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.
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.
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)
Aggressive Bearish Investors - "Breakdown Stocks" to Sell Short. Ideally suited for bear markets or market pull backs. Potential for large returns (See Performance)
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 firstname.lastname@example.org.For service, email Beverly Owen email@example.com. TTD’s Tel: 1-480-926-1680.
Total Buy Breakouts so far today - 6
Overall Quality of Breakouts - Average
Stocks Screened - 8,300
Bull side - Small breakout list. Stock market consolidating recent gains. Bulls be watchful and selective.
(Put mouse on Dow chart to see Nasdaq chart)
Long Term Environment for bulls: Neutral
Market (Daily) - NYSE Bearish, Nasdaq Bullish
Market (Weekly) - NYSE Bullish, Nasdaq Bullish
Market (Monthly) - NYSE Bullish, Nasdaq Bullish
Ticker Tape Digest's
(See Top Performing Breakout Stocks for 2011- 2012)
TTD's Quality Rating of Stock - WYN - AVERAGE
WYN, based in Parsippany, N.J., operates hotels and vacation rentals. Annual revenues: $4.4 billion. WYN's stock breaks out today from a 23-week cup-and-handle base. The move was triggered by favorable quarterly earnings. The move carries the stock to a new all-time high.
WYN is trading 3 million shares, almost triple its normal daily volume of 1.2 million shares.
WYN's 10-minute chart shows the stock spiking higher in the morning. It hit an intraday peak of 60.32 around noon. It then trended sideways through the afternoon.
WYN came in with fourth quarter earnings of 57 cents a share, up from 37 cents a year ago.
The earnings topped the consensus estimate. The stock responded very bullishly to the news.
Hotel stocks have been a strong acting group lately.
TTD's clip of the tape shows the recent block trades.
One can see the price for the blocks climbing from $56.20 a few sessions ago to $60.01.
A key block trade came in the morning when 56,581 shares crossed the tape at $59.30. That was up from the prior block trade at $57.53.
Then later in the day a block of 89,910 shares crossed the tape at $60.01, up from the prior block trade at $59.57. The block had a value of $53.9 million.
So, some big bets were made.
WYN offers an array of hospitality products and services as well as various accommodation alternatives and price ranges.
The company operates in the lodging, vacation exchange and rentals, and vacation ownership segments of the hospitality industry.
Through the lodging business, WYN franchise hotels in the upscale, midscale, and economy segments of the lodging industry and provide hotel management services to owners of luxury, upscale and midscale hotels.
The vacation exchange and rentals business provides vacation exchange products and services and access to distribution systems and networks to resort developers and owners of intervals of vacation ownership interests.
The firm's vacation ownership business sells vacation ownership interests to individual consumers.
WYN's 12-month performance chart shows the stock appreciating 58% versus 12% for the S&P 500 index.
The stock's long-term chart shows it coming public in 2006 and trading around 33. The stock eventually fell to $2.55 in 2008. It has since made a sensational come back soaring 20-fold. The push to a new high Wednesday could bring in more buying on Thursday.
WYN's daily chart shows the stock forming a flat base. However, further back it could e looked upon as a cup-and-handle base.
The breakout today is ideal coming with good volume and a widening of the daily trading spread (range from high to low).
That shows ease of price movement.
The stock's TTD momentum indicator (top of chart) is strongly bullish.
The accumulation - distribution line (bottom of chart) is working higher, but lags a bit.
This year, analysts are forecasting a 13% rise in net to $3.63 a share from $3.20 a year ago. The stock sells with a price-earnings ratio of 16 based on this year's projected net.
Earnings for the upcoming first quarter should rise 16% to 69 cents a share from 50 cents a year ago. The highest estimate on the Street is at 72 cents a share.
TTD sees good chances for a modest upside earnings surprise. The prior fourth quarters WYN topped the consensus estimate by 3 cents a share, 2 cents, 5 cents and 4 cents. That's pretty solid. (see table)
Strategy Opinion: TTD is targeting WYN for a move to 72 off this breakout. A protective stop can be placed near 57.
TTD rates WYN an average intermediate-term play.
Sponsorship: Good. A key buyer recently was 4-star rated Fidelity VIP Mid Cap Fund which purchased 184,600 shares. It now has a 1.6% stake.
The larges fund holder is 2-star rated Hartford Capital Appreciation Fund with a 1.8% stake. It was recently a purchaser of 333,400 shares.
Insider Activity: Bearish. Insiders were recent buyers at $25 using stock options. They turned around and sold at $50. Currently, 9 analysts follow the stock, 8 have a buy, the same as three months ago.
Stock Performance Chart with Quarterly Earnings Markers.
|TTD's Breakout Profile
Wyndham Worldwide Corp. - (WYN)
|TTD Check List||Bullish||Bearish||Neutral|
|Near 52-week High||YES|
|Price Trend - Daily||YES|
|Price Trend - Long Term||YES|
|Price Daily Spread||YES|
|Base - A-D||YES|
|Prior Breakout Success||YES|
Charts of Selected Breakout Stocks
|TTD's Quality Rating of Stock - RS - AVERAGE|
|TTD's Quality Rating of Stock - CPTS - AVERAGE|
|TTD's Quality Rating of Stock - BIIB - AVERAGE|
|TTD's Quality Rating of Stock - PENN - AVERAGE|
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: Unfavorable.
Bear Side - Small list of breakdown stocks today. Bears be selective as stock market still holds up trend. TTD's short from Tuesday was Arch Coal Inc. (ACI) at 6.22. Today, ACI has declined to 6.08 and is working well for the bears.
VOCS, based in Beltsville, Md., provides software for public relations management. Annual revenues: $154 million. VOCS's stock falls sharply today after the company cuts earnings forecast. So far today, VOCS is trading a heavy 1.1 million shares, seven times its normal daily volume of 150,000 shares. TTD sees more on the downside.
TTD highlighted VOCS as a short at our midsession video show on the Web Wednesday.
The company said it expects first quarter non-GAAP earnings of 9 to 10 cents a share on revenue of $46.3 million to $46.7 million.
The current Street earnings estimate is 13 cents a share. So the forecast was well below the Street's projections.
The company also said it expects 2013 earnings of 50 to 53 cents a share on revenue of $200.3 to $201.8 million.
The current consensus earnings estimate is 56 cents a share on revenue of $208.3 million for the year.
The stock gapped lower on the news. It hit an intraday low of 13.48. The stock then lifted a bit and trended sideways the rest of the day.
The tape action shows the recent block trades. One can see the price for the blocks declining from $17.77 to $14.50. A key bearish block came in the morning when 5,782 shares (duplicated) crossed the tape at $16.05, down from the prior block at $17.74.
VOCS provides on-demand software for public relations management. Its web-based software suite helps organizations to fundamentally change the way they communicate with both the media and the public, optimizing their public relations and increasing their ability to measure its impact.
The software addresses the critical functions of public relations including media relations, news distribution and news monitoring.
VOCS delivers the solutions over the Internet using a secure, scalable application and system architecture, which allows customers to eliminate expensive up-front hardware and software costs and to quickly deploy and adopt on-demand software.
VOCS's daily chart shows the stock gapping lower with big volume and cutting below key technical support.
Strategy Opinion: TTD is targeting VOCS for a decline to 12 within the next few months or sooner. A protective stop buy can be placed near 15.60.
|TTD's Quality Rating of Stock - VOCS - 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.”
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(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.)