In the world of stock markets, opportunities often arise when companies are underestimated and undervalued. This rings true for the communication services sector, which is currently presenting an enticing opening for investors to snap up shares in what are considered the most oversold stocks.
One such tool that heralds a potential shift is the Relative Strength Index (RSI), a momentum indicator that compares the magnitude of recent gains to recent losses in an attempt to assess overbought or oversold conditions of a particular asset. The 30-point mark is widely regarded as a signal for oversold stocks.
Here’s an overview of the key players in the tech and telecom sector whose RSI values are hovering near or below 30, setting the stage for a potential upswing as February unfolds.
IHS Holding Limited IHS
- On Jan. 16, IHS Towers and Wendel Group reached an agreement on corporate governance matters, signaling a proactive stance to refine internal processes. The company’s stock dipped approximately 22% over the last five days, hitting a 52-week low of $3.16.
- RSI Value: 15.20
- IHS Price Action: Shares of IHS declined by 19.8% to close at $3.19 on Thursday.
AMC Entertainment Holdings, Inc. AMC
- On Jan. 7, AMC Entertainment announced that the “Taylor Swift – The Eras Tour” concert film officially became the highest grossing concert and documentary film in box office history, marking a notable achievement for the company. The stock faced a 34% decline over the past month, reaching a 52-week low of $3.98.
- RSI Value: 29.50
- AMC Price Action: Shares of AMC Entertainment rose by 0.2% to close at $4.06 on Thursday.
iQIYI, Inc. IQ
- The company witnessed a 31% slump over the past month, hitting a 52-week low of $3.22.
- RSI Value: 14.65
- IQ Price Action: Shares of iQIYI fell by 1.8% to close at $3.29 on Thursday.
FingerMotion, Inc. FNGR
- On Jan. 16, FingerMotion posted a third-quarter loss of 4 cents per share, yet the company’s CEO, Martin Shen, remains optimistic about the future, emphasizing their commitment to long-term success despite market challenges. The stock underwent a significant downturn of approximately 42% over the last month, with its 52-week low standing at $1.01.
- RSI Value: 23.39
- FNGR Price Action: Shares of FingerMotion fell by 3% to close at $2.30 on Thursday.
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