Daily - Go to TTD's Tape of Stock Charts - Tuesday. February 25, 2014
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Daily - Go to TTD's Tape of Stock Charts - Tuesday. February 25, 2014 |
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Weekly - Bullish Conservative Investors - Go To TTD Long-Term Plays - Monday, February 24, 2013 |
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Go to Video Show - "How to Make Money With Breakout Stocks" |
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By Leo Fasciocco -- TTD
Ticker Tape Digest presents its daily stock market report containing stocks to go long as breakout trades, quick trades, or bargain trades. We also feature stocks under Significant Accumulation that are poised to breakout.
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Ticker Tape Digest's Daily schedule guide for TTD subscribers 1. Pre-market - check Breakout Watch List and Quick Trades. 2. Morning - (11:30 - 12 A.M.) - check breakout stocks tape and breakout chart slide show. 3. Midday (1 P.M.) check TTD Midsession Report and see market video show. 4. After close (4 P.M.) check final TTD Report for day. Trading Strategies Bullish Aggressive Investors Bullish - "Breakout Stocks" - ideally suited for bull markets and special situation stocks. Potential for large returns. (See Performance) Aggressive Investor Bullish- "Quick Trade Stocks" -ideally suited for entry into top performing issues looking for a small quick profit." (See Performance) Conservative Investors "Bargain Buy Trades for the Long Term." Ideally suited for entry into top performing big cap stocks on pullbacks within overall up trend.(See Performance) Bearish Aggressive Bearish Investors - "Breakdown Stocks" to Sell Short. Ideally suited for bear markets or market pull backs. Potential for large returns (See Performance) |
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The TTD report also contains stocks to short as breakdown plays and as bargain (swing trade) shorts.
Investors should tend to try to go with a strategy that fits with the stock market's trend, unless there is a special situation play.
TTD's Breakout Stocks - Long are most suitable for aggressive investors seeking ideal entry points into leading stocks, especially during bull markets. They can do extremely well in bull markets with gains of as much as several hundred percent.
These stocks can also do extremely well during strong market
rallies, or if they are in a industry group that is performing very well. They tend to have strong earnings outlooks and are near new-52 week, or all-time highs. 
TTD Quick Trade Stocks - Long These are leading issues that have pulled back in recent days, but could move higher soon. They are most suitable for Aggressive Investors willing to trade short term. These stocks will do extremely well during market advances. They have about 74% win rate. During market rally sequences the win rate is even higher. The return is small 3% to 8% in just a few days.
TTD's Bargain Buy Trades - Long - Long Term. These are for conservative bullish Investors These long-term buys are ideally suited for entry into stocks on pull backs within overall up trend. These stocks can give a good return long-term especially during a bull market.
TTD also presents Stocks To Sell or Sell Short. These issues are suitable for aggressive investors willing to take short positions both as trades or for longer-term plays. These stocks will do very well during bear markets or market pull backs.
TTD's Bearish breakdown stocks to sell short. These issues have potential to fall sharply. They often show a technical breakdown and also some fundamental business problem such as weak earnings.
TTD's multi-media updates include a slide-show that presents charts and analysis at midsession. Some times TTD presents feature analysis on stocks and the market. TTD uses Windows Media Files. (WMV).
TTD also presents a "Breakout Watch List" that is up dated daily. This list consists of key stocks in position to breakout. A close watch of this list can put you in the stock just as it breaks out. A good idea is to study the list and be ready to move into a stock quickly as it hits its breakpoint.
TTD often suggests using stop buy orders to enter. It is very important to buy a breakout stock as close as possible to the breakpoint. The idea is to get "elbow room" if the stock should follow through to the upside. This is very important in being successful in making big money with breakout stocks.
It is also essential to have a stop loss strategy for all stocks in which positions are taken. Not every stock will work as expected. It is important for investors to "police" their portfolios and avoid getting trapped in any bad positions.
Quality rating of breakout Two key factors: 1 - Stock near all-time in price or near a 52-week high. 2 - earnings growth current year is strong. The ideal play is a stock with an Above Average Quality Rating. The stock is near a new high and will have strong earnings. TTD's other ratings are Average and Below Average.
TTD also has special feature sections on Educational Tips on Investing.
To email Mr. Leo Fasciocco leo@tickertapedigest.com.For service, email Beverly Owen owen@tickertapedigest.com. TTD’s Tel: 1-480-926-1680.
