Top 5 Health Care Stocks That Could Blast Off In May

The most oversold stocks in the health care sector presents an opportunity to buy into undervalued 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 oversold when the RSI is below 30.

Here’s the latest list of major oversold players in this sector, having an RSI near or below 30.

YS Biopharma Co., Ltd. YS

• YS Biopharma's PIKA Rabies vaccine secured Phase 3 clinical trial approval in Pakistan. The company’s stock has a 52-week low of $1.12 .
• RSI Value: 28.47
• YS Price Action: Shares of YS Biopharma gained 3.1% to close at $1.33 on Thursday.

Intercept Pharmaceuticals, Inc. ICPT

• On Friday, FDA's Gastrointestinal Drugs Advisory Committee voted 12 to 2—with two abstentions—that the benefits of Intercept Pharmaceutical’s Ocaliva 25 mg, also known as Obeticholic acid (OCA), don't outweigh the risks in nonalcoholic steatohepatitis (NASH) patients with stage 2 or 3 fibrosis. The company’s stock has a 52-week low of $8.82.
• RSI Value: 28.39
• ICPT Price Action: Shares of Intercept Pharmaceuticals Services rose 6.3% to close at $9.75 on Thursday.

ViewRay, Inc. VRAY

• ViewRay reported worse-than-expected quarterly revenue results and withdrew guidance. "Our priority remains to ensure we pursue the path that is most favorable for our stakeholders and that the clinical benefits of MRIdian's transformative technology are fully accessible to physicians, hospitals, and patients globally. In line with this, we are evaluating with Goldman Sachs strategic alternatives, including a corporate sale, merger, or other business combination. Concurrently, we are taking steps to reduce operating expenses and cash usage," said Scott Drake, President and CEO of ViewRay. The company’s stock has a 52-week low of $0.51.
• RSI Value: 18.04
• VRAY Price Action: Shares of ViewRay fell 4.7% to close at $0.5340 on Thursday.

Coherus BioSciences, Inc. CHRS

• Coherus reported the U.S. launch of UDENYCA autoinjector. The company’s 52-week low is $4.16.
• RSI Value: 29.24
• CHRS Price Action: Shares of Coherus BioSciences fell 1.2% to close at $4.29 on Thursday.

Surmodics, Inc. SRDX

• Surmodics posted upbeat quarterly earnings. "Second quarter total revenue performance was driven by growth in our Medical Device segment, which increased 7% year-over-year, as we drove commercial progress for our innovative thrombectomy and radial access platforms," said Gary Maharaj, President and CEO of Surmodics, Inc. The company has a 52-week low of $16.00.
• RSI Value: 24.89
• SRDX Price Action: Shares of Surmodics gained 0.3% to close at $17.73 on Thursday.

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