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ExlService, Karat Packaging and Paycom screen as overbought

A Benzinga screen flagged EXLS, KRT and PAYC as overbought after recent gains and strong quarterly reports or guidance updates.

EXLSKRTPAYC

As of Aug.

28, 2026, three stocks in the industrials 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 Pro.

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

Exlservice Holdings Inc (NASDAQ: EXLS ) On July 28, ExlService reported better-than-expected second-quarter financial results and raised its FY2026 adjusted EPS and FY2026 sales guidance above estimates.

Chairman and Chief Executive Officer Rohit Kapoor said, “We entered 2026 with strong momentum that accelerated through the first half, delivering second quarter revenue growth of 16% year-on-year and adjusted diluted EPS of 22% year-on-year.

Our sustained double-digit growth reflects continued execution of our data and AI strategy and our differentiated position which helps clients effectively adopt AI across the enterprise.

We have very good visibility into the balance of the year and look forward to a solid finish to 2026.” The company’s stock gained around 25% over the past month and has a 52-week high of $45.08.

RSI Value: 75.3 EXLS Price Action: Shares of Exlservice gained 1.8% to close at $38.18 on Thursday.

Edge Stock Ratings: 71.69 Momentum score with Value at 48.43.

Karat Packaging Inc (NASDAQ: KRT ) On Aug.

6, Karat Packaging posted upbeat quarterly sales. "We delivered record quarterly net sales of $136.3 million, driven by solid customer demand and accelerated momentum in our online business growth," said Alan Yu, Chief Executive Officer. "Our financial performance included a benefit from the IEEPA tariff refunds, which further contributed to strong reported profitability." The company’s stock gained around 19% over the past month and has a 52-week high of $50.81.

RSI Value: 78.5 KRT Price Action: Shares of Karat Packaging gained 1.1% to close at $49.80 on Thursday.

Paycom Software Inc (NYSE: PAYC ) On Aug.

5, Paycom Software reported better-than-expected second-quarter financial results and raised its FY26 sales guidance. "Our strong second-quarter results came in ahead of expectations, reflecting the strength of our automation strategy and disciplined execution," said Paycom’s founder and CEO, Chad Richison. "We are building strong momentum through new product innovation and continued automation across our platform.

With these strong results we are raising our full year outlook." The company’s stock gained around 47% over the past month and has a 52-week high of $239.92.

RSI Value: 82.2 PAYC Price Action: Shares of Paycom Software gained 2% to close at $237.04 on Thursday.

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

Photo via Shutterstock