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5 Overbought Materials Stocks Five Stocks You May Want to Reconsider

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As of Jan. 11, 2024, selected stocks in the materials sector might be waving a caution signal to investors who prioritize momentum in their trading decisions.

The RSI indicator, a measure of momentum, could give traders insight into short-term stock performance based on price action. When the RSI exceeds 70, the asset is often viewed as overbought (Benzinga Pro).

Hereโ€™s a closer look at some major overbought players in this sector.

Pactiv Evergreen Inc. PTVE

  • Following upbeat quarterly earnings on Nov. 1, Pactiv Evergreenโ€™s stock surged approximately 15% over the past month and reached a high of $14.85.
  • RSI Value: 74.07
  • PTVE Price Action: Pactiv Evergreenโ€™s shares closed at $14.25 on Wednesday, down 1.7%.

Ascent Industries Co. ACNT

  • On Dec. 26, 2023, Ascent Industries reported the sale of Specialty Pipe & Tube for about $55 million. The companyโ€™s stock gained approximately 27% over the past month and reached a 52-week high of $11.56.
  • RSI Value: 71.02
  • ACNT Price Action: Ascent Industriesโ€™ shares closed at $9.81 on Wednesday, showing a 0.4% decrease.

United States Steel Corporation X

  • On Dec. 18, Nippon Steel announced the acquisition of United States Steel for $55 per share. The companyโ€™s stock surged approximately 34% over the past month and reached a 52-week high of $50.20.
  • RSI Value: 77.00
  • X Price Action: United States Steelโ€™s shares closed at $48.28 on Wednesday, down 0.3%.

Smith-Midland Corporation SMID

  • On Dec. 12, Smith-Midland secured a $3.8 million J-J Hooks Barrier Rental contract for I-64 in Virginia. The companyโ€™s stock grew around 10% over the past month and reached a 52-week high of $42.50.
  • RSI Value: 73.70
  • SMID Price Action: Smith-Midlandโ€™s shares closed at $40.20 on Wednesday, showing a 1.3% increase.

Rayonier Advanced Materials Inc. RYAM

  • Following downbeat quarterly results on Nov. 7, RYAMโ€™s stock surged approximately 23% over the past month and reached a 52-week high of $8.65.
  • RSI Value: 71.00
  • RYAM Price Action: Rayonier Advanced Materialsโ€™ shares closed at $4.26 on Wednesday, showing a 0.2% increase.

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