Diamonds in the Rough
Cross-referencing fundamental value against technical exhaustion to isolate beaten-down XLI constituents that screen cheap and oversold. The bottom-right quadrant — high earnings yield, low RSI — is the prime hunting ground, especially where money flow (MFI) shows quiet accumulation despite the falling price.
Educational screen, not investment advice. “Diamond” classification is a mechanical valuation-vs-RSI split around the cohort median earnings yield and an RSI of 50.
Alpha Quadrant — Valuation × Technical Exhaustion
X = earnings yield (cheaper right) · Y = RSI 14 (more oversold lower) · bubble = market cap · color = money flow.
Diamond Candidates
Ranked by a composite of earnings yield, ROIC, oversold RSI, recent weakness, and improving money flow.
| # | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| 1 | LII | Lennox International Inc. | 70.4 | 6.83% | 0.63 | 27 | -28.94% | 20 | safe |
| 2 | TXT | Textron, Inc. | 67.0 | 7.10% | 0.20 | 32 | -14.95% | 25 | safe |
| 3 | PNR | Pentair plc | 61.2 | 7.44% | 0.72 | 38 | -2.15% | 29 | safe |
| 4 | BR | Broadridge Financial Solutions Inc | 61.1 | 5.22% | 24.47 | 72 | +22.14% | 73 | safe |
| 5 | MAS | Masco Corporation | 61.1 | 7.49% | 0.53 | 43 | -9.09% | 31 | safe |
| 6 | VRSK | Verisk Analytics, Inc. Common Stock | 60.5 | 4.84% | 2.31 | 50 | -7.43% | 47 | safe |
| 7 | HON | Honeywell International, Inc. | 59.9 | 5.09% | 0.44 | 28 | -11.79% | 18 | safe |
| 8 | CHRW | C.H. Robinson Worldwide, Inc. | 58.3 | 4.36% | 0.65 | 33 | -22.58% | 43 | safe |
| 9 | CMI | Cummins Inc. | 56.6 | 4.76% | 0.28 | 30 | -13.78% | 14 | safe |
| 10 | LHX | L3Harris Technologies, Inc. | 56.5 | 3.83% | 0.73 | 33 | -12.90% | 39 | safe |
| 11 | LUV | Southwest Airlines Co. | 54.3 | 4.72% | 0.08 | 34 | -11.32% | 37 | grey |
| 12 | EME | EMCOR Group, Inc. | 54.1 | 5.04% | 1.09 | 38 | -0.93% | 36 | safe |
| 13 | DAL | Delta Air Lines, Inc. | 53.9 | 8.90% | 0.27 | 42 | -3.74% | 34 | distress |
| 14 | FIX | Comfort Systems USA, Inc. | 52.6 | 2.90% | 1.15 | 38 | -10.00% | 30 | safe |
| 15 | LDOS | Leidos Holdings, Inc. | 52.3 | 9.20% | 0.71 | 55 | +19.75% | 66 | safe |
Short-Squeeze Watch
Constituents with the highest composite squeeze score — heavy short interest meeting price support.
| # | |||||||
|---|---|---|---|---|---|---|---|
| 1 | LUV | Southwest Airlines Co. | 46.7 | 7.25% | 5.67 | -11.32% | elevated |
| 2 | UAL | United Airlines Holdings, Inc. Common Stock | 46.7 | 7.31% | 5.36 | -3.76% | elevated |
| 3 | SNA | Snap-on Incorporated | 46.3 | 6.09% | 6.93 | -2.31% | elevated |
| 4 | PAYX | Paychex Inc | 45.5 | 6.28% | 5.60 | +8.69% | elevated |
| 5 | AOS | A.O. Smith Corporation | 45.1 | 9.68% | 5.37 | +1.72% | elevated |
| 6 | J | Jacobs Solutions Inc. | 43.5 | 4.49% | 6.39 | +11.05% | elevated |
| 7 | UNP | Union Pacific Corp. | 43.3 | 4.43% | 6.86 | +0.94% | elevated |
| 8 | DE | Deere & Company | 40.4 | 2.55% | 5.58 | +0.47% | elevated |
| 9 | ITW | Illinois Tool Works Inc. | 40.1 | 3.71% | 4.84 | -0.83% | elevated |
| 10 | FDXF | FedEx Freight Holding Company, Inc. | 39.8 | 3.79% | 3.90 | -18.12% | elevated |
| 11 | AXON | Axon Enterprise, Inc. Common Stock | 39.1 | 4.58% | 5.10 | +18.62% | elevated |
| 12 | DAL | Delta Air Lines, Inc. | 38.7 | 3.94% | 4.25 | -3.74% | elevated |
Market cap, valuation, and short-interest metrics are joined to the latest XLI holdings snapshot; each ticker links to its full quote and analysis page.