Ticker Tape Digest

Wednesday - March 10, 2021

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 Accumulation Trades.

  We also feature stocks under Significant Accumulation that are poised to breakout.

   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 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  leo@tickertapedigest.com.   

   For service, email Beverly Owen owen@tickertapedigest.com. TTD’s Tel: 1-480-878-8381 or 480-704-3331.

Wednesday - March 10, 2021

TTD's Breakout Stocks

  Stock Market Overview

Total Buy Breakouts   -  13

Quality of Breakouts -  Average.

Stocks Screened - 12,234

Bull side -  Large list of breakouts. Homebuilders and those linked to the industry moving higher.

Stock market  -  Major averages are bullish in all sectors, except the daily Nasdaq, which is bearish.

Comment -  Large list of breakouts with some good plays for aggressive bulls.

See Latest Earnings Reports -  A company that tops the Street's highest earnings estimate has potential to go higher. Key earnings beats -  BBW, ESTE, UNFI, HBIO and REVG.

Stock Market Momentum

(Daily is based on a moving average)

Ticker Tape Digest's

Timely Breakout Stocks From Tape Action

(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.

They are ranked according to percentage change and classified as leaders or other.

(Trading strategy: One should buy breakout stocks near breakpoint by using market order or stop buy.  They can also be bought soon after a follow through move, sometimes on an intraday pullback. )  

Today's Featured TTD Breakout Stock

Toll Brothers Inc. (TOL) - 57.54, up 2.59 - Breakpoint 58.89

Net To Soar 46% for Fiscal 2021 (Oct.), TTD Targets 70

  TOL, based in Fort Washington, Pa., builds homes. Annual revenues: $7.1 billion. TOL's stock moves higher Wednesday and breaks out from its 5-week, cup-and-handle base.

  The move carries the stock to a 15-year high.

  TOL's all-time high is 58.67 set back in 2005. Its peak this week was 58.05.

  TTD sees potential for more on the upside from TOL. Also, several homebuilding stocks are moving higher and also those in construction.

  So far today, TOL is trading 2.3 million shares. Its average daily volume is 1.9 million shares.

  TOL's stock moved higher in the morning and cleared its breakpoint.

  However, the stock backed off slightly. It then turned higher and got above its breakpoint line. It held there until the close.

  In after-hours trading, TOL was up 6 cents a share.

   Tape Action

  TOL's tape action shows the recent block trades.

  One can see the price for the blocks climbing from $54.95 in the prior session to as high $57.75 in the morning.

  Near the close a massive block of 159,132 shares crossed at $57.54.

  That was up from the prior block at $57.40 on 7,500 shares.

   Business

  TOL builds detached and attached homes in luxury residential communities.

 It operates through two segments: Traditional home building and Toll Brothers City Living..

 TOL builds homes in Connecticut, Illinois, Massachusetts, Michigan, Minnesota, New Jersey and New York.

 It also operates in Delaware, Maryland, Pennsylvania and Virginia.

  In the South, it builds homes in Florida, North and South Carolina and Texas and in the west in  Arizona, Colorado, Nevada and Washington, and California.

  Charts

  TOL's 12-month performance chart shows the stock up 65% versus a 30% gain for the stock market.

  Insiders were recent buyers at $20 to $32 a share.

  They were sellers at $52 to $56 a share recently.

  TOL's long-term chart shows the stock climbing from $23.75 back in 2016 to a peak at $52 in 2018.

  The stock then eventually fell back to $13 during the stock market sell off in early 2020.

  The stock has since roared back making a fourfold move.

  TOL's daily chart shows the stock climbing from $42 back in November to a peak at $56 by February.

  The stock put down a base and now breaks out.

  TOL's CCI momentum indicator is strongly bullish.

  Earnings Outlook

  This fiscal year ending in October the Street predicts a 46% jump in net to $4.98 a share from the $3.40 the prior year.

  The stock sells with a price-earnings ratio of 11. TTD sees that as attractive for value investors.

  Looking out to fiscal 2022 ending in November, the Street expects a 31% leap in net to $6.49 a share from the anticipated $4.96 for fiscal 2021.

  Quarterly earnings will be strong and show an acceleration in growth.

  Net for the fiscal second quarter ending in April should climb 37% to 81 cents a share from the 59 cents the prior year.

