Top 2 Defensive Stocks That May Crash In October

Core Insights - Two stocks in the consumer staples sector are signaling potential warnings for momentum-focused investors as of October 7, 2024 [1] Company Summaries Cal-Maine Foods Inc (CALM) - Cal-Maine Foods reported better-than-expected quarterly earnings on October 1, 2024, indicating a strong start to fiscal 2025 [3] - The company experienced favorable demand for shell eggs and significantly higher market prices compared to the same quarter last year, attributed to a decline in national egg supply due to avian influenza outbreaks [3] - The stock gained approximately 24% over the past month, reaching a weekly high of $84.67, with an RSI value of 85.31 [3] - On the last trading day, shares closed at $84.57 after a 6.2% increase [3] BJ's Wholesale Club Holdings Inc (BJ) - Melius Research initiated coverage on BJ's Wholesale Club on September 23, 2024, with a Buy rating and a price target of $90 [4] - The stock increased around 11% over the past month, achieving a 52-week high of $92.37, with an RSI value of 70.08 [4] - Shares closed at $86.50 after a 1% rise on the last trading day [4]