As of Oct. 12, 2026, three stocks in the consumer discretionary sector could be flashing a real warning to investors who value momentum as a key criteria in their trading decisions.

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 overbought when the RSI is above 70, according to Benzinga Pro.

Here’s the latest list of major overbought players in this sector.

GameStop Corp (NYSE:GME)

  • On Sept. 8, GameStop reported better-than-expected second-quarter sales results. The company’s stock gained around 23% over the past month and has a 52-week high of $26.88.
  • RSI Value: 76.6                                
  • GME Price Action: Shares of GameStop gained 5.1% to close at $26.56 on Friday.
  • Edge Stock Ratings: 81.55 Momentum score with Value at 64.29.

On Holding AG (NYSE:ONON)

  • On Oct. 1, JP Morgan analyst Wendy Liu maintained On Holding with an Overweight rating and raised the price target from $41 to $44. The company’s stock gained around 28% over the past month and has a 52-week high of $51.08.
  • RSI Value: 79.6
  • ONON Price Action: Shares of On Holding rose 3.1% to close at $35.09 on Friday.

Pearson PLC (NYSE:PSO)

  • On Sept. 29, Pearson agreed to acquire Workera. Vishaal Gupta, President, Enterprise Learning & Skills at Pearson, said, “In the era of AI, an organization’s ability to assess and develop skills will be key. Workera has pioneered a new approach to continuously measuring and validating workforce capabilities, giving organizations an accurate understanding of the skills they have today and what they will need in the future. Combining Workera’s talented workforce and technology, with Pearson’s expertise in learning and assessment, strengthens our ability to help enterprises close skills gaps faster and build more agile and capable workforces.” The company’s stock gained around 5% over the past five days and has a 52-week high of $17.74.
  • RSI Value: 74.8                                                                                                    
  • PSO Price Action: Shares of Pearson rose 2% to close at $16.97 on Friday.

Curious about other BZ Edge Rankings? Click here to discover how similar stocks measure up.

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