Welcome to Episode #460 of the Value Investor Podcast.
Every week, Tracey Ryniec, the editor of Zacks Value Investor portfolio, shares some of her top value investing tips and stock picks.
The AI stocks sold off in October and continue to sell off in November of 2026. Many of these companies have reported third quarter earnings and have beat on earnings and raised full year guidance.
Yet their shares are falling anyway on fears that the AI trade is over.
Many AI companies are Zacks Rank #1 (Strong Buy) or #2 (Buy) stocks as analysts continue to raise earnings estimates.
And now, after the AI stock sell-off, these companies are cheaper than ever. They have strong earnings growth and low price-to-earnings (P/E) ratios and PEG ratios.
The PEG ratio is the P/E divided by the growth. A PEG under 1.0 usually indicates a company has both value and growth. That’s a rare combination.
Tracey recorded this podcast on Nov 2, 2026, before the election. While the stocks were cheap then, they are even cheaper now on Nov 6, 2026.
Are you brave enough to buy when everyone is selling?
1. Micron Technology, Inc. (MU)
Micron is in memory and storage solutions. It was a Zacks Rank #1 (Strong Buy) when Tracey recorded the podcast on Nov 2, 2026, but it has fallen to a #2 (Buy) as of Nov 6, 2026. Micron has the top Zacks Style Scores for both Value and Growth, which is an “A.”
Shares of Micron have fallen 38.3% in the last month. It was down 17% in a single session this week. Earnings are still expected to rise 133% in fiscal 2027.
Micron is much cheaper now. It trades with a forward P/E of just 3.7. A P/E under 10 usually indicates a company is undervalued. A P/E under 5 means they are giving it away.
But shares of Micron continue to fall.
Should investors have Micron on their short list?
2. Sandisk Corp. (SNDK)
Sandisk designs and produces products that help people and businesses store, access and use data. This includes retail, data centers, and the public cloud.
Sandisk was a Zacks Rank #2 (Buy) stock when Tracey recorded the podcast on Nov 2, 2026, and it still is. Earnings estimates are on the rise in the last week after Sandisk beat on earnings for the fiscal first quarter of 2027 and guided Q2 above consensus.
Earnings are expected to rise 217% in fiscal 2027. But the Street doesn’t care. It’s selling. Shares of Sandisk have fallen 52% in the last month.
Sandisk is dirt cheap. It trades with a forward P/E of 3.6. A P/E under 5.0 means the company is being given away. Sandisk also has a PEG ratio of 0.08. A PEG under 1.0 means a company has both growth and value.
Sandisk has “A” for the Zacks Style Scores on Value, Growth, and Momentum.
Sandisk is splitting its shares 8 for 1 on Nov 19, 2026.
If you missed the rally earlier in the year, is now the time to buy Sandisk?
3. Sanmina Corp. (SANM)
Sanmina is a global provider of electronics contract manufacturing services. This is the side of the AI trade that few know about.
Sanmina is expected to report earnings on Nov 9, 2026. But full year earnings are forecast to rise 100% this year.
Shares of Sanmina are down 42% in the last month as traders flee the AI stocks. But it’s cheap, with a forward P/E of just 10.7.
Sanmina was a Zacks Rank #2 (Buy) stock when Tracey recorded the podcast on Nov 2, 2026, and it remains a #2 (Buy) as of Nov 6, 2026. It also has the top Zacks Style Score of “A” for Value, Growth and Momentum.
Should Sanmina be on your short list?
4. Sterling Infrastructure, Inc. (STRL)
Sterling Infrastructure builds data centers. But because the Street thinks the AI trade is over, they have sold the shares over the last six months. Sterling is down 70% in that time, including a plunge of 53% in just the last month.
The sell-off is so dramatic that Sterling went from having a forward P/E of 17.3 when Tracey recorded the podcast on Nov 2, 2026, to having a forward P/E of 13.9 by Nov 6, 2026.
Sterling recently beat on earnings and raised full year 2026 guidance. Earnings are expected to rise 84% this year. Sterling was a Zacks Rank #2 (Buy) on Nov 2, 2026, and it remains a #2 (Buy) on Nov 6, 2026.
Is this a buying opportunity in Sterling Infrastructure?
5. Comfort Systems USA, Inc. (FIX)
Comfort Systems USA provides commercial, industrial, and institutional heating, ventilation, air conditioning, and electrical contracting services in 155 cities across the United States. In other words, it provides cooling inside the data centers.
On Oct 22, 2026, Comfort Systems USA reported third quarter 2026 results and beat on earnings as well as raised full year guidance. But the Street doesn’t care. Shares of Comfort Systems USA are down 43.7% over the last month.
Earnings are expected to rise 73.8% in 2026. It has the coveted Zacks Rank of #1 (Strong Buy).
Comfort Systems USA has gotten cheaper thanks to the sell-off. At the time the podcast was recorded on Nov 2, 2026, it had a forward P/E of 24. Now, on Nov 6, 2026, it’s just 21.8.
Is Comfort Systems USA a stock for your short list?
Tune into this week’s podcast to find out.
[In full disclosure, Tracey owns shares of STRL in Zacks Value Investor and in her own personal portfolio.]
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This article originally published on Zacks Investment Research (zacks.com).
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