11 Stocks Identified as Tax-Loss Selling Rebound Candidates for Early 2026

This analysis is based on the MarketWatch article [1] published on December 31, 2025, which identifies 11 stocks positioned for potential gains in early 2026 following year-end tax-loss selling. The article, written by Michael Brush, employs a four-factor screening process to select stocks: net insider buying over the past three months, profitability (no money-losing companies), Wall Street expectations for 2026 earnings growth, and a ≥15% decline in 2025 to ensure exposure to tax-related selling pressure.

One confirmed stock meeting these criteria is Cohen & Steers (CNS), a financial services firm. Key metrics for CNS include a 31.42% YTD decline in 2025 [0], strong profitability (28.86% net profit margin, 32.84% operating margin, 32.21% ROE) [0], and a consensus analyst price target of $87.50—implying 39.6% upside [0]. The article notes that rebounds for these stocks may be gradual over a few weeks rather than an immediate surge post-year-end [1]. Additionally, the mention of an “anti-GLP-1 play” suggests some stocks may be in the healthcare sector, indicating sector diversity among the candidates.

1. Tax-loss selling creates temporary undervaluation
   : The selected stocks are quality companies with strong fundamentals that have been temporarily suppressed by year-end tax-selling activity.
2. CNS demonstrates resilience
   : Despite a significant 2025 decline, Cohen & Steers maintains robust profitability and favorable analyst growth expectations.
3. Recovery may require patience
   : The article emphasizes that rebounds are likely to unfold gradually over weeks, not during the first few trading days of 2026.
4. Sector diversity is indicated
   : The presence of both a financial services firm (CNS) and a hinted healthcare stock (anti-GLP-1 play) suggests the list spans multiple sectors.

• Early 2026 rebound potential as tax-selling pressure subsides.
• Strong fundamentals and expected earnings growth supporting medium-term outperformance if expectations materialize.

• No guarantee of historical rebound patterns repeating in 2026 amid changing broader market conditions.
• Earnings shortfalls in 2026 could limit rebound potential.
• Sector-specific risks (e.g., interest rate changes impacting CNS’s financial services business).
• Data gaps: The full list of 11 stocks and detailed insider buying information remain unavailable.

On December 31, 2025, MarketWatch identified 11 stocks using a four-criterion screen to capitalize on potential early 2026 rebounds from tax-loss selling. Cohen & Steers (CNS) is a confirmed candidate with strong fundamentals and notable analyst upside. The analysis highlights opportunities in temporary undervaluation and medium-term growth, balanced against risks from market volatility, earnings uncertainty, and incomplete data. Decision-makers should consider the criteria and context when evaluating these candidates, acknowledging the gradual recovery timeline and sector diversity hints.