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3 Deeply Oversold Consumer Staples Stocks Worth Watching This Quarter

MarketDash Editorial Team
5 hours ago
When stocks in the consumer staples sector get beaten down hard enough, they sometimes present compelling buying opportunities. These three companies are showing RSI readings near or below 30, signaling they might be oversold and due for a bounce.

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When stocks get hammered relentlessly, there's often a silver lining for contrarian investors: the chance to buy quality companies at a discount. The consumer staples sector is currently offering up some interesting oversold opportunities that might be worth a closer look.

The Relative Strength Index, or RSI, is a momentum indicator that essentially measures how aggressively a stock has been moving. It compares a stock's strength on up days against its strength on down days. When the RSI dips below 30, conventional wisdom says the stock is oversold and might be due for a rebound. It's not a crystal ball, but it can help traders get a sense of short-term momentum shifts.

Here are three consumer staples companies currently sitting in oversold territory, each with their own story to tell.

Oddity Tech Ltd

Oddity Tech Ltd (ODD) has been taking it on the chin lately. On January 8, Keybanc analyst Scott Schoenhaus maintained an Overweight rating on the stock but dropped the price target from $70 down to $50. That's a meaningful haircut, and the market has noticed. The stock has tumbled around 20% over the past month, now hovering near its 52-week low of $33.06.

RSI Value: 25.3

ODD Price Action: Shares of Oddity Tech dipped 0.1% to close at $33.80 on Wednesday.

The company's Edge Stock Ratings show a momentum score of 91.92 with value coming in at 93.51, suggesting the technical picture might be more interesting than the recent price action indicates.

PMGC Holdings Inc

If you think Oddity Tech had a rough month, wait until you hear about PMGC Holdings Inc (ELAB). This one's been absolutely crushed, dropping approximately 73% over the past month. The stock is now trading near its 52-week low of $3.54.

On January 6, the company announced a 1-for-4 reverse stock split and disclosed an investment in non-controlling shares of Nuclea Energy Inc, a deal that closed back on November 6. Reverse splits are often viewed skeptically by the market, and this case was no exception.

RSI Value: 16.2

ELAB Price Action: Shares of PMGC Holdings fell 11.4% to close at $3.56 on Wednesday.

That RSI of 16.2 is remarkably low, even by oversold standards. The stock is getting pummeled, and the technical indicators are screaming that things might be overdone.

Zevia Pbc

Zevia Pbc (ZVIA), the zero-calorie beverage company, rounds out our oversold trio. The stock has declined roughly 33% over the past month and is now trading near its 52-week low of $1.66.

Despite the beating, analysts haven't entirely given up on the name. On January 14, Telsey Advisory Group analyst Sarang Vora maintained an Outperform rating on Zevia and kept the $6 price target intact. If that target were to materialize, we're talking about more than a triple from current levels.

RSI Value: 26

ZVIA Price Action: Shares of Zevia dropped 3.5% to close at $1.68 on Wednesday.

The thing about oversold stocks is that they're oversold for a reason. Sometimes that reason is temporary panic, and sometimes it's fundamental deterioration. The RSI can tell you when selling has gotten extreme, but it can't tell you whether the selling was justified. That's where doing your homework comes in. These three names are flashing technical signals that suggest they've been beaten down hard, but whether they bounce back depends on the underlying business fundamentals and whether investor sentiment can turn around.

Back to Stock Market News

3 Deeply Oversold Consumer Staples Stocks Worth Watching This Quarter

MarketDash Editorial Team
5 hours ago
When stocks in the consumer staples sector get beaten down hard enough, they sometimes present compelling buying opportunities. These three companies are showing RSI readings near or below 30, signaling they might be oversold and due for a bounce.

Get PMGC Holdings Alerts

Weekly insights + SMS alerts

When stocks get hammered relentlessly, there's often a silver lining for contrarian investors: the chance to buy quality companies at a discount. The consumer staples sector is currently offering up some interesting oversold opportunities that might be worth a closer look.

The Relative Strength Index, or RSI, is a momentum indicator that essentially measures how aggressively a stock has been moving. It compares a stock's strength on up days against its strength on down days. When the RSI dips below 30, conventional wisdom says the stock is oversold and might be due for a rebound. It's not a crystal ball, but it can help traders get a sense of short-term momentum shifts.

Here are three consumer staples companies currently sitting in oversold territory, each with their own story to tell.

Oddity Tech Ltd

Oddity Tech Ltd (ODD) has been taking it on the chin lately. On January 8, Keybanc analyst Scott Schoenhaus maintained an Overweight rating on the stock but dropped the price target from $70 down to $50. That's a meaningful haircut, and the market has noticed. The stock has tumbled around 20% over the past month, now hovering near its 52-week low of $33.06.

RSI Value: 25.3

ODD Price Action: Shares of Oddity Tech dipped 0.1% to close at $33.80 on Wednesday.

The company's Edge Stock Ratings show a momentum score of 91.92 with value coming in at 93.51, suggesting the technical picture might be more interesting than the recent price action indicates.

PMGC Holdings Inc

If you think Oddity Tech had a rough month, wait until you hear about PMGC Holdings Inc (ELAB). This one's been absolutely crushed, dropping approximately 73% over the past month. The stock is now trading near its 52-week low of $3.54.

On January 6, the company announced a 1-for-4 reverse stock split and disclosed an investment in non-controlling shares of Nuclea Energy Inc, a deal that closed back on November 6. Reverse splits are often viewed skeptically by the market, and this case was no exception.

RSI Value: 16.2

ELAB Price Action: Shares of PMGC Holdings fell 11.4% to close at $3.56 on Wednesday.

That RSI of 16.2 is remarkably low, even by oversold standards. The stock is getting pummeled, and the technical indicators are screaming that things might be overdone.

Zevia Pbc

Zevia Pbc (ZVIA), the zero-calorie beverage company, rounds out our oversold trio. The stock has declined roughly 33% over the past month and is now trading near its 52-week low of $1.66.

Despite the beating, analysts haven't entirely given up on the name. On January 14, Telsey Advisory Group analyst Sarang Vora maintained an Outperform rating on Zevia and kept the $6 price target intact. If that target were to materialize, we're talking about more than a triple from current levels.

RSI Value: 26

ZVIA Price Action: Shares of Zevia dropped 3.5% to close at $1.68 on Wednesday.

The thing about oversold stocks is that they're oversold for a reason. Sometimes that reason is temporary panic, and sometimes it's fundamental deterioration. The RSI can tell you when selling has gotten extreme, but it can't tell you whether the selling was justified. That's where doing your homework comes in. These three names are flashing technical signals that suggest they've been beaten down hard, but whether they bounce back depends on the underlying business fundamentals and whether investor sentiment can turn around.