|
Go To TTD's Pre-Market Opening Breakout Watch Stock Lists for February 26 |
Search Engine TTD Reports |
Go To Prior Days TTD Reports |
Translate to any Language |
By Leo Fasciocco -- TTD
Ticker Tape Digest presents its daily breakout and Short Selling report. It contains Breakout Stocks and Stocks under Significant Accumulation.Data is from tape action for the day. These stocks are most suitable for aggressive investors seeking ideal entry points for leading stocks.
These stocks will do very well during bull markets and strong market rallies.
TTD also presents Stocks To Sell or Sell Short.These issues are suitable for aggressive investors willing to take short positionsboth as trades or for longer-term plays. These stocks will do very well during bear markets or market corrections
TTD's multi-media updates include a slide-show that presents charts. It is available with use of the Real Player One that can be downloaded for free from real.com. The latest versions of Microsoft's explorer and Netscape have the player already installed and works well with TTD's slide shows.
TTD's more advanced video show comes as Microsoft video file and is best used with cable or high-speed service.
TTD also has a special feature section on Tips - Questions and Answers at the Forum section.Go To Forum click here
To email Leo leo@tickertapedigest.com.For service, email Beverly Owen owen@tickertapedigest.com. TTD’s Tel: 1-480-926-1680.
Ticker Tape Digest Search Click Here |
Ticker Tape Digest Message Board Click Here |
Total Buy Breakouts so far today - 17
Stocks Screened- 8,200
Bull side - Good number of breakouts despite the stock market's decline today. Bulls be selective and consider some lesser known issues.
Long-Term Environment for bulls: Favorable.
Market Status (Daily) - NYSE Bearish, Nasdaq Bearish
Market Status (Weekly) - NYSE Bullish, Nasdaq Bullish
RIMM, based in Waterloo, Ontario, makes telecom products. Its most popular product is a portable two-way e-mail device called the BlackBerry, a cigarette pack-sized wireless product with a built-in keyboard that enables users to send and receive text messages. Annual revenues: $2.1 billion. Today, RIMM breaks out from an 8-week flat base on expanding volume.
So far today RIMM is trading 11.9 million shares, almost double its normal daily volume of 6.8 million shares. The stock continued to show good buying going into the afternoon.
TTD's clip of the tape shows a big block of 5,000 shares crossing on a modest up tick to $145.75 from the prior trade at $145.72.
RIMM's larger handheld units include Internet browsing and phone capabilities.
The company also makes radio-based modems that other manufacturers incorporate into portable devices. The company sells to corporations, resellers, and wireless carriers. It has partnerships with wireless service providers such as Rogers and T-Mobile.
Today, Skysscape, a medica information service firm, said it will join the Blackberry Alliance Program.
TTD highlighted RIMM as a a breakout at our midsession show on the Web.
A look at TTD's daily chart of RIMM shows the stock with a powerful advance in the second half of last year. RIMM ran up from 65 to 140. The stock then formed a flat base with upside resistance around 144 and support near 120.
Today it punches through the top of the base with a gap move - which is bullish.
RIMM's technicals look good. The stock's TTD momentum indicator is very bullish (see top of the chart).
The Accumulation - Distribution line has hit a new high (see bottom of the chart). That confirms strong buying behind the stock advance.
TTD's long-term chart shows RIMM hitting a brand new high.
RIMM should check in with good results for the fiscal year ending Feb. 28. Analysts predict a 32% increase in net to $3.33 a share from $2.53 a share a year ago.
Net for the fiscal fourth quarter should be exceptionally good climbing 50% to 98 cents a share from 65 cents a year ago. The highest estimate on the Street is at $1.02 a share. Net above that would be very bullish for the stock.
Looking out to fiscal 2007-2008, RIMM should show a 36% improvement in profits to $4.53 a share from the anticipated $3.33 a share. The stock sells with a price-earnings ratio of 32 based on the new fiscal year's projected net. TTD sees that as reasonable and possibly to some very attractive on a valuation basis.
Net for the fiscal first quarter ending May 30 should show a modest acceleration to 52% gain to $1.03 a share from 68 cents share a year ago.
Strategy Opinion: RIMM is ignoring the stock market's weakness and heading higher. That is bullish. TTD suggests a full position in RIMM. We are calling for the stock to advance to 170. We also think there could be a stock split which would boost the stock. A protective stop can be placed near 135. TTD rates RIMM a very good intermediate-term play.
Sponsorship: Excellent: Several 5-star rated funds hold the stock and have been buyers recently. They include Waddell & Reed Ad. Science and Technology Fund which picked up 503,000 shares, Fidelity Canada Fund, which added 250,000 shares and Fidelity Fifty Fund which purchased 419,000 shares.
Insider Activity: Not available. Currently, 27 analysts follow the stock, 14 have a buy, down from 17 three months ago. RBC Capital raised its price target on the stock today to $180 from $145. TTD agrees!
| TTD's Breakout Profile
Rating Research in Motion Inc. (RIMM) |
| 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 | 14 | 0 | 0 |
(The “breakout List” gives all stocks breaking out of a base of five weeks or more. These stocks have a good chance to trend higher. However, a stop should be used to avoid those that do not work.
(Trading strategy: One should buy breakout stocks at breakpoint by using market order or stop buy)
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 - 8
Stocks Screened - 8,200
Long-Term Environment for bears: Unfavorable.
Bear Side - Breakdown list expands modestly. Some interesting plays for venturesome bears. Market looking toppy. TTD's shorts from Friday working. Merrill Lynch (MER) falls 1.95 to 87.10 today, and Bio-Rad Labs (BIO) slides 0.76 to 75.74.
(Trading strategy: These stocks can be sold short, or if held should be sold. If a stock is sold short, a protective stop buy should be placed. Short plays work best when the stock market is in a down trend.)
CNS, based in New York, was formed to be the holding company for Cohen & Steers Capital Management. The firm focuses primarily on asset management and investment banking products and services relating to REITs (real estate investment trusts) and other real estate investments. It also invests in electric and gas utilities. Annual revenues: $146 million. CNS breaks down today from a very bearish technical topping pattern called a head-and-shoulder set up.
So far today, CNS is down 3.44 points. Volume so far today is running at 520,750 shares, almost double its normal daily volume of 304,000 shares.
A key trade in the stock came when in the late morning when it traded a big block of 7,000 shares on a down tick to $44.18 from the prior trade at $44.36.
The technical pattern (see TTD's daily chart) shows a peak near 53, a pull back and now the break down. This is a very favorable set up for aggressive bears to enter.
Cohen & Steers has more than $20 billion in assets under management held in 17 real estate mutual funds, as well as in 46 separate accounts managed for institutional investors. Martin Cohen and Robert Steers founded the firm in 1986 and continue to share top billing. The two combined own about 70% of Cohen & Steers stock.
This year net should rise 24% to $1.63 a share from $1.31 a share a year ago. The stock sells with a price-earnings ratio of 26.
TTD sees the stock now moving into a pull back after a big run up. The stock's TTD momentum indicator top of the chart has broken down into the bearish zone. TTD is calling for CNS to decline to 35 within the next few months. TTD sees the stock as a trading short. Bears should cover around the target area.
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. Some of the charts are from Telescan, Insight Trading, First Alert and other sources.)