In this article, we will be taking a look at the 12 most oversold large cap stocks to invest in now.

Impact of Tariff Uncertainty on Wall Street and the Future of US Stocks

Wall Street is being impacted by the uncertainty surrounding the tariff news. The broader has dropped a lot since Trump took office on January 20, and investors are mostly worried about tariffs because they think they could hurt economic growth and cause inflation. Investors think trade policies can reduce consumer confidence and restrict businesses’ ability to invest capital, while Trump believes tariffs can boost national revenue, promote broad-based growth, and be used as a negotiation weapon with other nations.

According to Franklin Templeton, the Magnificent Seven’s supremacy in AI has allowed US stocks to generate significant returns over the last few years, with the broader market frequently hitting all-time highs. The outlook for the market as a whole is favorable, notwithstanding high valuations. Sales growth has been accelerating, innovation and investment are still happening at a rapid pace, and this year’s earnings are predicted to increase by double digits. Additionally, the administration of the US economy is more business-friendly. However, there are concerns, primarily associated with US trade policy and the anticipated effects of tariffs on important industries, such as technology.

Franklin Templeton thinks that despite these risks, investor confidence in US stocks should continue to be high. The new administration’s policy reforms are anticipated to finally produce long-term benefits for the larger US economy, notwithstanding the possibility of increased dangers.

Franklin Templeton also stated that although the Mag 7 stocks are positioned for long-term success, market leadership is anticipated to expand as and when innovation accelerates. According to the investment firm, active management is crucial. The transition from AI platforms to infrastructure is still in progress. Consequently, it is anticipated that the success of investments will depend on the ability to select the appropriate companies at the right time—those that have the technology, strategy, and flexibility to continue and sustain long-term growth.

Thanks to innovation and investment, US stocks—mostly large-cap stocks—have been doing well. Notably, the Dow index has increased by more than 4.5% in the last six months. The investment business sees expanding chances beyond such market leaders, even though the Mag 7 stocks still sustain the market momentum. The competitive landscape is still dynamic and has been generating new development sectors as a result of the ongoing AI-driven cycle.

Amidst these trends, let us now have a look at the 12 Most Oversold Large Cap Stocks to Invest in Now.

Our Methodology

For our methodology, we screened for stocks with a market capitalization exceeding $10 billion and a relative strength index (RSI) below 40. We then ranked these stocks based on the lowest RSI as of March 23, 2025. An RSI below 40 suggests that the stock is oversold.

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Here is our list of the 12 most oversold large cap stocks to invest in now.

12. FedEx Corporation (NYSE:FDX)

Relative Strength Index: 29.22

FedEx Corporation (NYSE:FDX) is a global logistics leader specializing in package and freight delivery. The company operates the world’s largest cargo airline with 697 aircraft, an extensive ground network with over 600 facilities and 40 hubs, and it invests heavily in technology for automation and tracking.

FedEx Corporation (NYSE:FDX)’s third-quarter fiscal 2025 results showed mixed performance, with revenue rising 2% year-over-year to $22.2 billion, surpassing expectations. Its adjusted operating income grew by 12%, which was driven by cost reductions under the DRIVE program, while adjusted EPS increased by 17% to $4.51 but fell short of Wall Street estimates of $4.59. The company also achieved $600 million in quarterly cost savings and lowered capital expenditures to $997 million, revising its full-year forecast to $4.9 billion from $5.2 billion. Additionally, the business continued its shareholder returns, completing $500 million in share repurchases, bringing the year-to-date total to $2.5 billion.

Despite these improvements, FedEx Corporation (NYSE:FDX) faces several challenges. The company also lowered its FY25 adjusted EPS guidance to $18-$18.60, which was down from the previous $19-$20 range, citing inflationary pressures and weaker industrial demand. The corporation’s Freight revenue declined by 5% due to lower volumes and reduced fuel surcharges, while the expiration of its U.S. Postal Service contract led to a significant drop in domestic express freight volumes. These headwinds, along with its inclusion among the most oversold stocks, underscore the company’s ongoing struggle to balance cost efficiencies with external economic pressures.

