Because oil prices are what fuel the cash flows and asset values of oil companies, most oil stocks have sold off as well. However, some oil stocks have sold off well below oil prices. These oversold oil stocks, which is just Wall Street jargon suggesting that the market has overreacted in a panic, have sold off so deeply because investors fear these oil stocks could end up going belly up if oil prices remain weak for a while due to the large debt loads these companies are burdened with.
While there are a number of oil stocks that qualify under the oversold category, five in particular could really rally along with oil prices. That's because these stocks sold off much deeper than the 50% drop in the price of oil as we see on the following chart.