Alphabet and this concert promoter are among Wall Street's most overbought stocks

Published Sat, May 20 20237:42 AM EDT

Wall Street is looking for refuge as debt-ceiling negotiations between congressional leaders and President Joe Biden hit an obstacle. Republican negotiators paused debt ceiling talks Friday, pushing stocks lower for the day. Nevertheless, the three major averages rose for the week. The S & P 500 gained 1.65% through Friday, while the Nasdaq Composite and Dow Jones Industrial Average added 3.04% and 0.38%, respectively. CNBC Pro used FactSet data to compile a list of the most overbought and oversold stocks in the S & P 500 through Friday, based the relative strength index, a technical indicator that measures momentum. A 14-day RSI of 70 or more typically means a stock is overbought. A 14-day RSI reading below 30 signals that a stock is oversold — which may also suggest a buying opportunity for discount-minded investors. CNBC Pro focused on the 10 most overbought and 10 most oversold stocks. Google-parent company Alphabet is one of the most overbought stocks on Wall Street, with a 14-day RSI reading of 82.5. The company is seemingly riding a wave of investor excitement over artificial intelligence. Google announced its entry into the generative AI chatbot world with Bard. Even with shares up 39% in 2023, nearly 79% of analysts covering Alphabet have rated it as a buy, according to FactSet. GOOGL YTD mountain Google-parent Alphabet stock. But the top spot is reserved for concert ticket behemoth Live Nation . The company has a 14-day RSI rating of 89.1, while 60% of analysts covering the stock rate it as a buy. The average price target set by analysts polled by FactSet implies about 14% upside from the stock's current trading levels. Among oversold names — where investors may be able to pick up a bargain — tobacco giant Philip Morris has the second-lowest 14-day RSI of 13.41, compared to Catalent' s RSI of 8.03. More than 57% of analysts who cover Philip Morris rate it as a buy, with the mean price target implying upside of 22.4%. PM YTD mountain Tobacco giant Philip Morris stock. Meanwhile more than 55% of analysts who cover C atalent have the pharmaceutical stock rated as a buy. The mean price target represents nearly 75% upside from the stock's recent trading levels. CTLT YTD mountain Catalent stock. - CNBC's Chris Hayes contributed to this report.