Top 2 Health Care Stocks That May Keep You Up At Night In December

As of Dec. 16, 2025 two healthcare names—Avidity Biosciences (RNA, RSI 76) and Henry Schein (HSIC, RSI 71.1)—are flagged as overbought by the RSI, a momentum indicator that can foreshadow short-term reversals. Avidity has rallied roughly 141% over six months to a recent close of $71.86 after reporting Nov. 10 quarter results that beat revenue estimates ($12.475M vs. $1.932M) but missed on EPS (-$1.27 vs. -$1.11) and announcing an October merger agreement with Novartis (momentum score 95.79); Henry Schein has gained about 6% in five days to $77.39 following a Dec. 9 Barclays Overweight initiation and $86 price target. These readings suggest momentum-driven investors should weigh the risk of a short-term pullback despite deal and analyst-driven catalysts.

Analysis

Benzinga flags two healthcare stocks as technically overbought on Dec. 16, 2025: Avidity Biosciences (RNA) with an RSI of 76 and a close of $71.86, and Henry Schein (HSIC) with an RSI of 71.1 and a close of $77.39; RNA has rallied roughly 141% over the past six months to a 52‑week high near $71.90 while HSIC gained ~6% over five days toward a 52‑week high of $82.49. Avidity’s Nov. 10 quarter showed an EPS miss of -$1.27 versus consensus -$1.11 but a revenue beat of $12.475M versus $1.932M, and management cited a definitive merger agreement with Novartis announced in October; the stock’s 95.79 Momentum score indicates the rally is momentum- and deal-driven. Henry Schein’s move was catalyzed by a Dec. 9 Barclays initiation at Overweight with a $86 price target, supplying analyst-driven upside despite the RSI signal. Broader signals show mixed sentiment and low market‑impact (0.28), implying these are idiosyncratic moves where elevated RSI increases the probability of near-term technical pullbacks and where deal execution or analyst revisions are the primary fundamental risks.

Key Decisions for Investors

• Trim or hedge short-term RNA exposure and set tight stops or take profits given RSI at 76, a 141% six-month run and dependence on the announced Novartis merger despite a revenue beat and EPS miss
• For HSIC, prefer adding on weakness rather than initiating full new positions—Barclays' Overweight and $86 target support upside but RSI 71.1 suggests waiting for a pullback or using limited-sized buys
• Monitor RNA merger milestones and any analyst revisions for both names, avoid increasing position sizes while technicals remain overbought, and treat trades as idiosyncratic given the low market-impact score