What does the oversold stocks in the communication services sector bring to mind? Perhaps, opportunity knocking at the door of savvy investors, like a lost puppy seeking its rightful owner. Yes, it’s one of those moments, in the teetering market, when patience and discernment may reap untold rewards. Enter the Relative Strength Index (RSI), a trusted yardstick. When RSI slouches below 30, it waves a frayed flag, signaling a stock may be oversold. So, who are the likely rockstars poised for a comeback? These four companies are scampering in the wings, perhaps, ready to rocket higher before February breathes its last.
The RSI is a momentum indicator, comparing a stock’s strength on up and down days. It’s forecasting, a harbinger, filing the tea leaves, giving traders a blueprint for short-term performance. When the RSI descends below 30, savvy investors worldwide perk up. They smell the acrid aroma of a bargain. Imbued with this knowledge, let’s embark on a journey through the valleys of the tech and telecom stocks…
Scienjoy Holding Corporation SJ
- On Dec. 15, Scienjoy Holding posted a 9-month loss of 7 cents per share. Mr. Victor He, Chairman and Chief Executive Officer of Scienjoy, commented, “I am delighted to unveil our exciting developments in SJ Verse and other progress. SJ Media, arising from the merger between BeeLive and NUJOOM ALMASHREQ MEDIA L.L.C (“NUJOOM”), has evolved into an AI-enabled live streaming platform, providing unparalleled interactive experiences. SuperJ is reshaping the retail landscape with its distinctive ‘pay less and get a surprise’ model, elevating the lifestyle dimension of SJ Verse. DVCC TECHNOLOGY L.L.C (“DVCC”), our comprehensive race event platform, continues to deliver thrilling entertainment to our audience. However, our journey doesn’t stop here.” The company’s stock fell around 72% over the past month and has a 52-week low of $0.6560 .
- RSI Value: 26.75
- SJ Price Action: Shares of Scienjoy gained 5.9% to close at $0.8260 on Thursday.
Global Mofy Metaverse Limited GMM
- On Jan. 31, Global Mofy Metaverse posted FY23 EPS of 26 cents per share. The company’s stock fell around 25% over the past month. It has a 52-week low of $2.08.
- RSI Value: 26.51
- GMM Price Action: Shares of Global Mofy Metaverse rose 2.7% to close at $2.29 on Thursday.
Moving iMage Technologies, Inc. MITQ
- On Feb. 14, Moving iMage Technologies reported a year-over-year decrease in second-quarter revenue results. “As expected, our second quarter results were down versus last year, reflecting the end to the Shuttered Venue Operators Grant, or SVOG, spending and the impact of the writers’ and actors’ strikes, which negatively impacted the box office and our customers’ ability to build budgets for 2024,” said Phil Rafnson, chairman and chief executive officer, MiT. The company’s stock fell around 23% over the past five days and has a 52-week low of $0.65.
- RSI Value: 24.37
- MITQ Price Action: Shares of Moving iMage Technologies fell 3.1% to close at $0.6506 on Thursday.
Iridium Communications Inc. IRDM
- On Feb. 15, Iridium Communications reported flat fourth-quarter FY23 revenue growth to $194.74 million, beating the consensus of $194.03 million. “Iridium executed well in 2023, delivering another solid year of commercial services growth. Strength was broad based with subscriber growth across all commercial service lines,” said Matt Desch, CEO, Iridium. The company’s shares lost around 12% over the past five days. The company’s 52-week low is $30.42.
- RSI Value: 19.73
- IRDM Price Action: Shares of Iridium Communications fell 13% to close at $30.47 on Thursday.
