Top 3 Energy Stocks That May Implode This Quarter

As of July 26, 2024, three stocks in the energy sector could be flashing a real warning to investors who value momentum as a key criteria in their trading decisions.

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, according to Benzinga Pro.

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

Nabors Industries Ltd. NBR

• On July 23, Nabors Industries posted better-than-expected quarterly sales. Anthony G. Petrello, Nabors Chairman, CEO and President, commented, “Our second quarter operating results were better than we expected. This performance was driven by growth and higher average daily margins in our International Drilling segment, as well as stronger performance in our Drilling Solutions and Rig Technologies segments.” The company's stock gained around 45% over the past month and has a 52-week high of $141.47.
• RSI Value: 76.76                              
• NBR Price Action: Shares of Nabors Industries gained 12.7% to close at $100.81 on Thursday.

VAALCO Energy, Inc. EGY

• VAALCO Energy will issue its second quarter earnings release on Tuesday, Aug. 6, after the closing bell. The company's stock gained around 13% over the past month and has a 52-week high of $7.50.
• RSI Value: 70.27
• EGY Price Action: Shares of VAALCO Energy gained 2.9% to close at $7.20 on Thursday.

Oceaneering International Inc OII

• On July 24, Oceaneering International posted better-than-expected quarterly sales. Roderick A. Larson, President and Chief Executive Officer of Oceaneering, stated, “Activity levels in our energy-related businesses, led by Subsea Robotics (SSR), increased and outperformed our expectations. Our adjusted EBITDA was in line with our guidance and consensus estimates.” The company's stock gained around 28% over the past month and has a 52-week high of $29.17.
• RSI Value: 75.67
• OII Price Action: Shares of Oceaneering International gained 13.8% to close at $28.95 on Thursday.

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