Warren Buffett’s Wisdom: Is Sunrun Inc (RUN) Oversold?
Legendary investor Warren Buffett famously suggests that one should be fearful when others are greedy, and greedy when others are fearful. To gauge market fear around a stock, investors often use the Relative Strength Index, or RSI, a technical analysis tool that measures momentum on a scale from 0 to 100. Typically, a stock is deemed oversold if its RSI falls below 30.
On Thursday, Sunrun Inc (Symbol: RUN) found itself in oversold territory with an RSI of 29.7, trading as low as $11.50 per share. In contrast, the current RSI for the S&P 500 ETF (SPY) sits at 67.1. This low RSI reading may signal to bullish investors that the recent selling pressure is nearing its end, prompting them to look for potential buying opportunities. The chart below illustrates the one-year performance of RUN shares:
From the chart, it’s notable that RUN’s 52-week low stands at $8.825, while its high is $22.26. Its last trade was recorded at $11.60, indicating significant movement within the year.
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Also see:
- Top Ten Hedge Funds Holding UNRV
- VSAR Options Chain
- DDOG Average Annual Return
The views and opinions expressed herein are those of the author and do not necessarily reflect the views of Nasdaq, Inc.
