Top 3 Defensive Stocks That May Collapse In Q1
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As of Feb. 14, 2025, three stocks in the consumer staples 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.

Pilgrims Pride Corp PPC

  • On Feb. 12, Pilgrims Pride posted better-than-expected quarterly earnings. While we experienced a positive market environment with lower input costs and strong chicken demand in 2024, we elevated our performance across all regions through a continued focus on controlling what we can control,” said Fabio Sandri, Pilgrim’s President and CEO. “As such, we improved efficiencies through operational excellence, expanded relationships with key customers, and drove growth in our value-added portfolio.” The company's stock gained around 14% over the past month and has a 52-week high of $55.47.
  • RSI Value: 70.9                                
  • PPC Price Action: Shares of Pilgrims Pride gained 3.4% to close at $52.05 on Thursday.

Walmart Inc WMT

  • On Feb. 13, Morgan Stanley analyst Simeon Gutman reiterated Walmart with an Overweight and raised the price target from $106 to $115. The company's stock gained around 16% over the past month and has a 52-week high of $105.24.
  • RSI Value: 79.6
  • WMT Price Action: Shares of Walmart gained 1.4% to close at $105.05 on Thursday.

Kroger Co KR

  • On Feb. 12, Kroger disclosed its succession plan for Chief Financial Officer role. David Kennerley, who is currently the senior vice president and CFO for PepsiCo Inc Europe, will step into the role of senior vice president and CFO at Kroger beginning April 3, succeeding Todd Foley.. The company's stock gained around 10% over the past month and has a 52-week high of $66.18.
  • RSI Value: 71.8
  • KR Price Action: Shares of Kroger fell 0.3% to close at $65.63 on Thursday.

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