Buy the Dip Monday: 111% ROIC, 60% Revenue Growth, and $6.2M Insider Adds at 25% Off

This Week's Setup

Six of eight names print earnings yields above 6.5% while sitting below 15× P/E, and three post ROIC above 16% while trading at drawdowns beyond 18%.

Insiders added $5.7 million net across six months at Regeneron while pharma names GSK and Incyte hold gross margins above 70%, and EQT grew revenue 60% year-over-year as natural gas fundamentals tighten into the second half of 2026.

Gold miners sit 19% to 27% off peaks as the VIX holds below 16 and the S&P 500 CAPE remains elevated at 38.9, pricing in optimism that clashes with drawdowns in this basket.

Quick Scan

The 8 Names

1. Amalgamated Financial Corp. (AMAL)

P/E: 12.06 | Earnings yield: 8.3% | 52w drawdown: -5.8%

FCF yield clocks in at 10.9% while the normalized 10-year P/E sits at 15.8, a 24% premium to the trailing multiple that reflects an earnings trough last decade and a path back to profitability. The shareholder yield of 2.6% combines the 1.5% dividend with modest buyback activity, and the earnings yield clears 8% with net interest margin expansion visible in the Q1 filing.

Three insiders added shares in late May: Fox Lynne P., Stoll Scott, and Wells Royce A. filed Form 4s for transactions on May 22, contributing to the $5.1 million net six-month total and 1.4% of insider buying against 0.2% selling. Revenue grew 4.4% year-over-year while the debt-to-equity ratio remains subdued at 0.10.

The modest drawdown of 5.8% leaves little margin of safety if loan quality deteriorates or rate cuts compress margin faster than deposit repricing; next earnings on July 23 will clarify whether the 4.8% short interest reflects skepticism or rotation.

2. EQT Corporation (EQT)

P/E: 10.42 | Earnings yield: 9.6% | 52w drawdown: -19.5%

Revenue jumped 60% year-over-year as Appalachian gas production scales into tighter supply fundamentals, and the 9.2% ROIC pairs with a 5.73× EV/EBITDA multiple that sits well below long-cycle averages for integrated producers. The normalized 10-year P/E of 17.9 reflects prior commodity cycles; the current 10.4× trailing multiple prices a rapid margin recovery that the gross margin of 45.9% supports.

Insiders added $5.7 million net over six months with buying at 15.1% of shares transacted and selling at 2.1%, a 7:1 ratio that underscores internal confidence as the stock sits 20% off its 52-week high. The 583,874 net shares accumulated represent meaningful conviction as analysts lift price targets to $70.17, implying 27.8% upside.

The debt-to-equity ratio of 0.25 remains manageable, but gas price volatility and Marcellus takeaway capacity constraints can erode margins quickly if winter demand disappoints; short interest of 3.4% is low but rising if geopolitical tensions shift LNG export flows.

3. VanEck Gold Miners ETF (GDX)

P/E: 17.04 | Earnings yield: 5.9% | 52w drawdown: -23.6%

The gold mining basket trades at a 24% discount to its 52-week peak while the underlying metal holds near all-time highs, creating a valuation dislocation as producers lag spot prices. The 5.9% earnings yield reflects depressed margins from older, higher-cost assets in the index, but the normalized 10-year earnings yield of 1.4% signals a secular trough that reversed in 2024.

The absence of FCF yield and book value data reflects ETF aggregation mechanics, but the 17× P/E on the basket sits above historical averages for miners when gold trades sideways or corrects. Energy input costs and grade dilution at aging mines compress operating leverage, and a stronger dollar or Fed pivot delay could extend the drawdown past 30%.

4. GSK plc (GSK)

P/E: 13.23 | Earnings yield: 7.6% | 52w drawdown: -18.1%

ROIC prints at 19.9% while gross margin holds at 72.4%, reflecting the vaccine franchise and specialty portfolio mix that drives pricing power through Shingrix and oncology assets. The 3.6% dividend yield pairs with a 1.3% shareholder yield from modest buybacks, and the normalized 10-year P/E of 14.9 sits just 12% above the trailing multiple, signaling stable earnings quality.

Insiders held flat over six months with no net buying or selling, a neutral signal as the stock trades 18% below its peak. ViiV Healthcare launched a new PrEP campaign in May to expand HIV prevention access, and the July 28 earnings report will clarify whether Zantac litigation reserves or vaccine demand drive the next rerating.

The debt-to-equity ratio of 1.17 remains elevated relative to pharma peers, and the 19.4× EV/EBITDA multiple prices in patent durability that biosimilar competition or pipeline failures could challenge; analysts target $57.66, implying 14% upside if execution holds.

5. Incyte Corporation (INCY)

P/E: 13.66 | Earnings yield: 7.3% | 52w drawdown: -13.9%

ROIC reaches 111% as the company operates with minimal debt (0.8% debt-to-equity) and a 92.8% gross margin that reflects Jakafi's royalty economics and the oncology pipeline. Revenue grew 21.2% year-over-year, and the 6.9% FCF yield funds internal development while the normalized 10-year P/E of 36.4 reflects prior peak Jakafi profitability.

⬡ The pivotal frontMIND trial showed tafasitamab combination therapy significantly prolonged progression-free survival, reducing the risk of disease progression or death by 25% in patients with previously untreated, high-risk diffuse large B-cell lymphoma (DLBCL). The data positions Monjuvi as a first-line competitor in a $2 billion DLBCL market if the FDA accepts the supplemental biologics license application by year-end.

Three insiders added shares in May: Tray Thomas on May 28, Upadhyay Suketu on May 6, and Clancy Paul J on May 21, contributing to $5.3 million in net purchases over six months with buying at 12% and selling at 5.4% of transactions. The 6.6% short interest reflects skepticism on Jakafi biosimilar risk, but JPMorgan's note that large-cap biotech is back as profits and pipelines fuel upside suggests the 14% drawdown creates entry margin.