As of Feb. 26, 2026, two stocks in the consumer discretionary 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.
Rocky Brands Inc (NASDAQ:RCKY)
- On Feb. 24, Rocky Brands reported better-than-expected fourth-quarter financial results. “We concluded 2025 with our highest quarterly net sales growth rate for the year in the fourth quarter, reflecting the momentum that has been building in our business,” said Jason Brooks, Chairman, President and Chief Executive Officer. The company’s stock gained around 38% over the past five days and has a 52-week high of $46.98.
- RSI Value: 91.5
- RCKY Price Action: Shares of Rocky Brands rose 37.4% to close at $46.00 on Wednesday.
- Edge Stock Ratings: 93.67 Momentum score with Value at 80.82.
Tri Pointe Homes Inc (NYSE:TPH)
- On Feb. 25, Tri Pointe Homes posted upbeat quarterly results. Tri Pointe Homes reported quarterly earnings of 80 cents per share which beat the analyst consensus estimate of 78 cents per share. The company reported quarterly sales of $954.594 million which beat the analyst consensus estimate of $923.033 million. The company’s stock gained around 37% over the past month and has a 52-week high of $46.62.
- RSI Value: 85.2
- TPH Price Action: Shares of Tri Pointe Homes rose 0.1% to close at $46.38 on Wednesday.
Learn more about BZ Edge Rankings—click to see scores for other stocks in the sector and see how they compare.
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