With the market encountering significant challenges, now may be the time to consider stocks on sale. While it’s always a sweaty-palm affair to buy into the red ink, doing so may give the speculator significant upside.

As the adage goes, be fearful when others are greedy and be greedy when others are fearful. The best part about getting hot stocks on discount is that they should still remain fundamentally sound. Basically, the only difference is the underlying market cycle.

Granted, no guarantees exist – sometimes securities sell off for a good reason. Still, these intriguing ideas might be worth a second look. With that, here are some stocks on sale to consider.

Nike (NKE)

Not too long ago, The Wall Street Journal reported that Nike (NYSE:NKE) CEO John Donahoe led a virtual all-hands meeting in late February. During the meeting, he announced that the athletic footwear and apparel giant wasn’t performing to its lofty standards. Further, he held himself accountable. And by that, the message was that more than 1,600 employees would need to lose their jobs.

Nobody said the corporate world was easy or fair. Still, Nike now states that it’s refocusing to once again deliver innovative footwear. To be blunt, corporate executives usually say the same thing when faced with challenges. Nevertheless, Nike has a massive advantage that other companies lack: global brand presence and power.

If Nike makes the tweaks, the moves should resonate with its customers. I wouldn’t go so far as to say that NKE is objectively undervalued. It does trade at 2.81X trailing-year sales, which is above the sector median 0.85X. Still, if management hits the right notes, the projected high-side revenue for fiscal 2025 – which stands at $54.5 billion – could arrive sooner than expected.

Comcast (CMCSA)

A multinational telecommunications and media conglomerate, Comcast (NASDAQ:CMCSA) represents a challenging idea among stocks on sale. Naturally, the entertainment landscape is a difficult one for all players. For example, cineplex operator AMC Entertainment (NYSE:AMC) has struggled for traction as it faces a declining box office.

Still, Comcast also has the opportunity to focus on action-adventure blockbusters for major releases. Such films are usually best experienced on the big screen. Further, the company could also take advantage of the post-pandemic travel cycle with its theme parks. Sure, revenge travel may no longer be the phenomenon that it once was. However, travel prioritization remains a strong pull among consumers.

One advantage that Comcast offers with its red-stained price tag is a more attractive valuation. Currently, shares trade at 9.07X forward earnings, below the sector median 13.59X. In fiscal 2024, analysts project Comcast’s earnings per share to reach $4.22, above last year’s print of $3.98. So, it makes an intriguing case for stocks on sale.

GlobalFoundries (GFS)

A multinational semiconductor contract manufacturing and design company, GlobalFoundries (NASDAQ:GFS) is a powerfully relevant idea among stocks on sale. Per its public profile, GlobalFoundries manufactures integrated circuits (ICs) on wafers designed for various markets, including smart mobile devices, automotive, aerospace and defense, among many others.

With the memory of the Covid-19-related supply pressures still fresh, GlobalFoundries benefits from a strong narrative. However, the current economic headwinds pose obstacles for GFS stock. As such, the market isn’t exactly enthused with the idea. However, this dynamic also means that shares are trading at a price/earnings-to-growth (PEG) ratio of 0.67X. That’s well lower than the sector median 1.6X.

Now, part of the hesitation is that analysts on average are projecting fiscal 2024 sales to fall to $6.8 billion. Last year, the company posted sales of $7.39 billion. However, the optimistic target calls for $8.62 billion. And if the bulls win out, fiscal 2025 revenue could jump to $10.54 billion. For speculators, GFS could be one of the stocks on sale.

Baidu (BIDU)

While there’s so much talk about artificial intelligence, Baidu (NASDAQ:BIDU) hasn’t been a beneficiary, far from it. BIDU’s performances for the trailing year and year-to-date have been disappointing. At the same time, the skepticism is understandable. Baidu is based in China and the Chinese economy faces nagging questions concerning its viability.

Nevertheless, speculators who are seeking stocks on sale may want to keep BIDU on their radar. As Baidu’s management team mentioned, it’s gaining traction with its artificial intelligence (AI) business. Further, it’s a consistently profitable enterprise with a robust net margin of 15.1%. Even so, shares trade at a lowly 9.95X forward earnings. Should China’s economy show signs of gradual improvement, BIDU could be poised to recover

What’s really intriguing is that Baidu, currently trading at 1.89X trailing-year sales, could see its revenue jump to $21.13 billion in fiscal 2024. Also, the most optimistic projections call for sales of $23.51 billion in fiscal 2025. That would imply that BIDU may also be discounted relative to the top line.

British American Tobacco (BTI)

On the surface, British American Tobacco (NYSE:BTI) might not seem like a natural candidate for hot stocks on sale. For one thing, its 52-week performance is anything but hot. As for the business, the idea that tobacco is cool faded a long time ago. Indeed, anti-tobacco advocates have done an excellent job of reducing the global smoking prevalence rate.

So, why bother with BTI? Fundamentally, the company offers a valuable product. Again, while smoking has lost much of its luster, it remains a popular activity. Plus, not all countries have seen a reduction in prevalence. More importantly to the bottom line, smokers have gravitated toward e-cigarettes and similar alternative products such as heat-not-burn devices.

This is where British American Tobacco can assert itself because traditional tobacco companies can better replicate the analog experience via the “digital” format. Also, BTI brings great value, trading at a forward earnings multiple of 6.59X, lower than 90.91% of its peers. Combined with a forward dividend yield of 10.16%, it makes for an enticing idea.

Bumble (BMBL)

A dating app that aimed to change the way people think about relationships, Bumble (NASDAQ:BMBL) started off with much promise. Its selling point was that for traditionally oriented relationships, women had to make the first move. This directive was designed to implement parity in relational power structures. However, it also impacted Bumble’s viability.

What it basically boils down to is that male users must wait to be contacted. That could be very frustrating as such apps don’t abide by a democratic process. In other words, a few “prospects” will get the lion’s share of the attention. Everybody else will get the crumbs, if anything. And that’s just going to cause male users to seek other platforms.

That’s why I’m somewhat optimistic about Bumble’s new CEO, Lidiane Jones. With a few simple tweaks, BMBL could rise to the top by being more gentlemen friendly. Should the execution follow through, the company could potentially hit its high-end sales target of $1.16 billion. Therefore, it could be one of the stocks on sale.

Chewy (CHWY)

An online retailer of pet food and other pet-related products, Chewy (NYSE:CHWY) appears to enjoy a double-pronged weapon. First, e-commerce as a percentage of total retail sales has been marching steadily higher since the second quarter of 2022. Notably, this trend materialized even with inflation and high borrowing costs impeding consumer sentiment.

Second, Americans love spending on their pets. In 2023, total pet industry expenditures in this country hit $147 billion. That’s up noticeably from the prior year’s print of $136.8 billion. Further, analysts still project growth, with this year’s sales potentially reaching $150.6 billion. By logical deduction, Chewy should perform well.

Unfortunately, it’s quite the opposite – CHWY is a big laggard. Still, with consumers demonstrating year after year that they prioritize the care of their furry friends, it may be time for a rethink. Analysts believe that the current fiscal year should see high-side revenue of $12.48 billion. That’s very reasonable given the backdrop, making CHWY one of the stocks on sale.

On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.