Key Takeaways
A sharp divide between the market’s winners and losers has created a buying opportunity in select stocks that have been beaten down more than they deserve, according to a new report from Seaport Research Partners.
"The greatest opportunities exist when long-only, hedge fund and sell-side positioning is extended and reversing," Jonathan Golub, the firm's chief equity strategist, wrote in the note. Golub screened for stocks that have been aggressively dumped by a wide range of investors but have recently seen a small uptick in buying from their lows.
While the S&P 500 has gained almost 9 percent for the year, only 270 of the index's stocks were positive for 2026 as of mid-May, according to FactSet data. The gains have been largely driven by semiconductor stocks surging on AI-driven demand, while software, consumer, and financial stocks have lagged on competitive threats and macroeconomic concerns.
The dynamic has created a subset of names that may be too cheap to ignore. The Seaport report identified 10 such companies: Oracle (ORCL), Accenture (ACN), CCC Intelligent Solutions (CCCS), Roper Technologies (ROP), Ciena (CIEN), Cognex (CGNX), Enphase Energy (ENPH), Hewlett Packard Enterprise (HPE), Match Group (MTCH), and IAC Inc. (IAC).
Accenture emerges as a particularly interesting prospect from the list. The consulting giant's stock has fallen roughly 40 percent this year, driven by fears that OpenAI’s new consulting and deployment business could disrupt its core model of helping clients integrate new technology.
However, analysts at UBS believe the threat is overstated in the near term. They point to the massive scale advantage held by Accenture, which employs over 700,000 professionals and has more than 85,000 AI and data specialists. In contrast, OpenAI's recent acquisition of Tomoro brings only about 150 deployment engineers to its new venture.
"OpenAI—despite its capital backing and strategic intent—likely doesn’t offer the same delivery capacity, global footprint, or operational infrastructure required to execute complex multiyear AI programs independently," wrote UBS analyst Kevin McVeigh.
This perceived moat, combined with a valuation of just 11 times forward earnings—nearly half the S&P 500's multiple—makes the stock appealing. That valuation is a steep discount from the 19 times multiple it commanded at the start of the year, before concerns over AI competition intensified. The potential catalysts for a rebound include continued strong quarterly execution, where Accenture has a track record of beating earnings estimates in 18 of the last 20 quarters, and further evidence that OpenAI is not an existential threat.
This article is for informational purposes only and does not constitute investment advice.
