Financial stocks have faced a difficult stretch in recent weeks. Rising geopolitical tensions have rattled global markets and pushed investors toward safer assets, while concerns about the durability of growth in the banking space have weighed on the financials sector.
That shift comes despite banks delivering a stellar performance throughout much of 2025. However, sentiment can change quickly in this market. Two of the biggest names caught in the selloff are Wells Fargo & Co (NYSE: WFC) and Goldman Sachs Group Inc (NYSE: GS). Both stocks have fallen around 20% from recent highs and are trading at extremely oversold levels. But there's a growing argument that the market may have overdone it—let's jump in and take a look at the opportunity opening up in each one.
