Tech and telecom stocks have taken a beating lately, but all is not lost. In fact, the most oversold stocks in the communication services sector presents an opportunity to buy into undervalued companies. That’s right, it’s time to sift through the rubble and unearth the hidden gems.
Among the tools used by investors is the Relative Strength Index (RSI) – a momentum indicator that compares a stock’s strength on up days to its strength on down days. Armed with this knowledge, traders have a better sense of how a stock may perform in the short term. When the RSI dips below 30, the stock is considered oversold, presenting a potential buying opportunity.
Scienjoy Holding Corporation (SJ)
- Scienjoy Holding revealed a 9-month loss of 7 cents per share, causing the stock to plummet by approximately 72% over the past month. With a 52-week low of $0.6560, the RSI value is now as low as 26.75. On Thursday, shares of Scienjoy gained 5.9% and closed at $0.8260, indicating a possible turnaround.
Global Mofy Metaverse Limited (GMM)
- Global Mofy Metaverse posted an FY23 EPS of 26 cents per share, with the stock dropping by about 25% over the past month. With a 52-week low of $2.08, the RSI value stands at 26.51. However, on Thursday, shares of Global Mofy Metaverse rose 2.7% to close at $2.29, hinting at a potential rebound.
Moving iMage Technologies, Inc. (MITQ)
- Moving iMage Technologies reported a year-over-year decrease in second-quarter revenue results, leading to a 23% dip in its stock over the past five days. With a 52-week low of $0.65, the RSI value is now at 24.37. On Thursday, shares of Moving iMage Technologies fell 3.1% to close at $0.6506, indicating a possible inflection point.
Iridium Communications Inc. (IRDM)
- Iridium Communications recently reported flat fourth-quarter FY23 revenue growth to $194.74 million. While its shares lost around 12% over the past five days, the RSI value now sits at 19.73. With a 52-week low of $30.42, the stock closed at $30.47 on Thursday, down by 13%, but potentially reaching its nadir.