Just like Wall Street, the technology market is facing some challenges at the beginning of 2024. This weakness particularly affects companies like Apple, resulting in a decline in the Nasdaq Composite index. However, this situation can present investment opportunities for investors. By analyzing the relative strength index (RSI), CNBC has identified undervalued stocks that may rebound in the near future. For example, Apple is currently the most undervalued shareholder with a 14-day RSI level of 8.87. At the same time, this indicates that the stock is approaching its 200-day moving average. Despite the recent decline, analysts remain optimistic about Apple’s potential, with 47% of them maintaining a buy rating.
Other undervalued technology stocks include Synopsys, a software company, which has an RSI value of 14.86. Despite a slow start this year, their recent bid to acquire Ansys has garnered positive attention. On the other hand, Moderna’s stocks are undervalued on the chart. The RSI value of 80.82 indicates a significant increase in stock prices for the vaccine manufacturer. Despite its undervalued status, analysts still have a positive outlook on Moderna’s future. The recent “undervalued” status update by Oppenheimer is based on expectations of wider product implementation in the coming years.
Frequently Asked Questions (FAQ):
1. What is the relative strength index (RSI)?
The relative strength index (RSI) is a technical indicator that measures the strength and speed of stock price changes. Its value can indicate whether stocks are undervalued or overvalued and can present investment opportunities or potentially refer to undervaluation.
2. What does the undervalued status of stocks mean?
Undervalued status of stocks means that their value is decreasing due to more selling than buying. This situation can result in a lower stock value than their actual worth and can present an investment opportunity.
Source:
CNBC Knowledge Base, available at: https://www.cnbc.com/
The source of the article is from the blog krama.net