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 high 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 email@example.com.For service, email Beverly Owen firstname.lastname@example.org. TTD’s Tel: 1-480-926-1680.
Total Buy Breakouts so far today - 7
Overall Quality of Breakouts - AVERAGE
Stocks Screened - 8,300
Bull side - Breakout list very selective. Bulls be conservative. Stock market in overall down trend.
(Put mouse on Dow chart to see Nasdaq chart)
Long Term Environment for bulls: Neutral
Stock Market Momentum
Market (Daily) - NYSE Bullish, Nasdaq Bullish
Market (Weekly) - NYSE Bullish, Nasdaq Bullish
Market (Monthly) - NYSE Bearish, Nasdaq Bearish
Ticker Tape Digest's
TTD's Quality Rating of Stock - ASTE - ABOVE AVERAGE
ASTE, based in Chattanooga, Ten., makes products for road building, processing equipment and utility vehicles. Annual revenues' $1 billion. ASTE's stock breaks out Monday from a two-month, cup-and-handle base. The move carries the stock close to a 52-week high.
TTD highlighted ASTE as a breakout at our midsession video show on the Web Monday.
So far today, ASTE is trading 266,807 shares, double its average daily volume of 136,000 shares.
ASTE's daily chart shows the stock pushing higher in the morning and clearing its breakpoint line.
The stock then trended mostly sideways the rest of the day. It finished near its high for the session which is bullish.
ASTE's tape action shows the recent block trades.
One can see the price for the blocks climbing from $42.19 late in the prior session to as high as $43.43 Monday.
A key bullish trade came in the morning when a block of 1,410 shares crossed the tape at $42.36.
That was up from the prior block trade at $42.20 on 9,800 shares.
ASTE produces are used primarily for road building, aggregate processing, geothermal, water, oil and gas, and wood processing.
Its infrastructure group produces asphalt and wood pellets, and components for asphalt paving.
The company's aggregate and mining Group provides aggregate processing and mining equipment for the production and classification of sand, gravel, crushed stone, and minerals used in road construction.
ASTE's energy group segment makes thermal fluid heaters, process heaters, waste heat recovery equipment, liquid storage systems, and polymer and rubber blending systems.
ASTE's 12-month performance chart shows the stock appreciating 2% versus a 10% decline in the stock market.
ASTE's long-term chart shows the stock reaching an all-time peak of 60.39 in 2007, the top in the prior bull market.
The stock came public back in 1986. During the bear market in 2008, ASTE was dragged down to 17. It rebounded to around 40 by 2011. Since then, it has been trending mostly sideways long-term.
ASTE's daily chart shows the stock climbing from 31 back in October to a peak near 41 by December.
The stock then proceeded to form a cup-and-handle base.
The breakout Monday clears the base.
The stock's CCI momentum indicator (bottom of chart) is strongly bullish.
The accumulation - distribution line (green) is trending higher showing good buying.
This year, analysts are forecasting a robust 51% jump in profits to $2.14 a share from $1.42 a year ago.
The stock sells with a price-earnings ratio of 20. TTD sees that as reasonable.
Going out to 2017, the Street looks for an 18% increase in net to $2.53 a share from the anticipated $2.14 this year.
Net for the upcoming first quarter is expected to rise 12% to 73 cents a share from 65 cents a year before.
The highest estimate on the Street is at 85 cents a share.
ASTE missed the quarterly consensus the past three quarters. So, the stock needs to be watched closely.
Looking ahead to the second quarter, net is expected to rise 11% to 57 cents a share from 51 cents the year before.
Strategy Opinion: TTD is targeting ASTE for a move to 52 off this breakout.
A protective stop can be placed near 40.
TTD rates ASTE an average intermediate-term play.
Sponsorship: Very Good. A key fund buyer recently was the 5-star rated Victory Sycamore Small Co. Opportunity R Fund which purchased 52,300 shares. It has a 2.2% stake.
Also, the 4-star rated Gabelli Small Cap Growth AAA Fund was a buyer of 100,000 shares. It has a 1.9% stake.
ASTE has 23 million shares outstanding. Institutions hold 66% of the stock and insiders have 32%.
Insider Activity: Neutral. Not much activity.
Currently, 11 analysts follow the stock, 6 have a buy, the same as three months ago.
ASTE has a book value of $26.55 a share.
Stock Performance Chart with Quarterly Earnings Markers.
|TTD's Breakout Profile
Astec Industries Inc. - (ASTE)
|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 - EVA - ABOVE AVERAGE|
|TTD's Quality Rating of Stock - RUTH - AVERAGE|
|TTD's Quality Rating of Stock - PYPL - AVERAGE|
|TTD's Quality Rating of Stock - SFM - 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 - 8
Stocks Screened - 8,300
Long-Term Environment for bears: Favorable.
Bear Side - Good number of bear plays with negative news. Bears can be venturesome.
HRTX, based in Redwood City, Ca., is developing drugs to treat symptoms linked to cancer. Annual revenues: N/A. HRTX's stock falls sharply Monday after one of its drugs was delayed in getting approval.
So far today, HRTX is trading a heavy 1.8 million shares, double its average daily volume of 693,000 shares.
HRTX's stock fell sharply in the morning. It then trended sideways the rest of the day unable to rally.
HRTX's tape action shows the recent block trades.
One can see the price for the blocks falling from $18.96 in the morning to as low as $15.88 near the close.
A key bearish trade came when a block of 28,500 shares crossed the tape at 18.20.
That was down from the prior block at #18.96 on 25,183 shares (duplicated).
HRTX is developing products using its Biochronomer polymer-based drug delivery platform.
Its product portfolio includes APF530, which is being developed to prevent acute chemotherapy-induced nausea and vomiting.
This year, analysts are forecasting a loss of 2.94 a share compared with a loss of $2.95 in 2015.
For the upcoming first quarter, the Street is looking for a loss of $1 a share compared with a loss of 70 cents the year before.
HRTX's daily chart shows the stock trending lower. It tried to hold support at 17. However, Monday, HRTX breaks below support with a pickup in volume.
Strategy Opinion: TTD is targeting HRTX for a decline to 12 within the next few months, or sooner. A protective stop buy canbe placed near 17.
|TTD's Quality Rating of Stock - HRTX - 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: Beverly 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.)