Top 2 Materials Stocks That Are Ticking Portfolio Bombs
Author: Avi Kapoor | October 21, 2025 07:58am
As of Oct. 21, 2025, two stocks in the materials 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.
On Oct. 20, Crown Holdings reported better-than-expected third-quarter financial results and raised its FY25 adjusted EPS guidance above estimates. Also, the company issued fourth-quarter adjusted EPS guidance above estimates. "The Company continued its robust 2025 performance during the third quarter, with adjusted diluted earnings per share increasing 13% and segment income 4% above a very strong prior year quarter," said Timothy J. Donahue, CEO. "Driving the results was 12% volume growth in European Beverage, leading to a gain of 27% in European segment income. Global beverage can volumes were mixed during the quarter with softness in Asia and Latin America offsetting double-digit advances in Europe and the Middle East." The company's stock gained around 5% over the past five days and has a 52-week high of $109.48.
RSI Value: 71.5
CCK Price Action: Shares of Crown rose 0.6% to close at $94.41 on Monday.
Edge Stock Ratings: 39.78 Momentum score with Value at 30.56.
On Oct. 17, HSBC maintained Alcoa with a Buy and raised the price target from $33 to $41. The company's stock gained around 19% over the past month and has a 52-week high of $47.77.
RSI Value: 73
AA Price Action: Shares of Alcoa gained 8.3% to close at $38.96 on Monday.