Breakout Stocks
Total Buy Breakouts so far today - 17
Overall Quality of Breakouts - BELOW AVERAGE
Stocks Screened - 8,300
Bull side - Breakout list large with some good looking plays, but also some laggards. Bulls need to be selective. Stock market looks to be losing upside momentum.
(Put mouse on Dow chart to see Nasdaq chart)
Long Term Environment for bulls: Favorable
Stock Market Momentum
Market (Daily) - NYSE Bearish, Nasdaq Bearish
Market (Weekly) - NYSE Bullish, Nasdaq Bullish
Market (Monthly) - NYSE Bearish, Nasdaq Bullish
Ticker Tape Digest's
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TTD's Quality Rating of Stock - AYI - ABOVE AVERAGE |
AYI, based in Atlanta, makes lighting fixtures for homes and businesses. Annual revenues: $2.2 billion. AYI breaks out today from a seven-week, cup-and-handle base. The move carries the stock a new all-time high which is bullish. So far today, AYI is trading 391,974 shares. Its average daily volume is 406,000 shares. 
TTD highlighted AYI as a breakout at our midsession video show on the Web Tuesday.
AYI's 10-minute chart shows the stock pushing higher in the morning to clear its breakpoint line. 
The stock hit an intraday peak of 138.21 in the morning.
In the afternoon, it trended sideways with a slight bias to the downside.
AYI's tape action shows the recent block trades.
One can see the price for the blocks advancing modestly from $135.44 a few sessions ago to as high as $137.32 near the close on Tuesday.
A close with a bullish block like that bodes well for Wednesday.
A key bullish trade came in the morning when a block of 7,260 shares crossed at $137.20. 
That was up from the prior block at $136.86 late on Monday.
AYI. is comprised of the Acuity Lighting Group and Acuity Specialty Products.
The Acuity Lighting Group is the world's largest lighting fixture manufacturer and includes brands such as Lithonia Lighting, Holophane, Peerless, and Hydrel.
Acuity Specialty Products is a provider of specialty chemicals and includes brands such as Zep, Enforcer, and Selig.
AYI's 12-month performance chart shows the stock appreciating 98% versus 24% for the S&P 500 index. The stock has moved higher nicely after the past three quarterly earnings reports.
AYI's long-term chart shows the stock coming public in late 2001 and trading around $14. The stock advanced steadily to a peak of 66 in 2007.
The stock then fell back to 20 due to the bear market. However, since then AYI has surged higher making a sixfold move.
AYI's daily chart shows the stock gapping higher in January to clear a base. However, afterwards the stock trended sideways forming a nice base.
The basing work is done above a rising 50-day moving average line which is bullish.
The stock's TTD momentum indicator (top of chart) has been mostly bullish the past five months. That is impressive.
The accumulation - distribution line (bottom of chart) has moved higher in recent weeks complimenting the price movement. That shows consistent underlying buying.
Analysts are forecasting a 26% jump in profits for the fiscal year ending in August to $4.17 a share from $3.31 a year ago.
The stock sells with a price-earnings ratio of 32.
Going out to fiscal 2015 ending in August, the Street projects a 21% gain in net to $5.07 a share from the anticipated $4.17 for fiscal 2014.
The company is poised to show a strong fiscal second quarter ending in February.
The Street is projecting a 34% surge in profits to 83 cents a share from 62 cents a share in the prior period. The highest estimate on the Street is at 93 cents a share. 
TTD sees good chances for an upside earnings surprise. The past three quarters AYI topped the consensus estimate by 11 cents a share, one cent and seven cents.
Strategy Opinion: TTD is targeting AYI for a move to 160 off this breakout. A protective stop can be placed near 130.
TTD sees chances for a stock split which could boos the stock. The stock has never had a stock split.
TTD rates AYI a good intermediate-term play provided earnings meet expectations.
Sponsorship: Excellent. Three of the top four fund holders have a 5-star rating. They include T. Rowe Price New Horizons with a 3.7% stake, the second largest holder.
A key buyer recently was the 4-star rated American Century Heritage Fund which purchased 181,8000 shares.
AYI has 43.1 million shares outstanding.
Insider Activity: Bearish. Insiders have been recent buyers using stock options between $11 and $18 a share. They were sellers around $130 to $132 recently.
Currently, 11 analysts follow the stock, one has a buy, down from two three months ago.