  Then in the fiscal third quarter ending in July should jump 48% to $1.33 a share from the 90 cents the previous year.

Strategy Opinion:  TTD is targeting TOL for a move to $70 within the next few months, or sooner.

A protective stop can be placed near $54.

Intermediate-Term Rating: Average.

Suitability:   Aggressive Bulls.

                                 TTD's special research of Stock's Prior Performance:  

           Stock's Prior Performance After A Breakout

(In actual trading, entry and exit points could vary depending on broker execution.

Also, ideal are breakouts to a new 52-week high or better, perhaps all-time highs.)

  Stock's Long-term Chart

   Stock's Price Performance after Reporting Earnings

 Stock's Performance Chart with Quarterly Earnings Markers vs. S&P 500

Insider Buying in Green  -  Insider Selling in Red

Charts of Selected Breakout Stocks

Ticker Tape Digest’s

Stocks To “Sell or Short”

    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  - 1

Stocks Screened - 12,234

Long-Term Environment for bears: Unfavorable.

Bear Side -  Just one short play Wednesday. Bears be conservative.

List of Stocks To Sell or Short

TTD’s Feature Bear Play

Espey Mfg. & Electronics Corp. (ESP) - 15.25

Halts Dividends. TTD Sees Drop to 12

  ESP, based in Saratoga Springs, N.Y., makes power supply type products for the military. Annual revenues: $31.5 million. ESP's stock falls sharply Wednesday after the company voted to halt dividends.

  So far today, ESP is trading 120,617 shares. Its average daily volume is 5,000 shares.

  The stock is thinly traded but TTD sees more on the downside

  ESP's stock fell in the morning and undercut key support.

  The stock then lifted slightly and trended sideways the rest of the day.

ESP was up 28 cents a share in after-hours trading.

 Tape Action

ESP's tape action shows the recent block trades.

One can see the price for the blocks falling from $18.47 in the prior session to as low as $14.97 in the morning.

A key bearish trade came at the opening when a block of 1,101 shares crossed at $15.25.

That was down big time from the prior block at $18.47 on 1,200 shares.

Business

  ESP develops electronics products the military and environment applications.

The company provides power energy conversion and transformer solutions.

Its  products include power supplies, power converters, filters, power transformers, magnetic components, power distribution equipment, antennas and power radar systems.

  Its products are used in various applications, such as alternating current and direct current  locomotives, airborne power, ground-based radar and ground mobile power.

 Earnings:

  For 2020, the company reported net of 49 cents a share, down from 99 cents the prior year.

  There are no estimates for this year.

Charts:  

  ESP's daily chart shows the stock gapping lower with big volume. The stock was as high as $3 back in December.

  The stock is down 18% for the past 12 months.

Strategy Opinion: TTD  is targeting ESP for a decline to $12 within the next few months, or sooner. A protective stop buy can be placed near $16.50.

Suitability:  Aggressive Bears.

  TTD's Stock Probability research of Prior Performance:  

   Stock's Performance Chart with Quarterly Earnings Markers vs. S&P 500

Insider Buying in Green  - Insider Selling in Red

   TTD takes no responsibility for trading by those using this information. The stocks presented in our report are those we deem the best looking "Day Trades" for the long side. We take no responsibility for the accuracy of this data, although every effort is made to present the information correctly. Copyright Ticker Tape Digest. - 2021

    TTD columnist Leo Fasciocco has covered the stock market for over 30 years. His articles appear in many publications. He has also been  a speaker at the Money Show 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 1-480-704-3331.

   Distributed by Corona Publishing Enterprises. TickerTape Digest Inc. 1220 W. Sherri, Gilbert, Az. 85233.

  TTD “Professional Report” is available on the Web: $100 per month. Password needed. Published daily - around 20 times a month.  

 TTD Pro Report includes a Morning chart slide show of breakout stocks, a Midsession video-audio show with commentary on breakout stocks and shorts and a Final end of day overall report on breakout stocks for the session, short plays and accumulation plays.  There are other features too such as Quick Trades and Long-term Plays.  

TTD Daily Report is $39. It covers a Morning slide show of charts of stocks breaking out and a TTD end of day print report covering breakout stocks and shorts.

 Credit cards accepted. Payable to Corona Publishing Enterprises.

(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.)