Top Ranked Dividend Stock Oversold

The DividendRank formula at Dividend Channel ranks a coverage universe of thousands of dividend stocks, according to a proprietary formula designed to identify those stocks that combine two important characteristics — strong fundamentals and a valuation that looks inexpensive. Sun Hydraulics Corp. (NASD: SNHY) presently has an above average rank, in the top 50% of the coverage universe, which suggests it is among the top most “interesting” ideas that merit further research by investors.

But making Sun Hydraulics Corp. an even more interesting and timely stock to look at, is the fact that in trading on Tuesday, shares of SNHY entered into oversold territory, changing hands as low as $25.64 per share. We define oversold territory using the Relative Strength Index, or RSI, which is a technical analysis indicator used to measure momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30.

Source: Forbes

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