Top 3 Tech And Telecom Stocks You May Want To Dump In June

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As of June 4, 2024, three stocks in the communication services 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.

Take-Two Interactive Software, Inc TTWO

  • On May 16, Take-Two Interactive reported adjusted earnings of $1.21 per share and quarterly sales of $1.399 billion, beating the $1.299 billion analyst consensus estimate. “We concluded Fiscal 2024 with strong fourth-quarter results, including Net Bookings of $1.35 billion, which exceeded the high-end of our guidance range. Many of our key franchises outperformed, including NBA 2K24; Zynga’s in-app purchases, led by Toon Blast and our newest hit, Match Factory!; the Red Dead Redemption series and the Grand Theft Auto series,” said Strauss Zelnick, CEO of Take-Two. The company’s stock gained around 10% over the past month and has a 52-week high of $171.59.
  • RSI Value: 78.33                              
  • TTWO Price Action: Shares of Take-Two Interactive rose 2.1% to close at $163.64 on Monday.

United States Cellular Corp USM

  • On May 28, United States Cellular announced that it entered into a definitive agreement to sell its wireless operations and select spectrum assets to T-Mobile. The company’s stock gained around 62% over the past month and has a 52-week high of $59.72.
  • RSI Value: 75.61
  • USM Price Action: Shares of United States Cellular rose 5.8% to close at $58.66 on Monday.

WideOpenWest Inc WOW

  • On May 7, WideOpenWest posted better-than-expected quarterly sales. “Our first quarter results represent a strong start to the year as we make further progress in our new Greenfield markets and continued improvements in our legacy footprint,” said Teresa Elder, WOW!’s CEO. The company’s stock gained around 15% over the past five days and has a 52-week high of $9.06.
  • RSI Value: 71.54
  • WOW Price Action: Shares of WideOpenWest gained 7.4% to close at $5.40 on Monday.

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