The materials sector is attracting attention from investors seeking potential buying opportunities. Several stocks in this sector are currently considered oversold, presenting a chance to invest in undervalued companies. The Relative Strength Index (RSI) is a crucial tool for identifying such opportunities. The RSI measures a stock’s momentum, comparing its strength on days with rising prices to its strength on days with falling prices. A stock with an RSI below 30 is generally considered oversold. This indicates that the stock has declined significantly in recent times, potentially leading to a rebound in the short term.
Benzinga Pro, a financial data and analysis platform, provides insights into oversold stocks. Based on their data, here are three companies in the materials sector currently exhibiting an RSI near or below 30:
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Tantech Holdings Ltd (TANH):
Tantech Holdings regained compliance with Nasdaq on June 17. Despite this positive development, the company’s stock has fallen around 76% over the past month. Its 52-week low stands at $0.12. TANH currently has an RSI value of 16.88. On Tuesday, shares of Tantech gained 5.6% to close at $0.13.*
N2OFF Inc (NITO):
N2OFF announced on August 20 its plan to utilize its subsidiary, Save Foods, patented technology to extend the shelf life of certain fruits and vegetables. This initiative aims to monetize emission reductions by keeping food in the supply chain. However, the company’s stock has declined around 38% over the past month, with a 52-week low of $0.29. Its RSI value is 28.60. On Tuesday, shares of N2OFF fell 6.9% to close at $0.31.*
Scully Royalty Ltd (SRL):
Scully Royalty announced on August 2 the passing of Director Indrajit Chatterjee. The company’s shares have fallen around 20% over the past five years, with a 52-week low of $3.71. Its RSI value is 28.37. On Tuesday, shares of Scully Royalty fell 0.3% to close at $8.03.These three companies, with their low RSI values, represent potential buying opportunities for investors looking to capitalize on oversold stocks in the materials sector. However, it’s essential to conduct thorough due diligence before making any investment decisions. Consider factors such as the company’s financial performance, industry trends, and overall market conditions. Consulting with a financial advisor can also provide valuable insights.
