Unearthing Value: Oversold Stocks in the Materials Sector

Investors eye potential bargains among stocks that are currently underpriced.

The Relative Strength Index (RSI) serves as a useful tool for traders, comparing a stock’s price performance during rising days against its performance on days when prices fall. Generally, an asset is labeled as oversold when its RSI is below 30, as highlighted by Benzinga Pro. This metric can offer insights into a stock’s short-term potential.

Below is a list of noteworthy companies in the materials sector, currently categorized as oversold with RSI values near or below 30.

Brazil Potash Corp GRO

• On January 16, Brazil Potash signed a memorandum of understanding with Keytrade AG for potential offtake rights of up to one million tons of potash annually. Adriano Espeschit, President of Potassio do Brasil, mentioned, “This MOU with Keytrade represents another important step towards Brazil Potash’s development and validates our strategic position in Brazil as a potential premier domestic potash supplier.” The company’s stock has dropped around 52% in the past month and its 52-week low stands at $2.18.
• RSI Value: 27.9
• GRO Price Action: Shares of Brazil Potash increased by 7.5%, closing at $2.58 on Tuesday.
• Benzinga Pro’s real-time news alerts provided updates regarding the latest developments for GRO.

Tronox Holdings PLC TROX

• On February 19, Tronox Holdings announced the appointment of Julie Beck to its Board of Directors, effective March 1. Ilan Kaufthal, chairman of Tronox stated, “We are pleased to welcome Julie to the Tronox Board… Her finance and accounting expertise, senior leadership roles, and experience in various industrial and manufacturing sectors will greatly benefit the Board and its stakeholders.” The company’s stock dropped about 22% over the last month, with a 52-week low of $7.72.
• RSI Value: 28
• TROX Price Action: Tronox shares fell by 1.6% to a close of $7.86 on Tuesday.
• Benzinga Pro’s charting tools provided valuable insights into the trends surrounding TROX stock.

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