Top 3 Tech Stocks That Are Ticking Portfolio Bombs

As of Sept. 26, 2024, three stocks in the information technology 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.

Micron Technology Inc MU

• After the closing bell on Wednesday, Micron reported better-than-expected fourth-quarter financial results. The company reported fourth-quarter revenue of $7.75 billion, beating the consensus estimate of $7.635 billion. The company reported fourth-quarter adjusted earnings of $1.18 per share, beating analyst estimates of $1.13 per share, according to Benzinga Pro. "Micron delivered 93% year-over-year revenue growth in fiscal Q4, as robust AI demand drove a strong ramp of our data center DRAM products and our industry-leading high bandwidth memory. Our NAND revenue record was led by data center SSD sales, which exceeded $1 billion in quarterly revenue for the first time," said Sanjay Mehrotra, president and CEO of Micron. The company's stock gained around 7% over the past five days and has a 52-week high of $157.54.
• RSI Value: 70.11                              
• MU Price Action: Shares of Micron gained 1.9% to close at $95.77 on Wednesday.

Progress Software Corp PRGS

• On Sept. 24, Progress Software reported better-than-expected financial results for the third quarter. "This is a very exciting time for Progress. Our Q3 results were ahead of our guidance, and I am extremely pleased with our execution during the quarter," said Yogesh Gupta, CEO of Progress. The company's stock gained around 10% over the past five days and has a 52-week high of $65.84.
• RSI Value: 85.64
• PRGS Price Action: Shares of Progress Software rose 11.9% to close at $63.92 on Wednesday.

Zeta Global Holdings Corp ZETA

• On Sept. 23, DA Davidson analyst Clark Wright maintained Zeta Global with a Buy and raised the price target from $30 to $35. The company's stock gained around 18% over the past month and has a 52-week high of $30.47.
• RSI Value: 71.60
• ZETA Price Action: Shares of Zeta Global fell 2% to close at $29.63 on Wednesday.

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