Top 5 Defensive Stocks That Should Keep You Up At Night

The most overbought stocks in the consumer staples sector presents an opportunity to go short on these overvalued companies.

The RSI is a momentum indicator, which compares a stock's strength on days when prices go up to its strength on days when prices go down. When compared to a stock's price action, it can give traders a better sense of how a stock may perform in the short term. An asset is typically considered overbought when the RSI is above 70.

Here’s the latest list of major overbought players in this sector.

Colgate-Palmolive Company CL

• UBS recently maintained Colgate-Palmolive with a Buy and raised the price target from $84 to $86. The company’s stock has a 52-week high of $83.81 .
• RSI Value: 73.77
• CL Price Action: Shares of Colgate-Palmolive gained 1.4% to close at $77.88 on Monday.

Inter Parfums, Inc. IPAR

• Inter Parfums reported a rise in quarterly sales. Jean Madar, Chairman & Chief Executive Officer of Inter Parfums said, "Net sales for the quarter ended March 31, 2023 were not only a first quarter record but were also the highest for any quarter in our history." The company’s stock has a 52-week high of $161.17.
• RSI Value: 71.45
• IPAR Price Action: Shares of Inter Parfums fell 0.5% to close at $156.55 on Monday.

The Clorox Company CLX

• Clorox plans to terminate approximately 200 positions, or roughly 4% of its nonproduction workforce, to streamline its operating model.. The company has a 52-week high of $166.18.
• RSI Value: 71.09
• CLX Price Action: Shares of Clorox fell 0.1% to close at $165.22 on Monday.

Molson Coors Beverage Company TAP

• Barclays recently maintained Molson Coors Beverage with an Equal-Weight and raised the price target from $50 to $52. The company’s 52-week high is $60.12.
• RSI Value: 77.88
• TAP Price Action: Shares of Molson Coors Beverage fell 0.1% to close at $58.29 on Monday.

Lamb Weston Holdings, Inc. LW

• Lamb Weston reported better-than-expected Q3 financial results and issued guidance. "We delivered another quarter of strong operating results and have raised our fiscal 2023 financial targets accordingly," said Tom Werner, President and CEO. The company has a 52-week high of $110.92.
• RSI Value: 71.63
• LW Price Action: Shares of Lamb Weston fell 0.5% to settle at $109.83 on Monday.

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