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Buying low and selling high is a tried-and-true strategy for both buy-and-hold investors and active traders. When a stock is trading at or near its 52-week low, the stock price is trading at one of its lowest points of the year.
There are times when a stock’s low price points to fundamental issues with the company. However, there are times when momentum takes over and pushes a stock into undervalued territory.
Together, these three stocks stand out as asymmetric opportunities for 2026, with risk that appears more contained than the potential upside.
1. Carrier Global: Data Center Demand May Offset Residential Weakness
Carrier Global Corp. is one of the global leaders in heating and cooling solutions (HVAC) for residential and commercial consumers. Carrier stock dropped to its 52-week low after its October earnings report, in which it reported an 8% decline in year-over-year revenue growth.
This reflected weakness in the company’s residential business. That’s likely to continue into 2026. Homeowners can’t avoid emergencies, but they can choose to put off elective decisions, such as replacing their heating and cooling systems, if they have concerns about their income.
However, weakness in that sector is being offset by growth in its commercial business, which includes data centers. That doesn’t make CARR stock an artificial intelligence (AI) play, but it does indicate that the stock may be mispriced.
That opinion is supported by a forecast for earnings growth of over 12% in 2026. CARR stock is also trading at approximately 11.9x forward earnings, which puts it at a discount to its historic average. Plus, for investors who follow the laggard-to-leader strategy, Carrier has delivered about a 40% share price gain over the last five years, which supports the idea that 2025 is an anomaly to be capitalized on.
2. Mondelez: Margin Pressure Today, Potential Tailwinds in 2026
Mondelez International is a leading global snacks company best known as the parent company for brands such as Oreo, Cadbury, Ritz, and Toblerone. Like many consumer staples stocks, it hasn’t been a sweet year for MDLZ stock. The stock is down approximately 9.3% in 2025, but to be fair, most of that has come since July.
Higher cocoa prices are an easy target for investors trying to understand why Mondelez faces margin pressure. However, the company believes those inflationary headwinds are going to turn to deflationary tailwinds in 2026.
Some analysts are also concerned about the impact of GLP-1 drugs on the company’s core business. However, for now, macroeconomic concerns (i.e., inflation and jobs) make it hard to find more than an anecdotal correlation.
Investors who buy into the company’s comeback narrative may want to consider MDLZ stock, which is undervalued to its historic average at around 20x earnings. Analysts also see over 12% upside for earnings in 2026.
3. Sprouts Farmers Market: Low Expectations Create Asymmetric Upside
Sprouts Farmers Market Inc (NASDAQ:SFM) presents the largest asymmetric growth of the stocks on this list. At $77.48 per share as of this writing, SFM stock trades at 77% below its consensus price target.
The Arizona-based grocery retailer focuses on fresh, natural, and organic foods. Investors might think that the company’s focus should make it relatively safe. It targets higher-income consumers who have been able to weather inflationary pressures better than those at lower incomes.
However, that doesn’t seem to be the case. In the company’s last earnings report, Sprouts expressed softer consumer spending as evidenced by lower year-over-year comps. Furthermore, the company said it expects those pressures to weigh on its top and bottom lines into 2026.
In a recurring theme with these stocks trading at 52-week lows, SFM stock is trading around 15x earnings, which gives it an attractive valuation. Analysts also see around 11% earnings growth for the company.