Top 5 Materials Stocks Which Could Rescue Your Portfolio This Month

The most oversold stocks in the basic materials 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.

Adamas One Corp. JEWL

• Adamas One renegotiated lease for its new South Carolina manufacturing facility. The company’s stock has a 52-week low of $1.45 .
• RSI Value: 25.41
• JEWL Price Action: Shares of Adamas One fell 2.3% to close at $1.4950 on Wednesday and added 3% in after-hours trading.

Sibanye Stillwater Limited SBSW

• The company’s stock tumbled around 18% over the past month. The company’s stock has a 52-week low of $8.00.
• RSI Value: 24.79
• SBSW Price Action: Shares of Sibanye Stillwater fell 3.3% to close at $9.45 on Wednesday and added 0.9% in after-hours trading.

Gold Fields Limited GFI

• Gold Fields said it sees its profit to increase as much as 22% for the full year. The company’s stock has a 52-week low of $7.03.
• RSI Value: 27.59
• GFI Price Action: Shares of Gold Fields fell 3.9% to close at $10.12 on Wednesday.

AngloGold Ashanti Limited AU

• Bank of America recently upgraded AngloGold Ashanti from Neutral to Buy with a price target of $24. The company’s 52-week low is $11.94.
• RSI Value: 21.12
• AU Price Action: Shares of AngloGold Ashanti fell 6.6% to close at $18.48 on Wednesday.

Hecla Mining Company HL

• Hecla Mining reported worse-than-expected Q4 sales results. Phillips S. Baker Jr., President and CEO said, "In 2022, we achieved our largest silver reserves and second highest silver production in our history, and expect to set new records in 2023 and 2024. If our growth continues as expected, Hecla would produce not only 40% of all the silver mined in the US, but also 40% of all silver mined in Canada. The company has a 52-week low of $3.41.
• RSI Value: 24.57
• HL Price Action: Shares of Hecla Mining dropped 9.4% to close at $5.12 on Wednesday.

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