Stock Performance Chart with Quarterly Earnings Markers.
| TTD's Breakout Profile
Rating Acuity Brands Inc. - (AYI) |
| TTD Check List | Bullish | Bearish | Neutral |
| Near 52-week High | YES | ||
| Volume | YES | ||
| Tick Volume | YES | ||
| Price Trend - Daily | YES | ||
| Price Trend - Long Term | YES | ||
| Price Daily Spread | YES | ||
| Base Structure | YES | ||
| Base - A-D | YES | ||
| Earnings-Quarterly | YES | ||
| Earnings-Long Term | YES | ||
| Earnings Outlook | YES | ||
| Industry Group | YES | ||
| Prior Breakout Success | YES | ||
| Fund Sponsorship | YES | ||
| Total Score | 13 | 0 | 1 |
Charts of Selected Breakout Stocks
| TTD's Quality Rating of Stock - STCK - ABOVE AVERAGE |
| TTD's Quality Rating of Stock - STZ - ABOVE AVERAGE |
| TTD's Quality Rating of Stock - GRFS - ABOVE AVERAGE |
| TTD's Quality Rating of Stock - KNDI - AVERAGE |
Ticker Tape Digest’s Ticker Tape Digest’s Daily List of “Stocks To Sell or Sell Short” ranks stocks well timed to be sold immediately based on daily trading. The list can be used as an alert to reduce current long-term positions.
Shorts from tape action so far today - 3
Stocks Screened - 8,300
Long-Term Environment for bears: Neutral.
Bear Side - Small list of shorts today, but some interesting plays. Bears remain conservative.
PERY, based in Miami, Fla., is a designer and distributor of men's and ladies clothes. Annual revenues: $954 million. PERY's stock falls sharply today after the company forecast disappointing earnings for the fiscal fourth quarter ending in January. So far today, PERY is trading a heavy 1 million shares, 13 times its average daily volume of 71,200 shares. TTD sees more on the downside. 
TTD highlighted PERY as a short at our midsession video show on the Web Tuesday.
PERY said it expects fourth quarter earnings of two to five cents a share on revenue of $216 million.
That is well below the current consensus earnings estimate on the Street of 66 cents a share on revenues of $268.
PERY's stock gapped lower in the morning on big volume. The stock hit an intraday low of 12.37. It then lifted a bit and trended sideways the rest of the day.
PERY's tape action shows the recent block trades.
One can see a block of 14,250 shares (duplicated) crossing the tape in the morning at $12.76. That was down sharply from the prior block at $15.68. The tape showed aggressive selling on the news.
PERY sells and is a licensor of men's and women's apparel, accessories, and fragrances.
The company's collection of dress and casual shirts, golf sportswear, sweaters, dress and casual pants and shorts, jeans wear, active wear and men's and women's swimwear is available through major retailers.
Its brands include Perry Ellis, Jantzen, Cubavera, Munsingwear, Savane, Original Penguin, Grand Slam, Natural Issue, Pro Player, the Havanera Co., Axis, Tricots St. Raphael, Gotcha, Girl Star and MCD.
The company enhances its roster of brands by licensing trademarks from third parties including Dockers for outerwear, Nike and JAG for swimwear, and PING and PGA TOUR for golf apparel.
Analysts have been forecasting PERY's earnings for the fiscal year ending in January of 2015 would climb 33%. That estimate should come down.
Strategy Opinion: TTD is targeting PERY for a decline to 10 with this negative earnings news. A protective stop buy can be placed near 14.20.
| TTD's Quality Rating of Stock - PERY - BELOW AVERAGE |
TTD columnist Leo Fasciocco has covered the stock market for over 20 years. His articles appear in many publications. He is also a speaker at the Intershow conferences. He has been on television and radio. He is author of many educational articles about stock investing and the book “Guide To High-Performance Investing.”
For information to subscribe to the Ticker Tape Digest Services call: B. J. Owen at 1-480-926-1680. Distributed by Corona Publishing Enterprises. Ticker Tape Digest Inc. P.O. Box 2044 Chandler, Az. 85244-2044. TTD “Professional Report” is available on the World Wide Web: $100 per month. Password needed. “TTD Professional“ Faxed is $200 per month. The TTD Daily Report is $39.95. Credit cards accepted.
(The information contained has been prepared from data deemed reliable but there is no guarantee of complete accuracy. Ticker Tape Digest Inc. is not affiliated with any broker, dealer or investment advisor. Nothing in this publication constitutes an offer, recommendation or solicitation to buy or sell any securities. Further research is advised. This report is copyrighted and no redistribution is permitted with out permission.)
