Stocks that could win big if oil prices continue to slide include Advanced Micro Devices and Datadog , according to Jefferies. West Texas Intermediate crude oil prices have already taken a leg lower this year, down from around $80 per barrel in mid-January to around $68 today. Several factors have contributed to the weakness, including President Donald Trump’s global tariff war and the decision from OPEC+ members to hike production. The trend is unlikely to reverse anytime soon, according to Jefferies, which wrote in a Thursday note that oil prices are likely to stay low for the time being. But although energy companies might take a hit, the firm believes stocks in some other sectors could actually win big. “In terms of the broader market implications, the [near-term] crude price softness — and potential stabilization at these levels — could serve as a tailwind for U.S. equities,” the bank wrote. “Significant price corrections in WTI have tended to correspond with periods of EPS growth and share performance for several (potentially counter-intuitive) sectors: the tech complex and discretionary.” In the same note, Jefferies included a list of stocks that could outperform on lower oil prices, including the following: Advanced Micro Devices shares have surged 30% this year, but the graphics processing unit manufacturer may have further upside. Last week, HSBC upgraded its rating to buy from hold. Analyst Frank Lee’s target price of $200 per share, up from $100, is about 27% above Friday’s close. “We upgrade to Buy as we believe the pricing premium is undervalued and there could be further upside to earnings driven by MI400 series launch in 2026,” Lee wrote. “We now expect that upside to FY26e AI revenue will lead to higher re-rating to AMD that is not fully priced in by the market despite the 14% share price rally post its AI day event (12 June).” Datadog, up 1% this year, was another name that could win big, according to Jefferies. Wolfe Research agreed with this bullish take, upgrading the stock to an outperform rating from peer perform last month. “After attending DASH in NYC where the vibes were sky-high with AI announcements aplenty, we are here to say that we believe those turbulent times are in the rearview and this dog isn’t just hunting again, it’s feasting!” wrote analyst Alex Zukin. Zukin’s $150 price target implies an upside of 3% from Datadog’s Friday closing price. Jefferies also singled out Zscaler as a stock that could outperform on lower oil prices. Shares of the cybersecurity company have soared 60% in 2025. In June, Wells Fargo upgraded the stock to an overweight rating from equal weight. Analyst Andrew Nowinski’s new price target of $385, up from $260, is around 33% above the stock’s current trading price. As a catalyst, the analyst highlighted strong momentum in Zscaler’s new and upsell business this fiscal year. Unscheduled billings growth should improve from here, while scheduled billings should become less of a headwind next year. “We believe this will provide the foundation for 20%+ billings growth in FY26, as these unscheduled billings will become part of the scheduled billings,” Nowinski added.