Warren Buffett’s Advice Reflects in Oversold CCU Stock Analysis
Warren Buffett famously advises investors to be cautious when others are greedy and to seize opportunities when others are afraid. One method to gauge market fear is through the Relative Strength Index (RSI), which measures momentum on a scale of zero to 100. Stocks are deemed oversold when the RSI dips below 30.
On Monday, shares of Compania Cervecerias Unidas S.A. (Symbol: CCU) entered oversold territory with an RSI of 29.5, trading as low as $13.45 per share. In contrast, the S&P 500 ETF (SPY) maintains an RSI of 63.5. Investors with a bullish outlook may view CCU’s 29.5 RSI as a potential signal that selling pressure is easing, prompting them to consider buying opportunities.
The chart below illustrates the one-year performance of CCU shares:
CCU’s 52-week range highlights a low of $10.03 and a high of $15.70, while the most recent trade was at $13.49.
Discover other oversold stocks worth considering.
Additional Information:
- Top Stocks Held By Chase Coleman
- Institutional Holders of AFK
- IDV Market Cap History
The views expressed here are those of the author and do not necessarily reflect the views of Nasdaq, Inc.
