Top 5 Energy Stocks That May Crash This Quarter

Author: Avi Kapoor | January 31, 2024 09:17am

As of Jan. 31, 2024, five stocks in the energy 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.

Helmerich & Payne, Inc. (NYSE:HP)

• On Jan. 29, Helmerich & Payne reported better-than-expected first-quarter adjusted EPS results. “Our recent successes on the international front are evidence of this with our announcement of securing work for eight rigs in the Middle East, subject to finalization of contractual agreements. Including the one rig contracted in August 2023, we now have plans to put nine additional rigs to work in the Middle East, which when they begin operations will nearly double our existing international active rig count,” said President and CEO John Lindsay. The company’s stock jumped around 18% over the past five days and has a 52-week high of $48.44 .
• RSI Value: 76.02
• HP Price Action: Shares of Helmerich & Payne gained 12% to close at $40.62 on Tuesday.

Phillips 66 (NYSE:PSX)

• Phillips 66 is expected to release its quarterly earnings results on Jan. 31, 2024. The company’s stock gained around 8% over the past five days and has a 52-week high of $142.58.
• RSI Value: 71.10
• PSX Price Action: Shares of Phillips 66 rose 2.4% to close at $142.41 on Tuesday.

Teekay Corporation (NYSE:TK)

• On Nov. 2, Teekay posted an increase in third-quarter sales results. The company’s stock gained around 24% over the past month and has a 52-week high of $9.00.
• RSI Value: 76.73
• TK Price Action: Shares of Teekay gained 3.3% to close at $8.99 on Tuesday.

Valero Energy Corporation (NYSE:VLO)

• On Jan. 25, the company said quarterly revenue of $35.41 billion missed the consensus of $35.69 billion. Adjusted EPS was $3.55, beating the consensus of $2.95. Valero ended 2023 with $9.2 billion of total debt, $2.3 billion of finance lease obligations, and $5.4 billion of cash and cash equivalents. The company’s stock jumped around 9% over the past five days and has a 52-week high is $152.20.
• RSI Value: 70.08
• VLO Price Action: Shares of Valero Energy gained 2.5% to close at $141.89 on Tuesday.

TORM plc (NASDAQ:TRMD)

• On Nov. 9, TORM posted better-than-expected third-quarter sales. The company’s stock jumped around 15% over the past month and has a 52-week high of $37.11.
• RSI Value: 70.01
• TRMD Price Action: Shares of TORM fell 0.5% to close at $36.25 on Tuesday.

 

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Posted In: HP PSX TK TRMD VLO