Down 20.9% in 4 Weeks, Here's Why You Should You Buy the Dip in PLBY Group (PLBY)

Core Viewpoint - PLBY Group, Inc. (PLBY) has experienced a significant downtrend, with a 20.9% 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) for PLBY is currently at 29.69, indicating that the heavy selling pressure may be exhausting, which could lead to a price rebound [5]. - RSI is a momentum oscillator that helps identify whether a stock is overbought or oversold, with a reading below 30 typically indicating an oversold condition [2][3]. Group 2: Fundamental Indicators - There is a strong consensus among sell-side analysts regarding PLBY, with earnings estimates for the current year being raised by 3.2% over the last 30 days, which often correlates with price appreciation [7]. - PLBY 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, further supporting the potential for a near-term turnaround [8].