As of Jan. 28, 2025, three stocks in the utilities 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.

Southern Co (NYSE:SO)

• Southern Company will release its earnings for the fourth quarter of 2024 on Thursday, Feb. 20. The company's stock surged around 5% over the past month and has a 52-week high of $94.45.
• RSI Value: 70.4                                
• SO Price Action: Shares of Southern gained 3.6% to close at $86.50 on Monday.

Exelon Corp (NASDAQ:EXC)

• On Jan. 21, Evercore ISI Group analyst Durgesh Chopra upgraded Exelon from In-Line to Outperform and raised the price target from $43 to $44.. The company's stock gained around 8% over the past month and has a 52-week high of $41.18.
• RSI Value: 73.6
• EXC Price Action: Shares of Exelon gained 3.4% to close at $40.70 on Monday.

American Electric Power Company Inc (NASDAQ:AEP)

• On Jan. 9, the company announced that a 50/50 strategic partnership between KKR & Co Inc (NYSE:KKR) and PSP Investments has agreed to acquire 19.9% non-controlling equity interest in its Ohio and Indiana & Michigan Transmission Companies (Transcos) for $2.82 billion.. The company's stock gained around 11% over the past month and has a 52-week high of $105.17.
• RSI Value: 84.5
• AEP Price Action: Shares of American Electric Power gained 4.5% to close at $102.63 on Monday.

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