Cass (CASS) Loses -8.56% in 4 Weeks, Here's Why a Trend Reversal May be Around the Corner

Core Viewpoint - Cass Information Systems (CASS) has experienced significant selling pressure, resulting in an 8.6% decline over the past four weeks, but analysts anticipate a rebound as the stock is now in oversold territory and expected to report better earnings than previously predicted [3]. Group 1: Technical Indicators - The Relative Strength Index (RSI) is utilized to determine if a stock is oversold, with a reading below 30 indicating oversold conditions [4]. - CASS's current RSI reading is 28.76, suggesting that the heavy selling may be exhausting itself and a trend reversal could occur soon [5]. Group 2: Fundamental Indicators - There is a consensus among sell-side analysts to raise earnings estimates for CASS, leading to a 1.4% increase in the consensus EPS estimate over the last 30 days [6]. - CASS holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, indicating a strong potential for a turnaround [6].