Industrials Sector Stocks Showing Warning Signs

Thursday, Aug 21, 2025 8:37 am ET1min read

Two industrials stocks, GMS Inc (GMS) and Bloom Energy Corp (BE), are considered overbought with RSI values of 71.6 and 72.7, respectively. GMS's stock jumped 40% in the past six months and has a 52-week high of $110.28. Bloom Energy posted better-than-expected quarterly earnings and gained 76% over the past month with a 52-week high of $47.21.

Two industrials stocks, GMS Inc (GMS) and Bloom Energy Corp (BE), are currently facing overbought conditions, as indicated by their Relative Strength Index (RSI) values of 71.6 and 72.7, respectively. This signals potential downward pressure on their prices, given that RSI values above 70 are often considered overbought.

GMS Inc has seen its stock price surge by 40% over the past six months, reaching a 52-week high of $110.28. The company's strong performance has been driven by various factors, including robust earnings and strategic acquisitions. However, the recent price appreciation has led to an overbought condition, as indicated by its RSI value of 71.6 [NUMBER: 1].

Similarly, Bloom Energy Corp has gained 76% over the past month, reaching a 52-week high of $47.21. The company's impressive quarterly earnings report, which exceeded analyst expectations, has been a key driver of its stock price increase. However, the stock's RSI value of 72.7 suggests that it may be overbought, potentially signaling a pause or correction in its price momentum [NUMBER: 2].

Investors should be cautious when stocks show signs of being overbought, as it may indicate a temporary price correction or a shift in market sentiment. It is essential to monitor these stocks closely and consider other technical indicators and fundamental factors when making investment decisions.

References:
[1] https://m.economictimes.com/markets/stocks/news/ntpc-info-edge-infosys-among-10-stocks-showing-rsi-trending-up-on-august-20/momentum-alert/slideshow/123421779.cms
[2] https://ca.investing.com/news/analyst-ratings/jefferies-maintains-hold-on-bloom-energy-stock-amid-20-rally-93CH-4164016

Industrials Sector Stocks Showing Warning Signs

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