Down -39.52% in 4 Weeks, Here's Why Cassava Sciences (SAVA) Looks Ripe for a Turnaround

Core Viewpoint - Cassava Sciences, Inc. (SAVA) has experienced a significant downtrend, with a 39.5% decline in stock price over the past four weeks, but it is now in oversold territory, suggesting a potential turnaround due to improved earnings expectations from analysts [1]. Group 1: Technical Indicators - The Relative Strength Index (RSI) is a key technical indicator used to identify oversold stocks, with a reading below 30 typically indicating oversold conditions [2]. - SAVA's current RSI reading is 24.25, indicating that the heavy selling pressure may be exhausting, which could lead to a price rebound [5]. Group 2: Fundamental Analysis - There is strong consensus among sell-side analysts regarding SAVA's earnings potential, with a reported 11.3% increase in the consensus EPS estimate over the last 30 days [7]. - An upward trend in earnings estimate revisions is generally associated with price appreciation in the near term, supporting the case for a potential turnaround for SAVA [7]. Group 3: Analyst Ratings - SAVA 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 near-term turnaround [8].