Intel among most overbought stocks on Wall Street after soaring this week
The stock market raced to another record high this week after the Federal Reserve cut its benchmark interest rate, but some stocks may have risen too high, too fast. The S & P 500 rose a half of 1% on both Thursday and Friday, each time closing at a new all-time high after the Fed lowered interest rates by a quarter of a percentage point, its first rate cut this year. The central bank also signaled on Wednesday that it could approve at least two more reductions during the remainder of 2025, and another sometime in 2026. But with the latest record run in stocks, several now appear poised for a pullback. Using the CNBC Pro screener, we identified several S & P 500 stocks that rose at least 5% this week, then looked for those with a relative strength index of 70 or more. RSIs that high are often a red flag that a security may be overbought, and vulnerable to a downdraft. Here are some of the most overbought stocks on the Street: Intel soared nearly 23% the past week, one of the biggest outperformers. The iconic American semiconductor maker rallied after unveiling a $5 billion deal with Nvidia on Thursday, including a partnership to integrate its central processing units into Nvidia’s artificial intelligence platforms. On Thursday alone, Intel scored its largest intraday gain since 1987. Following the announcement, Citi bumped its price target on Intel to $29 from $24, at the same time as it downgraded its investment rating to sell. Other technology stocks were also overbought. Lam Research, Palo Alto Networks, Seagate Technologies and KLA all made the list. Lam Research and Palo Alto both have RSIs of at least 80, while Seagate has an RSI of 91. KLA, meanwhile has an RSI of 75. ( Learn the best 2026 strategies from inside the NYSE with Josh Brown and others at CNBC PRO Live. Tickets and info here . )
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