The consumer discretionary sector boasts stocks that are deeply oversold, offering a rare opportunity to snap up shares in undervalued companies.
The Relative Strength Index (RSI) measures a stock’s gains versus its losses to gauge its momentum. When RSI nears or drops below 30 in comparison to a stock’s price action, it may indicate an oversold condition. This offers traders valuable insights into short-term performance. These promising stocks hold RSI values at or near 30.
Mobileye Global Inc. (NASDAQ: MBLY)
- Mobileye Global recently clinched prestigious design wins from a significant Western automaker. The CEO, Amnon Shashua, hailed the victories as transformative in advancing automated driving, setting a new standard for intelligent driving. This win catapults the availability of automated driving for global customers. Despite this success, the company’s stock plummeted by 34% over the past month and now hovers near its 52-week low of $27.29. In addition, its RSI value currently stands at a low 20.35. On Friday, shares of Mobileye Global rose by a modest 1% to close at $28.34.
Faraday Future Intelligent Electric Inc. (NASDAQ: FFIE)
- Despite being warned by Nasdaq for failing to maintain the required minimum share price for listing, Faraday Future Intelligent Electric has suffered a distressing 55% stock drop in the past month. With its RSI value at a lackluster 27.04, the company’s shares closed down by 3% at $0.1562 on Friday, distressingly close to its 52-week low of $0.1550.
Vision Marine Technologies Inc. (NASDAQ: VMAR)
- Vision Marine Technologies disclosed a $3 million private placement of convertible preferred shares and warrants on Dec. 14. This move preceded a substantial 35% plummet in the company’s stock over the past month, nudging it towards its 52-week low of $0.69. The RSI value for Vision Marine Technologies stands at 29.05. On Friday, shares of the company slid by 6.4%, closing at $0.7510.
U Power Limited (NASDAQ: UCAR)
- VYNE Therapeutics’ narrower-than-expected quarterly loss announcement on Nov. 13 failed to prevent a 24% nosedive in U Power’s shares over the past month. The company’s 52-week low is $0.1060. With an RSI value as dismally low as 12.96, U Power’s shares rallied by an impressive 10.2% on Friday, closing at $0.1230.
Digital Brands Group, Inc. (NASDAQ: DBGI)
- Digital Brands Group inked a letter of intent to open a retail store in March on Jan. 16, setting the stage for future developments. Nevertheless, the company witnessed a 16% stock slump in the past five days, alarming investors. With an RSI value of 28.93, shares of Digital Brands closed marginally down at $2.37 on Friday, slightly above its 52-week low of $2.31.
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