Down 30% This Year: Analysts Say These 2 Beaten-Down Stocks Are Poised to Rebound

‘Buy low and sell high’ is one of the most basic principles in investing, and it tends to stand out when fundamentally sound stocks trade at depressed levels.

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In many cases, those lower prices are exactly what create the opportunity. A declining share price doesn’t automatically mean the business is broken – the pressure may stem from issues that are temporary or fixable rather than structural.

When the underlying fundamentals remain intact, analysts are often quick to flag the disconnect, giving investors a chance to step in at more attractive levels.

With this in mind, we used the TipRanks database to screen for stocks that have fallen by 30% this year but continue to earn solid backing from Wall Street. Let’s dive in.

nCino(NCNO)

The first stock we’ll look at is nCino, the AI-powered banking platform that brings agentic AI tech to bear on the traditional aspects of the banking industry. nCino uses multiple AI agents to enhance the executive, analyst, service, processor, and client sides of banking, with the goal of streamlining everything from advisor to mortgage services. The company was founded in 2011 and today is a $2 billion player in the digital banking world.

nCino serves a wide range of customers, including credit unions, enterprise banks, independent mortgage banks, and building societies. The company offers solutions in data, AI, and analytics; client life cycle management; identity solutions; digital experiences; mortgages; and integrations.

On the practical side, nCino’s agentic AI tech brings a customer context to banking. The conversational AI allows an interactive interface for mortgage and banking advisory services, the company’s risk intelligence capabilities provide continuous credit monitoring, and automation provides accurate data extraction from banking documents, saving time for banking analysts.

Shares in nCino are down sharply in recent months, showing a 30% year-to-date drop. The company is facing multiple headwinds, many of them common to the software/tech fields. The SaaS sector generally has been seeing losses in recent months, as worries mount that increasing use of AI will reduce demand for SaaS products. Possibly related to this, nCino has in recent quarters seen its revenue growth slow; the company still posts a strong top line, but revenue growth has plateaued.

A look at the last quarterly report, which covered fiscal 4Q26, shows this. The company’s revenue total of $149.7 million was up 6% year-over-year and beat expectations by $2.26 million – but a look at recent quarters shows that Q2’s revenue was $148.8 million, and Q3’s came in at $152.2 million. The company reported sound earnings in the quarter, with a non-GAAP EPS of $0.37, beating the forecast by 16 cents per share.

Citizens analyst Aaron Kimson covers this AI-oriented fintech stock and lays out several reasons why the company has sound prospects going forward. Kimson writes, “We continue to like nCino as: 1) we think terminal value fears about the workflow-oriented nature of the platform are overdone as evidenced by >170 customers having bought AI intelligence units, Banking Advisor usage, “up over 25x in March compared to October,” the company having its lowest churn in three years in FY26, its largest ACV customer renewing early for another five years in F4Q, and the company landing large banks in Austria and Japan in F4Q; 2) large FIs appear receptive to the innovation nCino is offering… 3) the company’s pricing model transition is moving along nicely… 4) initial FY27 guidance calls for ~430bps of operating expansion at the midpoint, and we believe the company will reach its previously stated Rule of 40 goal by F4Q26; 5) the macro backdrop is improving for the banking industry… and 6) nCino is aggressively buying back shares at what we believe to be an attractive valuation…”

At his own bottom line, Kimson sets an Outperform (i.e., Buy) rating here, along with a $32 price target that implies a one-year upside potential of 78%. (To watch Kimson’s track record, click here)

nCino shares have a Moderate Buy consensus rating on Wall Street, based on 13 recent reviews that include 9 Buys and 4 Holds. NCNO shares are trading for $18.02, and their $23.36 average price target indicates room for a 30% gain over the next 12 months. (See NCNO stock forecast)

Wingstop(WING)

From fintech we’ll shift gears and move over to the restaurant sector. Wingstop is a fast-casual chain with a focus on chicken wings. The company was founded in Texas, in 1994, and in 1997 the company started franchising. Today, Wingstop is a $4.5 billion company with over 3,000 locations globally in 17 different markets. The chain opened a net of 493 new restaurants last year.

These growth statistics are a reflection of Wingstop’s stated mission: to serve the world flavor, with a menu of bold options that are both simple and classic. The chain offers its customers a line-up of perennial favorites, including classic and boneless chicken wings and an array of bold, distinctive flavors, as well as a selection of chicken sandwiches.

Wingstop’s stock has fallen 30% so far this year, as the company has struggled with a set of headwinds. Industry analysts have noted a slowdown in consumer demand, as part of a cutback in consumer discretionary spending. This factor has been particularly notable among Wingstop’s core demographic, which tends to skew toward younger and lower-income people. The stock has also suffered from slowing growth in same-store sales, and from concerns regarding the shares’ high valuation when compared to peers.

A look at Wingstop’s financial results shows that, like nCino above, this company has seen revenues level off in recent quarters. The 4Q25 report, the last released, showed that quarterly system-wide sales were up 9.3% to $1.3 billion, and that the total revenue, of $175.7 million, was up 8.6% while missing the forecast by $1.67 million. We should note that the previous quarter also saw revenues of $175.7 million, and that 2Q24’s top line came to $174.3 million. At the bottom line, Wingstop’s adjusted net income of $27.8 million gave an adjusted EPS of $1.00, 17 cents per share better than had been anticipated.

Turning to the Street’s analysts, we find Raymond James’ Brian Vaccaro taking an upbeat view here, for a set of interlinked reasons that he sets out clearly: “We believe: 1) weaker 1Q comps and lowered 2026 guidance seem broadly anticipated and priced in following the stock’s 44% decline in the last month (as of April 2) , 2) a lack of value messaging and perhaps a less effective recent marketing campaign could be negatively impacting comps (in addition to softer lower income/Hispanic consumer), but are fixable, 3) DD% unit growth seems likely to sustain driven by still best-in-class franchisee unit economics, 4) its LT unit growth story remains intact with only ~2,600 U.S. units, 36% of which are in two states California and Texas (note most national QSR brands settle in 5-8K range), and 5) the stock’s pullback creates an asymetric risk/reward with it now trading at a 40% discount to our DCF fair value and an EV/EBITDA (2027E ~16.5x) that is only slightly above its much more mature, highly franchised peer group.”

Vaccaro goes on to write of Wingstop, “While we might be a bit early relative to the timing of expected comp improvement (2H), we believe further downside should be limited, and view this as a classic quality on sale buying opportunity in a high quality growth stock where these windows rarely present themselves (last one in WING was in 1H22).”

The Raymond James expert rates this stock as a Strong Buy, and complements that with a price target of $240, suggesting a 44.5% gain for the stock by this time next year. (To watch Vaccaro’s track record, click here)

WING shares have a Strong Buy consensus rating, based on 22 analyst reviews that break down to 19 Buys and 3 Holds. WING’s $166.04 trading price and $294.30 average price target together imply a one-year upside of 77%, even more bullish than Raymond James would allow. (See WING stock forecast)

Disclaimer: The opinions expressed in this article are solely those of the featured analyst. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.