Top 5 Consumer Stocks That May Fall Off A Cliff

Author: Lisa Levin | August 16, 2023 08:56am

The most overbought stocks in the consumer discretionary 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.

Modine Manufacturing Company (NYSE:MOD)

• Modine Manufacturing reported better-than-expected first-quarter financial results and revised FY24 net revenue outlook. "This was an incredible quarter for Modine, with record revenue and significant margin expansion, as both segments exceeded expectations by driving strong growth and operational improvements," said Modine President and Chief Executive Officer, Neil D. Brinker. The company’s stock has a 52-week high of $47.48. .
• RSI Value: 71.49
• MOD Price Action: Shares of Modine Manufacturing fell 4.5% to close at $44.16 on Tuesday.

Genius Group Limited (NYSE:GNS)

• Genius Group recentlyannounced it received a Warning Letter from NYSE regarding the manner of disclosures from March 2023 events via Twitter.. The company’s stock has a 52-week high of $11.80.
• RSI Value: 76.12
• GNS Price Action: Shares of Genius Group fell 10.7% to close at $1.42 on Tuesday.

MakeMyTrip Limited (NASDAQ:MMYT)

• MakeMyTrip reported better-than-expected first-quarter financial results.. The company has a 52-week high of $37.38.
• RSI Value: 77.77
• MMYT Price Action: Shares of MakeMyTrip fell 2.5% to close at $36.41 on Tuesday.

Perdoceo Education Corporation (NASDAQ:PRDO)

• Perdoceo Education posted upbeat quarterly results. "Second quarter results came in ahead of our expectations, as we experienced further improvements in student retention and engagement, supported by various operating changes and technology upgrades within our onboarding, academic and student support processes," said Andrew Hurst, Chief Executive Officer. The company’s 52-week high is $17.06.
• RSI Value: 78.11
• PRDO Price Action: Shares of Perdoceo Education fell 1% to close at $16.39 on Tuesday.

Light & Wonder, Inc. (NASDAQ:LNW)

• Light & Wonder posted stronger-than-expected quarterly sales. Matt Wilson, President and Chief Executive Officer of Light & Wonder, said, "Our reported numbers continue to validate the investments that we’ve made in our business and demonstrate the significant progress we are making towards our long-term targets." The company has a 52-week high of $76.43.
• RSI Value: 71.93
• LNW Price Action: Shares of Light & Wonder fell 0.8% to settle at $74.95 on Tuesday.

 

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Posted In: GNS LNW MMYT MOD PRDO