The most oversold stocks in the consumer staples sector presents an opportunity to buy into undervalued 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 oversold when the RSI is below 30, according to Benzinga Pro.
Here's the latest list of major oversold players in this sector, having an RSI near or below 30.
B&G Foods Inc (NYSE:BGS)
- On Nov. 5, B&G Foods reported worse-than-expected third-quarter financial results and issued FY24 net sales guidance below estimates. Casey Keller, President and Chief Executive Officer of B&G Foods, said, "B&G Foods' third quarter results reflected a slower than expected recovery in sales trends, consistent with the center store packaged food industry. We expect trends to gradually improve and stabilize into the first half of 2025 as we lap consumer reaction to higher prices across food categories." The company's stock fell around 23% over the past month and has a 52-week low of $6.25.
- RSI Value: 26.16
- BGS Price Action: Shares of B&G Foods fell 3.2% to close at $6.29 on Wednesday.
- Benzinga Pro's real-time newsfeed alerted to latest BGS news.
Coca-Cola Co (NYSE:KO)
- On Oct. 23, Coca-Cola reported a third-quarter 2024 sales decline of 1% year-on-year to $11.9 billion, beating the analyst consensus estimate of $11.59 billion. Coca-Cola forecasts 2024 organic revenue growth of approximately 10%, compared to prior guidance of 9%—10%. The company's stock fell around 10% over the past month and has a 52-week low of $56.70.
- RSI Value: 21.53
- KO Price Action: Shares of Coca-Cola fell 0.3% to close at $63.00 on Wednesday.
- Benzinga Pro's charting tool helped identify the trend in KO stock.
Estee Lauder Companies Inc (NYSE:EL)
- On Oct. 31, the company reported first-quarter adjusted earnings per share of 14 cents, beating the street view of 9 cents. Quarterly sales of $3.36 billion (down 4%), missed the analyst consensus estimate of $3.371 billion. "With this complex industry landscape, including the particular difficulty in forecasting the timing of market stabilization and recovery in China and Asia travel retail, and in the context of leadership changes, we are solely issuing an outlook for the second quarter and withdrawing our fiscal 2025 outlook," Fabrizio Freda, President and Chief Executive Officer said. The company's stock fell around 33% over the past month and has a 52-week low of $62.29.
- RSI Value: 22.66
- EL Price Action: Shares of Estee Lauder rose 0.2% to close at $62.86 on Wednesday.
- Benzinga Pro's signals feature notified of a potential breakout in EL shares.
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