TSX Stocks: Most Oversold and Overbought for the Week

The S&P/TSX Composite rose 0.7% for the week, with a 13.0% gain for 2023. The Relative Strength Index (RSI) of 71 indicates the index is overbought and vulnerable to a pullback. Four stocks are oversold: Winpak Ltd., Superior Plus Corp., Teck Resources Ltd., and Canadian National Railway Co. 23 stocks are overbought, including Transalta Corp., Spartan Delta Corp., Brookfield Corp., CI Financial Corp., and Emera Inc. 13 stocks hit new 52-week highs, including Toronto-Dominion Bank, Canadian Imperial Bank of Commerce, Imperial Oil Ltd., Barrick Mining Co., and Cameco Corp.

The S&P/TSX Composite Index rose 0.7% for the week ending July 2, 2025, marking a 13.0% gain for the year. Despite the positive trend, the index's Relative Strength Index (RSI) of 71 indicates it is overbought, suggesting a potential temporary pullback. This overbought condition is echoed in the stock market, with 23 stocks identified as overbought, including Transalta Corp., Spartan Delta Corp., Brookfield Corp., CI Financial Corp., and Emera Inc. [1]

Meanwhile, four stocks are classified as oversold: Winpak Ltd., Superior Plus Corp., Teck Resources Ltd., and Canadian National Railway Co. [1]

The week also saw 13 stocks hitting new 52-week highs, with Toronto-Dominion Bank (TD) being one of the prominent names. On Tuesday, July 22, 2025, TD reached a new 52-week high of $75.12, trading at $75.10 at the close. This marks a significant milestone for the bank, which has been the subject of several analyst reports. Royal Bank of Canada (RBC) increased its target price on TD from $87.00 to $93.00, assigning a "sector perform" rating. Scotiabank also began coverage on TD, setting a similar "sector perform" rating. Wall Street Zen raised TD from a "sell" to a "hold" rating. [3]

Analysts predict that TD will post 5.48 earnings per share for the current fiscal year, with a consensus price target of $93.00. The stock has a market cap of $128.84 billion, a P/E ratio of 10.98, and a P/E/G ratio of 1.70. The 50-day simple moving average is $71.05, while the 200-day simple moving average is $63.30. TD's quick ratio is 1.03, and its current ratio is 1.03. The debt-to-equity ratio stands at 0.09. [3]

In its latest earnings report, TD reported $1.39 EPS for the quarter, exceeding the consensus estimate of $1.25. Revenue for the quarter was $10.97 billion, compared to analysts' expectations of $13.36 billion. The bank had a net margin of 13.53% and a return on equity of 13.11%. [3]

References:
[1] https://www.theglobeandmail.com/investing/markets/inside-the-market/article-the-most-oversold-and-overbought-stocks-on-the-tsx-140/
[2] https://www.macrotrends.net/stocks/charts/TD/toronto-dominion-bank/stock-price-history
[3] https://www.marketbeat.com/instant-alerts/toronto-dominion-bank-nysetd-hits-new-52-week-high-time-to-buy-2025-07-22/