Top 3 Utilities Stocks That Could Lead To Your Biggest Gains This Month

The most oversold stocks in the utilities 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, according to Benzinga Pro.

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

Constellation Energy Corp CEG

On Jan. 10, Constellation Energy announced an agreement to acquire electricity generation company Calpine Corp. in a cash and stock deal valued at $16.4 billion. The transaction also entails the assumption of Calpine's debt, bringing the total net purchase price to approximately $26.6 billion.. The company' stock has a 52-week low of $109.44.
RSI Value: 27.4
CEG Price Action: Shares of Constellation Energy fell 8.5% to close at $279.24 on Monday.
Benzinga Pro's real-time newsfeed alerted to latest CEG news.

AES Corp AES

On Dec. 6, AES announced a 2% increase in quarterly dividend. The company's stock fell around 12% over the past five days and has a 52-week low of $11.57.
RSI Value: 28.9
AES Price Action: Shares of AES fell 2.8% to close at $11.69 on Monday.
Benzinga Pro’s charting tool helped identify the trend in AES stock.

American Water Works Company Inc AWK

On Jan. 7, Wells Fargo analyst Jonathan Reeder upgraded American Water Works from Underweight to Equal-Weight and lowered the price target from $133 to $129. The company's stock fell around 6% over the past month and has a 52-week low of $113.34.
RSI Value: 22.7
AWK Price Action: Shares of American Water Works fell 0.1% to close at $121.01 on Monday.
Benzinga Pro’s signals feature notified of a potential breakout in AWK shares.