NETGEAR (NTGR) Loses 24.3% in 4 Weeks, Here's Why a Trend Reversal May be Around the Corner

Core Viewpoint - NETGEAR, Inc. (NTGR) is experiencing significant selling pressure, having declined 24.3% over the past four weeks, but is now positioned for a potential trend reversal as it enters oversold territory, with analysts predicting better earnings than previously expected [1] Group 1: Technical Indicators - The Relative Strength Index (RSI) is a momentum oscillator that indicates whether a stock is oversold, with readings below 30 typically signaling this condition [2] - NTGR's current RSI reading is 29.64, suggesting that heavy selling may be exhausting itself, indicating a potential bounce back towards equilibrium in supply and demand [5] Group 2: Fundamental Analysis - There is strong consensus among sell-side analysts to raise earnings estimates for NTGR, with the consensus EPS estimate increasing by 57.6% over the last 30 days, which often correlates with near-term price appreciation [7] - NTGR 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 stock's potential for a turnaround [8]