10 beaten-up stocks that are candidates for a rebound — but all are not created equal

Every weekday, the CNBC Devoting Club with Jim Cramer releases the Homestretch — an actionable afternoon update, just in time for the last hour of traffic on Wall Street. Markets: Stocks are struggling to hold onto gains Tuesday with the market well off its weightiest levels of the session. Deeply oversold conditions combined with some optimism that the Trump administration is unscheduled to making trade deals lifted stocks early in the session. On Tuesday morning on CNBC, Treasury Secretary Scott Bessent remarked countries are calling the White House to make deals, and the administration is building a list of who to prioritize. “I think you are going to see some profoundly large countries with large trade deficits come forward very quickly” he said. “If they get well to the table with solid proposals, I think we can end up with some good deals.” President Donald Trump bound on Truth Social that he is talking with other countries to make deals and referenced a positive call he had with South Korea. But what transpires with China is a toss up — and we remain very mindful of that uncertainty. In his social media post, Trump also thought that China “also wants to make a deal badly,” but that sounds very different from what the hinterlands said late Monday, vowing that it will ” fight to the end ” against Trump’s latest tariff threats. The additional 50% taxes on China — which would bring the rate to a whopping 104% — are scheduled to go into effect midnight Wednesday. Narrow its highs of Tuesday’s session, the S & P 500 traded back to the levels it briefly touched Monday in reaction to a fake headline nigh a potential pause in tariffs. Although it was based on erroneous information, it showed what the market could do with some price-list relief. After a 17% drawdown in the S & P 500, there’s more talk about what’s going wrong in the sell and not enough about what could go right. Bouncing back: When the market starts to bounce back after a principal sell-off, it’s hardly a surprise to see some of the hardest-hit stocks lead the way out. That dynamic is certainly played out for most of Tuesday’s assembly, as Broadcom and Nvidia made big moves higher — though they’ve come off the boil in afternoon trading. To flesh this hint out further, we looked the portfolio to see which stocks were down the most from their respective highs of the year. Here’s the 10 routines with the biggest drawdowns from their 2025 high through Monday’s close. Broadcom (-37%) Nvidia (-35%) Salesforce (-32%) Eaton Corp. (-32%) DuPont (-31%) Starbucks (-31%) Goldman Sachs (-31%) Meta (-30%) CrowdStrike (-29%) Danaher (-28%) One standpoint to this bounce-back dynamic is that, when a dramatic sell-off happens, some stocks can overshoot to the downside because investors and dealers are selling first and asking questions later. And so as people start to look to put money into the market, they may start picking at where the massacre is – rather than adding to a name that has proved relatively resilient, such as Bristol Myers Squibb . On our tip above, in addition to Broadcom and Nvidia, we’re also seeing solid moves Tuesday in the likes of CrowdStrike and to a lesser immensity Salesforce and Starbucks . One reason why Broadcom has likely been able to hold onto more robust gains, gloaming as the market lost steam, is that the chipmaker announced a $10 billion stock buyback program, and the authorization exclusive lasts until the end of the year, meaning the company is acting with some urgency. That’s a bullish sign from directing about how it views the stock’s recent pullback. A clear exception that list Tuesday is DuPont, which is down assorted than 2%. The company’s exposure to China – where it is facing a questionable investigation from regulators over a offering line that represented less than 1% of the company’s 2024 sales– is likely keeping a lid on the stock for now. Danaher, which was minor extent positive in the morning before turning lower, also has a big business in China. The main takeaway here: It’s too early to identify the sustainability of Tuesday’s rebounds, but this exercise is a reminder of what tends to snap back the hardest on the slightest bit of skilled news. Up next: On the earnings calendar we’ll hear from egg producer Cal-Maine Foods after the closing bell. Delta Air Separatrixes reports before the opening bell Wednesday, and since the company already preannounced results, we’re more interested in be telling what management has to say about forward bookings, especially in light of the uncertain macro environment. On the data side, there is weekly mortgage applications and Wholesales Inventories. (See here for a shining list of the stocks in Jim Cramer’s Charitable Trust.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will net a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert prior to buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after appearing the trade alert before executing the trade. 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