Benzinga - by Avi Kapoor, Benzinga Staff Writer.
As of Dec. 28, 2023, three stocks in the utilities sector could be flashing a real warning to investors who value momentum as a key criteria in their trading decisions.
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, according to Benzinga Pro.
Here’s the latest list of major overbought players in this sector.
Otter Tail Corporation (NASDAQ: OTTR)
- On Oct. 30, Otter Tail posted better-than-expected sales for the third quarter. "Otter Tail Corporation, through the combined efforts of our employees and our diversified business model, delivered record setting quarterly earnings," said President and CEO Chuck MacFarlane. The company’s stock jumped around 17% over the past month and has a 52-week high of $92.74 .
- RSI Value: 75.51
- OTTR Price Action: Shares of Otter Tail fell 1.1% to close at $87.35 on Wednesday.
- On Nov. 2, Clearway Energy reiterated its 2023 full year CAFD outlook of $330 million to $360 million and initiated 2024 CAFD guidance of $395 million. The company’s stock gained around 10% over the past month and has a 52-week high of $35.14.
- RSI Value: 72.04
- CWEN Price Action: Shares of Clearway Energy fell 0.2% to close at $27.64 on Wednesday.
- On Dec. 4, ReNew Energy Global signed a Memorandum of Understanding with the Asian Development Bank to collaborate on climate change mitigation and adaptation projects covering an investment value of over $5.3 billion between 2023-2028. The company’s stock jumped around 23% over the past month and has a 52-week high of $7.69.
- RSI Value: 73.10
- RNW Price Action: Shares of ReNew Energy Global gained 0.7% to close at $7.66 on Wednesday.
- On Nov. 6, Genie Energy reported a year-over-year increase in third-quarter revenue results and raised FY23 adjusted EBITDA guidance. Michael Stein, chief executive officer of Genie Energy, commented, "Our third quarter results were highlighted by record quarterly revenue and the strong bottom-line performance of our domestic energy supply business." The company’s stock gained around 22% over the past month and has a 52-week high is $30.90.
- RSI Value: 71.04
- GNE Price Action: Shares of Genie Energy fell 2.6% to close at $29.81 on Wednesday.
Read More: https://www.benzinga.com/news/23/12/36395783/amazon-adobe-and-2-other-stocks-insiders-are-selling
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