11. CGI Inc. (NYSE:GIB)

Relative Strength Index: 28.77

CGI Inc. (NYSE:GIB) is a global IT and business consulting firm based in Montreal, Canada, helping organizations improve efficiency through IT solutions. It offers consulting, systems integration, and managed IT services, working with clients across industries like government, banking, healthcare, and manufacturing.

CGI Inc. (NYSE:GIB) delivered strong first-quarter results for the fiscal year 2025 and showed steady growth and operational efficiency. Its revenue rose 5.1% year-over-year to C$3.8 billion, with notable growth in the U.S. Federal sector (14%), Canada (5.9%), and the Asia-Pacific region (5.2%). Its bookings reached C$4.2 billion, resulting in a solid book-to-bill ratio of 110%, which reflected strong demand for CGI’s services.

The company’s profitability also improved, with earnings before income taxes reaching C$592 million, a margin of 15.6%, up 100 basis points from last year. The adjusted EBIT margin stood at 16.2%, while diluted EPS climbed 15% to C$1.92. The company generated C$646 million in cash from operations, representing 17.1% of total revenue, and approved a quarterly dividend of C$0.15 per share. Notably, CGI Inc. (NYSE:GIB) was among the most oversold stocks recently, reflecting market fluctuations despite its strong financial performance.

CGI Inc. (NYSE:GIB)’s growth was fueled by strong performance in North America, particularly in government and financial services. Cost optimization efforts contributed to higher profitability, while the company’s long-term strategy of strategic acquisitions and high-value services continued to drive success.

CGI Inc. (NYSE:GIB) also acquired BJSS recently, a major IT and software engineering consultancy in the U.K., expanding its capabilities in key commercial industries, which further strengthened its position. The company has also earned endorsements from analysts recognizing its expertise in AI, data modernization, cloud, and cybersecurity, reinforcing its reputation as a leader in the IT services industry.

10. Cognizant Technology Solutions Corporation (NASDAQ:CTSH)

Relative Strength Index: 28.75

Cognizant Technology Solutions Corporation (NASDAQ:CTSH) stands tenth among the 12 most oversold large cap stocks to invest in now. It is a global IT services and consulting firm that helps businesses navigate digital transformation through AI, cloud computing, digital engineering, and business process outsourcing. What sets the company apart is its deep industry expertise and strong global presence, which allows it to offer tailored solutions and round-the-clock service to multinational clients while leveraging local market insights.

Cognizant Technology Solutions Corporation (NASDAQ:CTSH)’s Q4 2024 earnings call on February 5, 2025, showcased strong financial performance, with EPS of $1.21 surpassing expectations of $1.12. Its revenue grew 6.7% year-over-year in constant currency, reaching $5.1 billion, which was driven by organic growth and strategic acquisitions like Belcan. Notably, the Health Sciences segment thrived due to the continued strength of the TriZetto platform, while Financial Services saw increased demand for cloud, data, and modernization services.

Cognizant Technology Solutions Corporation (NASDAQ:CTSH) also demonstrated significant momentum in large deals, signing 10 in Q4 alone, up from seven the previous year, bringing the 2024 total to 29—nearly doubling the 17 signed in 2023. These deals spanned key service areas such as digital engineering, cloud solutions, and financial services. Improved cost efficiency was another highlight, as the company’s adjusted operating margin expanded to 15.7%, thanks in part to the completion of the NextGen cost program. This margin growth has enabled the company to reinvest in AI and acquisitions.

Cognizant Technology Solutions Corporation (NASDAQ:CTSH) is also making strategic moves in AI, launching industry-specific solutions like Stores 360 for retail and a Toyota partnership in automotive. Additionally, the company is strengthening its partnerships with major players like McDonald’s and Gilead Sciences to drive digital transformation. To enhance operational efficiency and expand its talent base, the business is establishing Global Capability Centers (GCCs) in India, which further solidifies its position in the digital services space.