The most oversold stocks in the consumer discretionary sector presents an opportunity to buy into undervalued companies.



The RSI is a momentum indicator, which compares a stock’s strength on days when prices go up to its strength on days when prices go down. When compared to a stock’s price action, it can give traders a better sense of how a stock may perform in the short term. An asset is typically considered oversold when the RSI is below 30, according to Benzinga Pro.



Here's the latest list of major oversold players in this sector, having an RSI near or below 30.



<h3>Alibaba Group Holding Ltd – ADR (NYSE:BABA)</h3>



<ul>
<li>Alibaba Group shares declined on Thursday as investors weighed fresh Chinese regulatory pressure, a leadership change tied to its AI strategy, U.S. geopolitical concerns, and questions about whether China’s AI infrastructure push will directly benefit the company. The company's stock fell around 16% over the past month and has a 52-week low of $103.71.</li>



<li>RSI Value: 29.1</li>



<li>BABA Price Action: Shares of Alibaba fell 1.4% to close at $112.69 on Thursday.</li>



<li>Edge Stock Ratings: 10.81 Momentum score with Value at 93.06.</li>
</ul>



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<h3>LCI Industries (NYSE:LCII)        </h3>



<ul>
<li>On June 4, LCI Industries named Johnny Sirpilla as interim CEO, succeeding Jason Lippert. The company also named Virginia Henkels as chair of the board, while Tracy Graham stepped down as chairman. The company's stock fell around 19% over the past month and has a 52-week low of $84.33.</li>



<li>RSI Value: 25.5</li>



<li>LCII Price Action: Shares of LCI Industries rose 1% to close at $91.59 on Thursday.</li>



<li>Benzinga Pro’s charting tool helped identify the trend in LCII stock. </li>
</ul>



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<h3>Dana Inc (NYSE:DAN)</h3>



<ul>
<li>On June 11, Dana announced that it will merge with Eaton’s Mobility unit to create a combined entity with an enterprise value of over $10 billion. “This transaction marks an important milestone in our transformation and positions Dana as a leading, scaled provider of powertrain solutions,” said Byron Foster, Dana’s incoming Chief Executive Officer. The company's stock fell around 17% over the past five days and has a 52-week low of $15.30.</li>



<li>RSI Value: 23.8</li>



<li>DAN Price Action: Shares of Dana fell 15.1% to close at $30.11 on Thursday.</li>



<li>Benzinga Pro’s signals feature notified of a potential breakout in DAN shares. </li>
</ul>



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Learn more about BZ Edge Rankings—click to see scores for other stocks in the sector and see how they compare.



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LCII

Benzinga identifies three oversold consumer discretionary stocks with RSI below 30 as potential Q2 opportunities: Alibaba (BABA), LCI Industries (LCII), and Dana Inc (DAN). BABA faces regulatory and geopolitical headwinds. LCII recently appointed an interim CEO. Dana is merging with Eaton’s Mobility unit for over $10 billion in enterprise value.

Top 3 Consumer Stocks That May Explode In Q2