The tech sector collapse could signal to investors that it’s time to return to the old economic sentiment and bet on industrial stocks whose business models have changed relatively little in the past few weeks. the years. It’s been a rough year for the tech giants, with the tech-heavy Nasdaq Composite dropping more than 30% and a string of recent disappointing earnings from the likes of Alphabet, Microsoft and Meta Platforms drawing. paints a bleak picture for the once-prosperous sector. As of Thursday, all of FAANG’s big names have lost a combined $3 trillion in market value in the last year. CNBC’s Jim Cramer wrote in a tweet on Wednesday: “In 2000, we started to lose faith in the tech segment. Decades later, we’re back to where we were then.” “It feels the same. There are stocks worth owning, but the Dow is the place to look, not the Nasdaq.” For the market to move higher, investors may need to look for a new sector to drive that gain. This could mean industrial stocks, which appear to have risen relative to the broader market. The SPDR fund for the industrial options sector has gained more than 12% this month and is now down only about 12% this year, outperforming the market as a whole. Results from Honeywell and Caterpillar paint a promising picture for the sector going forward and boosted the fund’s 2% gain on Thursday. Across the industry, investors can find a wide range of bearish stocks that are trading at attractive levels. To find some of these names, CNBC Pro searched for industry stocks that trade with price-to-earnings forward ratios that are at least 20% off their five-year average. These stocks are also popular with analysts, with at least 60% saying buy and offer 20% upside potential for investors. Here are the names that make the list: Despite toppling more than 30% this year, Boeing’s consensus price target suggests the stock could rise another 46% in the coming months. The aircraft maker’s stock trades at a discount of more than 54% to its five-year average forward PE, and despite posting a quarterly loss in its recent report, analysts remain bullish on the outlook. this stock, with at least 65% saying it’s a buy. Goldman Sachs said in a note to clients that the stock will rise more than 80%. Alaska Air Group and Delta Air Lines also made the cuts. Shares of both companies have fallen about 16% and 13% respectively this year, but could rise more than 40% each based on their consensus price targets. Earlier this month, Delta said it is seeing a resurgence in travel, with a recovery in international business, specifically Europe. Cowen recently upgraded the stock to a better rating. The stock’s forward PE trades at a 76.3% discount to the five-year average, providing one of the largest PE discounts of the bunch. Today, Delta’s forward PE is at 7.6xs, down from the five-year average of 32.2xs. Teledyne Technologies and Generac rounded out the list, with shares down more than 13% and 66% this year, respectively. Both stocks are trading at about 28% and 40% discount to their average forward PE.