The stock market has been on a rollercoaster ride lately, with some blue-chip stocks taking a hit. However, this could present a buying opportunity for savvy investors looking to capitalize on oversold stocks. In this article, we will take a look at 11 oversold blue-chip stocks to buy right now.
The S&P 500 Index has been performing well, up nearly 10.8% year-to-date and 29.7% over the past twelve months. Investor optimism about potential interest rate cuts in 2024 and the dovish outlook presented by the Federal Reserve have contributed to this rally.
Despite the overall positive market sentiment, some megacap stocks have struggled. Apple Inc. and Tesla Inc. are among the companies facing challenges, with their stocks down year-to-date due to various factors such as antitrust concerns and demand issues.
Other blue-chip stocks like McDonald’s Corporation and The Boeing Company have also faced individual negative catalysts, leading to their oversold status. However, these companies still have strong fundamentals and could be attractive investment opportunities for those willing to take a chance.
To create the list of 11 oversold blue-chip stocks, we compiled a list of stocks with more than $50.0 billion in market capitalization with the lowest 14-day Relative Strength Index (RSI). The RSI is a technical indicator that tracks momentum changes in stock prices, with levels below 30 indicating oversold conditions.
Among the oversold blue-chip stocks to consider are Amgen, Inc., Novartis AG, and Workday, Inc. These companies have solid financials and growth prospects, making them potentially lucrative investments.
In conclusion, while the market may be volatile, there are opportunities to be found in oversold blue-chip stocks. By conducting thorough research and analysis, investors can identify undervalued companies with strong potential for growth. It’s always important to consult with a financial advisor before making any investment decisions.
