Top 3 Industrials Stocks That May Plunge In January

As of Jan. 22, 2025, three stocks in the industrials 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.

United Airlines Holdings Inc UAL

On Jan. 21, United Airlines reported fourth-quarter revenue of $14.7 billion, beating the consensus estimate of $14.4 billion. The airline company reported adjusted earnings of $3.26 per share, beating analyst estimates of $2.99 per share, according to Benzinga Pro. "United had a unique strategy coming out of COVID and our people have delivered for customers leading to a structurally and permanently changed industry," said Scott Kirby, CEO of United Airlines. The company's stock surged around 11% over the past month and has a 52-week high of $110.92.
RSI Value: 75.1
UAL Price Action: Shares of United Airlines gained 2.9% to close at $110.52 on Tuesday.

American Airlines Group Inc AAL

On Jan. 17, B of A Securities upgraded the stock from Underperform to Neutral and raised its price target from $12 to $20. The company's stock gained around 8% over the past month and has a 52-week high of $18.65.
RSI Value: 72
AAL Price Action: Shares of American Airlines Group gained 2% to close at $18.64 on Tuesday.

Delta Air Lines Inc DAL

On Jan. 10, Delta reported fourth-quarter adj. operating revenue growth of 5.7% year-over-year to $14.437 billion. GAAP operating revenue was $15.56 billion (+9.4% YoY), beating the consensus of $14.212 billion. The company's stock gained around 11% over the past month and has a 52-week high of $68.99.
RSI Value: 73.2
DAL Price Action: Shares of Delta Air Lines gained 3.8% to close at $68.34 on Tuesday.

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