PayPal and Coinbase are the most oversold stocks on Wall Street. The data is derived from the Relative Strength Index, or RSI, which traders use to see how hard a stock has been hit.
A reading below 30 means a stock is oversold. But this week was so brutal, both of them fell way under that. PayPal dropped to an RSI under 11. On top of that, the stock lost more than 24% this week, which represents its worst weekly drop ever. The crash came after PayPal gave a weak earnings forecast for 2026 on Tuesday. The company also announced that Alex Chriss will leave his role as CEO. The news hit investors hard. Most analysts aren’t calling it a buy, but they aren’t dumping it either.
PayPal and Coinbase become oversold on Wall Street
According to LSEG data, the average analyst rating on PayPal is “hold.” That said, price targets show a possible 40% upside over the next year. No guarantees, though. The bloodbath this week was real. Coinbase also made the oversold list with an RSI of around 14. It got crushed this week as shares fell 25% by Friday morning.
The development happened amid the drop in price of Bitcoin. Since Coinbase depends so much on crypto trading volume, it got dragged down right with it. The stock bounced a little on Friday as Bitcoin recovered some of its earlier loss. But even with that bounce, Coinbase still ended the week deep in the red. Analysts are still betting big on it. Most of them rate it a buy. And the average target price shows a possible 100% gain from here. Whether or not it actually happens depends on where crypto goes next.
The selloff this week didn’t stop with just those two. KKR & Co., a big name in alternative assets, also ended the week oversold. Its RSI fell below 20, and the stock dropped more than 13%. The fear here is about artificial intelligence. Investors are nervous that it is about to shake up the software industry. Since KKR is tied to that space through its credit investments, the worry spread to them.
Even with that fear, most analysts haven’t bailed. LSEG data shows that a majority still have buy ratings on KKR. And the average price forecast shows the stock could rise over 53% in the next twelve months. Again, that’s if nothing else goes wrong. Palantir also dropped 13% this week. It had a huge rally over the last year, but the good times stopped fast. Just like KKR, the panic was about AI.
People are worried that new models will eat into older software companies’ profits. Palantir reports earnings on Monday after the close, so everyone’s watching. Rishi Jaluria from RBC Capital Markets is still bearish. Back on January 26, he kept his “underperform” rating on Palantir and stuck with a $50 target. He warned that unless something major happens in the next earnings report, the current price doesn’t make sense.
