent entry points. For everyone else, they might just be stocks that are down for perfectly good reasons, waiting to go lower.

Back to News

3 Beaten-Down Industrial Stocks That Could Be Q4 Comeback Plays

MarketDash Editorial Team
4 days ago
Three industrial sector stocks are showing oversold signals with RSI readings near or below 30, potentially offering value opportunities for contrarian investors willing to bet on a fourth-quarter rebound after significant recent declines.

When stocks get beaten up badly enough, they can become interesting. Not necessarily good investments, mind you, but interesting. That's the premise behind looking at oversold stocks in the industrials sector, where a handful of names have been knocked down hard enough that contrarian investors might start circling.

The Relative Strength Index, or RSI for short, measures momentum by comparing how strong a stock performs on up days versus down days. It's scaled from 0 to 100, and conventional wisdom says anything below 30 signals an oversold condition. The idea is that when selling gets excessive, a bounce might be coming. Of course, sometimes stocks are oversold for very good reasons, but that's what makes this interesting.

Here are three industrial stocks currently flashing oversold signals, each with their own story of recent struggles and potential for recovery.

Copart Inc. (CPRT)

Copart reported first-quarter sales results on November 20 that fell short of expectations, and the market wasn't thrilled about it. The stock has declined roughly 9% over the past month, bringing shares down to a 52-week low of $38.61.

The company's current RSI sits at 28.7, firmly in oversold territory. Shares closed at $38.85 on Wednesday, down 0.3% for the day. For those keeping score at home, the stock carries a momentum score of 11.63 with a value rating of 47.14, according to Edge Stock Ratings.

Copart operates vehicle auctions, primarily for insurance companies looking to offload totaled cars. When the business misses sales targets, it suggests either fewer accidents (good for society, bad for business) or pricing pressure in a competitive market.

Wheels Up Experience Inc. (UP)

Now here's where things get really interesting. Wheels Up Experience has been absolutely hammered, falling about 51% over the past month. The stock hit a 52-week low of $0.59 and closed Wednesday at $0.62, down another 0.4%.

With an RSI of 27.7, this is the most oversold name on our list. The company posted a third-quarter loss of 12 cents per share on November 5, compared to a loss of 8 cents per share a year earlier. Losses are widening, which explains some of the selling pressure.

But CEO George Mattson struck an optimistic tone in the earnings release: "Last month marked one full year since we announced our fleet modernization strategy, a crucial part of our overall business transformation that is reshaping our programs, aircraft, and operations to better serve our customers. We are encouraged by the financial and operating performance of our new fleet and customer feedback has been strongly positive. Signature membership sales of our new fleet offerings are off to a very strong start, and we expect to see accelerating growth of corporate and individual Signature membership sales in the fourth quarter and coming year."

That's the tension with oversold stocks right there. Management sees green shoots and transformation progress. The market sees mounting losses and clicks "sell." Someone's going to be right eventually.

Mobile Infrastructure Corp. (BEEP)

Mobile Infrastructure rounds out our trio with the lowest RSI reading of the bunch at 24.2. The stock dropped 8.5% on Wednesday alone, closing at $2.57, just above its 52-week low of $2.52. Over the past month, shares have fallen roughly 24%.

The company reported disappointing quarterly results on November 10, but like Wheels Up, management tried to find the silver lining. CEO Stephanie Hogue noted: "Our third quarter performance was stable on a sequential basis, and contract parking volumes continued to trend higher, increasing 1.4% sequentially in the third quarter and growing 8.0% year-to-date. Portfolio-level utilization was comparable to prior-year and second-quarter 2025 levels. While pricing remained competitive, higher utilization typically leads to long-term pricing power, and we expect to see the benefits of these volume gains as business conditions strengthen."

In other words, more cars are using their parking facilities, but they're not yet able to charge more for it. The volume growth is encouraging, but in a competitive pricing environment, it takes time for those volume gains to translate into actual profit improvements.

The big question with all three of these stocks is whether they're oversold bargains ready to bounce, or falling knives that have further to drop. The RSI indicator is saying they've been sold too hard too fast. But the fundamentals, with disappointing earnings and guidance that requires some optimism to believe in, suggest the market might have good reasons for its pessimism.

For investors with high risk tolerance and a contrarian bent, these oversold readings could represent entry points. For everyone else, they might just be stocks that are down for perfectly good reasons, waiting to go lower.