Benzinga - by Lisa Levin, Benzinga Editor. The most overbought stocks in the financial sector presents an opportunity to go short on these overvalued companies.
The RSI is a momentum indicator, which compares a stock's strength on days when prices go up to its strength on days when prices go down. When compared to a stock's price action, it can give traders a better sense of how a stock may perform in the short term. An asset is typically considered overbought when the RSI is above 70.
Here’s the latest list of major overbought players in this sector.
First Northwest Bancorp (NASDAQ: FNWB)
- First Northwest Bancorp reported quarterly net income of $1.8 million for the second quarter of 2023. "We grew deposits this quarter and are cautiously optimistic that funding costs have begun to stabilize," said Matthew P. Deines, President and CEO of First Northwest Bancorp. The company’s stock has a 52-week high of $16.82. .
- RSI Value: 71.90
- FNWB Price Action: Shares of First Northwest Bancorp fell 0.9% to close at $12.74 on Monday.
- UBS said it no longer required the Swiss government's loss protection and liquidity backstop agreements. The company’s stock has a 52-week high of $23.74.
- RSI Value: 74.05
- UBS Price Action: Shares of UBS gained 0.3% to close at $23.49 on Monday.
- Riverview Bancorp posted in-line earnings for the first quarter. The company has a 52-week high of $8.00.
- RSI Value: 71.00
- RVSB Price Action: Shares of Riverview Bancorp fell 1.3% to close at $5.87 on Monday.
- Barings BDC reported a second-quarter earnings beat. Eric Lloyd, Chief Executive Officer of Barings BDC, stated, "We continued to deliver strong results for our shareholders through the second quarter, led by increased investment income combined with strong credit characteristics within our holdings." The company’s 52-week high is $10.25.
- RSI Value: 75.42
- BBDC Price Action: Shares of Barings BDC fell 0.3% to close at $9.12 on Monday.
- Erie Indemnity Company reported better-than-expected second-quarter financial results. The company has a 52-week high of $293.26.
- RSI Value: 73.38
- ERIE Price Action: Shares of Erie Indemnity fell 0.2% to settle at $280.70 on Monday.
Read More: Investor Optimism Improves Slightly After Nasdaq Ends 4-Session Losing Streak
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.