Top 5 Real Estate Stocks that Are Ticking Portfolio Bombs

Author: Lisa Levin | May 30, 2023 07:33am

The most overbought stocks in the real estate 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.

The Necessity Retail REIT, Inc. (NASDAQ:RTL)

• Global Net Lease announced on May 23 that it has merged with Necessity Retail REIT Inc. The company’s stock has a 52-week high of $8.19 .
• RSI Value: 71.61
• RTL Price Action: Shares of Necessity Retail REIT rose 4.2% to close at $6.19 on Friday.

Offerpad Solutions Inc. (NYSE:OPAD)

• Offerpad Solutions posted better-than-expected quarterly results. "We are pleased to see the expected sequential improvement in our quarterly results materialize," said Brian Bair, Chairman and CEO of Offerpad. The company’s stock has a 52-week high of $5.17.
• RSI Value: 74.78
• OPAD Price Action: Shares of Offerpad Solutions rose 3.7% to close at $0.6450 on Friday.

eXp World Holdings, Inc. (NASDAQ:EXPI)

• eXp World reported better-than-expected first-quarter EPS results. “In 2009, we successfully launched the cloud-based, agent-centric brokerage model, which is now the model for many newer brokerage firms across the industry. As we iterate on the agent value proposition, our focus is to modernize our infrastructure for the next generation of real estate agents,” said Glenn Sanford, Founder, Chairman and CEO of eXp World Holdings. The company has a 52-week high of $18.70.
• RSI Value: 73.84
• EXPI Price Action: Shares of eXp World Holdings rose 1.1% to close at $15.41 on Friday.

The St. Joe Company (NYSE:JOE)

• St. Joe reported a decline in quarterly EPS. Jorge Gonzalez, the Company’s President and Chief Executive Officer, said, “We grew revenue by 12%. Our hospitality revenue grew by 50% in the first quarter to $24.5 million while preparing to open four new hotels, totaling 561 new rooms, and new club amenities.” The company’s 52-week high is $51.01.
• RSI Value: 76.90
• JOE Price Action: Shares of St. Joe Company rose 1.1% to close at $46.40 on Friday.

Modiv Inc. (NYSE:MDV)

• Modiv reported an increase in quarterly EPS. The company has a 52-week high of $19.25.
• RSI Value: 70.97
• MDV Price Action: Shares of Modiv fell 0.9% to settle at $14.83 on Friday.

 

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Posted In: EXPI JOE MDV OPAD RTL