Warren Buffett’s Wisdom: Is Now the Time to Buy Merus NV (MRUS)?
Investors Analyze the Fear in Merus NV Shares
Legendary investor Warren Buffett famously advises to be fearful when others are greedy, and to be greedy when others are fearful. One method to gauge fear in a stock is by using a technical indicator known as the Relative Strength Index (RSI). This indicator measures momentum on a scale of zero to 100, with a stock deemed oversold if the RSI falls below 30.
On Monday, shares of Merus NV (Symbol: MRUS) dipped into oversold territory, registering an RSI of 29.5 after trading as low as $44.16 per share. In contrast, the S&P 500 ETF (SPY) currently has an RSI reading of 55.9. From this perspective, a bullish investor might view the 29.5 RSI for MRUS as an indication that the intense selling pressure may be easing, potentially signaling a good time to buy. Below is the one-year performance chart for MRUS shares:
According to the chart, MRUS has a 52-week low of $22.26 and a high of $61.61, with the latest trade price at $44.27.
Discover 9 other oversold stocks worth watching »
Additional Resources:
- Yield Charts
- QSEP Insider Buying
- Funds Holding RNEW
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
