Aquestive Therapeutics (AQST) has seen a 37% decline in stock over the past four weeks due to selling pressure. However, analysts predict better earnings, indicating a potential turnaround. The Relative Strength Index (RSI) is used to spot oversold stocks, with AQST showing signs of exhaustion at 20.13.

Oscillating between zero and 100, RSI measures price movement speed. Stocks are considered oversold when RSI falls below 30. RSI helps investors identify potential reversal points, especially when a stock’s price drops below fair value due to selling pressure. It should not be the sole basis for investment decisions.

With analysts raising earnings estimates for AQST, the stock shows potential for a turnaround. The consensus EPS estimate has increased by 0.4% in the last 30 days. AQST holds a Zacks Rank #2 (Buy), indicating a positive trend in earnings estimate revisions and EPS surprises, further supporting a potential stock rebound.

Read more at Nasdaq: Down 37% in 4 Weeks, Here’s Why Aquestive Therapeutics (AQST) Looks Ripe for a Turnaround