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Are These Stocks Overbought?

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More than 93 percent of the S&P 500 are trading above their moving 50-day moving average. Some of those companies, however, have significantly broken out from their trading range.

Price momentum is a relatively short-term occurrence, and as it starts to wane, the stocks that have deviated too far and fast from the average tend to revert back quickly.

The S&P 500, which has maintained a measured upside momentum since the beginning of the year, is barely up 5 percent from its 50-day moving average.

Case in point: Netflix. NFLX gained more than 42 percent on Thursday after it reported blockbuster fourth-quarter earnings. The most recent close of $146.86 is more than 61 percent away from its 50-day moving average of 91.03, making it the most widely deviated stock.

Similarly, Stryker, which traded within a 10 percent range throughout last year, is up another 16 percent year-to-date, trading more than 13 percent away from its 50-day moving average.

Here are some additional names that have seen new upside momentum in recent months.

Ticker
Company
Price
50 DMA
% Above
NFLX Netflix 146.86 91.03 61%
STT State Street 55.52 47.14 18%
BSX Boston Scientific 6.84 5.82 18%
HAR Harman International 49.98 43.26 16%
BLK BlackRock 236.33 205.86 15%
TXT Textron 28.38 24.77 15%
TSN Tyson Foods 22.3 19.6 14%
R Ryder System 56.31 49.61 14%
SYK Stryker 63.45 56.03 13%
NSC Norfolk Southern 69.83 61.88 13%
PLD Prologis 40.18 35.87 12%
MON Monsanto 103.62 93.28 11%
STJ St. Jude Medical 39.92 35.99 11%
HRL Hormel Foods 35.27 31.96 10%
ZMH Zimmer Holdings 74.43 67.88 10%