As of April 2, 2024, three stocks in the IT sector could pose a real warning for investors who value momentum as a key criterion in their trading decisions.
RSI is a momentum indicator that compares a stock's strength on days when its price increases to its strength on days when its price decreases. Comparing it to a stock's price movement gives traders a more accurate picture of a stock's short-term performance. According to Benzinga Pro, an asset is typically considered overbought when the RSI is above 70.
Here is an updated list of the leading overbought stocks in this sector.
Smart Global Holdings Co., Ltd. (NASDAQ:SGH)
- On January 9, SMART Global Holdings reported first quarter earnings and announced a $75 million stock repurchase authorization. The company's stock price has risen about 14% over the past month; 52-week high of $29.99 .
- RSI value: 71.09
- SGH price action: Smart Global stock rose 0.2% to close at $26.38 on Monday.
Micron Technology Co., Ltd. (NASDAQ:MU)
- On April 1st, Company B of A Securities kept its rating on the stock at “buy” and raised its price target from $120 to $144. The company's stock price has risen about 30% over the past month. Recorded 52-week high $127.38.
- RSI value: 81.92
- MU price action: Micron stock rose 5.4% to close Monday at $124.30.
Auster Co., Ltd. (NYSE:OUST)
- On March 26, Ouster reported fourth quarter financial results and issued guidance. “Auster has had a year of transformation, reporting record revenues of $83 million and sales of $142 million in 2023. We successfully completed our merger with Velodyne, and our balance sheet , expanded our patent portfolio and streamlined our cost structure,” said Auster. Angus Pacara. The company's stock price has risen about 99% in the past five days. 52 week high $10.00.
- RSI value: 84.45
- OUST price action: Auster's stock rose 24.2% to close at $9.86 on Monday.
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