After Plunging 8.4% in 4 Weeks, Here's Why the Trend Might Reverse for Hanmi Financial (HAFC)

Core Viewpoint - Hanmi Financial (HAFC) has experienced significant selling pressure, resulting in an 8.4% decline over the past four weeks, but analysts anticipate better earnings than previously expected, indicating potential for recovery [1]. Group 1: Technical Indicators - The Relative Strength Index (RSI) is utilized to determine if HAFC is oversold, with a reading of 28.21 suggesting that heavy selling may be exhausting, indicating a possible price rebound [2][5]. - RSI is a momentum oscillator that measures the speed and change of price movements, typically indicating oversold conditions when the reading falls below 30 [2][3]. Group 2: Fundamental Indicators - Analysts have raised earnings estimates for HAFC by 1.1% over the last 30 days, reflecting a strong consensus among sell-side analysts, which often leads to price appreciation [7]. - HAFC 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 turnaround [8].