Top 2 Materials Stocks That May Crash In Q1

As of March 28, 2025, two stocks in the materials 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.

United States Steel Corp (NYSE:X)

• On March 20, the company guided for the first quarter of 2025 adjusted EPS loss of 53 cents – 49 cents vs. consensus loss of 30 cents. Also, the company expects adjusted EBITDA of about $125 million in the first quarter of 2025, in line with prior first quarter outlook of $100 million – $150 million. The company's stock gained around 7% over the past month and has a 52-week high of $43.61.
• RSI Value: 73.6                                
• X Price Action: Shares of United States Steel ( X ) gained 0.1% to close at $42.98 on Thursday.

Harmony Gold Mining Company Ltd (NYSE:HMY)

• On Oct. 10, 2024, JP Morgan analyst Catherine Cunningham upgraded Harmony Gold Mining Co ( HMY ) from Underweight to Neutral and raised the price target from $4.9 to $8.2. The company's stock gained around 29% over the past month and has a 52-week high of $13.12.
• RSI Value: 71.9
• HMY Price Action: Shares of Harmony Gold Mining ( HMY ) gained 2.2% to close at $12.84 on Thursday.

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