Down -34.51% in 4 Weeks, Here's Why You Should You Buy the Dip in Butterfly Network (BFLY)

Core Viewpoint - Butterfly Network, Inc. (BFLY) has experienced significant selling pressure, resulting in a 34.5% decline in stock price over the past four weeks, but analysts anticipate better earnings than previously predicted, indicating potential for recovery [1]. Group 1: Technical Analysis - The stock is currently in oversold territory, with a Relative Strength Index (RSI) reading of 29.36, suggesting a possible trend reversal [5]. - RSI is a momentum oscillator that helps identify whether a stock is overbought or oversold, with readings below 30 typically indicating an oversold condition [2][3]. Group 2: Fundamental Analysis - Analysts have raised earnings estimates for BFLY by 4.6% over the last 30 days, which is a positive sign for potential price appreciation [6]. - BFLY holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, further supporting the outlook for a turnaround [7].