Ticker Tape Digest

Wednesday - April 7, 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 Swng - 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 - April 7, 2021

TTD's Breakout Stocks

  Stock Market Overview

Total Buy Breakouts   -  10

Quality of Breakouts -  Average.

Stocks Screened - 12,234

Bull side -  Large list of breakouts with some interesting plays for aggressive bulls.

Stock market  -  Major averages remain bullish in all time sectors.

Comment -  Stock market holding well with blue chips leading. One needs to be alert now for earnings.

See Latest Earnings Reports -  A company that tops the Street's highest earnings estimate has potential to go higher. Key earnings beats -  SMPL and SCHN.

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

Smart Global Holdings Inc. (SGH) - 54.55, up 5.84 - Breakpoint 50.28

Net Tops Estimates, TTD Targets 64

  SGH, based in Newark, Ca., makes special memory products for network and communications. Annual revenues: $1.1 billion. SGH's stock drives higher Wednesday and breaks out from its tight, 8-week flat base.

  The breakout was triggered by an earnings beat.

  So far today, SGH is trading a heavy 2.1 million shares, nine times its average daily volume of 233,000 shares.

   TTD sees potential for more on the upside.

  SGH reported net for the fiscal second quarter ended in February of 87 cents a share. That topped the consensus estimate of 80 cents a share.

  The company also raised its outlook for fiscal third quarter net to $1 to $1.20 a share. The Street had been projecting net at 90 cents a share.

  TTD highlighted SGH as a breakout at our midsession video show on the Web Wednesday.

  SGH's stock broke out in the morning and climbed to a peak at $54.56.

  However, the stock faded back close to its breakpoint line.

  Then in the afternoon SGH came on again and climbed to its high for the session at $54.86.

  In after-hours trading, SGH was down 5 cents a share.

    Tape Action

  SGH's tape action shows the recent block trades.

  One can see the price for the blocks climbing from $48.71 in the prior session to as high as $54.55 by the close.

  A key bullish trade came in the morning when a block of 10,424 shares (duplicated) crossed the tape at $49.99.

  That was up from the prior block in the prior session at $48.71 on 11,924 shares.

  Near the close a block of 39,086 shares crossed at $54.55.

   That was up from the prior block at $54.50 on 3,135 shares.

   Business

  SGH provides specialty memory, storage and hybrid solutions.

The company delivers components, modules and storage solutions to firms in the computing, networking, communications, storage, mobile and industrial markets.

  The company operates in the U.S., Asia and Latin America.

  Charts

  SGH's 12-month performance chart shows the stock up 135% versus a 55% gain for the stock market.

  SGH's long-term chart shows the stock coming public at $13.08 in 2017.

  The stock ran up to an all-time high of $56.69 in 2018. However, it fell back to $17 in 2019.

  The stock went through a bottoming pattern and has now surged back to $54.55.

  SGH's daily chart shows the stock climbing steadily from $25 back in October to a peak near $50

  The stock formed a flat base with two shakeouts to the downside.

  Now SGH breaks out with strong volume and a widening of the daily spread.

  The stock's CCI momentum indicator is strongly bullish.

    Earnings Outlook

  This fiscal year ending in August the Street has been forecasting a 36% jump in net to $3.53 a share from the $2.59 the prior year.

  That estimate could be boosted. The highest estimate from three analysts is at $3.63 a share.

  Going out to fiscal 2022 ending in August, the street projects a 13% increase in net to $4 a share from the anticipated $3.53 this fiscal year.

  The Street has been looking for net for the fiscal third quarter ending in May to be up 26% to 88 cents a share from the 70 cents the prior year.

  The company beat the Street estimate the past four quarters by 7 cents a share, 7 cents, 3 cents and 4 cents.

  Profits for the fiscal fourth quarter ending in August should climb 28% to $1.05 a share from the 82 cents the previous year.

Strategy Opinion:  TTD is targeting SGH for a move to 64 within the next few months, or sooner.

A protective stop can be placed near $47.50.

Intermediate-Term Rating: Average.

Suitability:   Average 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  - 4

Stocks Screened - 12,234

Long-Term Environment for bears: Unfavorable.

Bear Side -  Small list of shorts. Bears be conservative.

List of Stocks To Sell or Short

TTD’s Feature Bear Play

Sigilon Therapeutics Inc. (SGTX) - 18.51

Loss Seen This Year and Next, TTD Sees Drop to 15.50

  SGTX, based in Cambridge, Ma., is a biotech firm working on treatments for severe hemophilia. Annual revenues: $13 million. SGTX's stock moves lower Wednesday and undercuts key technical support.

  So far today, SGTX is trading 80,349 shares. Its average daily volume is 184,000 shares.

  TTD sees potential for more on the downside.

  SGTX's stock cut below support in the morning and fell to an intraday low of $17.55.

  The stock rallied back to around $19 in the early afternoon. It then drifted lower the rest of the day.

  SGTX was unchanged in after-hours trading.

   Tape Action

  SGTX's tape action shows the recent block trades.

  One can see the price for the blocks falling from $19.03 in the prior session to as low as $17.75 by midday Wednesday.

  A key bearish trade came in the morning when a block of 706 shares crossed at $18.10.

  That was down from the prior block at $19.03 on 2,672 shares in the prior session.

  The price for the blocks moved up later on Wednesday.

   Business

  SGTX is a biotech firm working on cures for patients with chronic diseases by providing stable and durable levels of therapeutic molecules  to patients.

The company has developed its SLTx platform, which combines advanced cell engineering with advancements in biocompatible materials and enables its product candidates to produce a wide range of therapeutic molecules.

 SGTX ’s lead product candidate is SIG-001 designed to prevent bleeding episodes in patients with moderate-severe to severe Hemophilia.

 Earnings:

  This year, analysts predict a loss of $2.18 a share compared with a loss of 27 cents the prior year.

  For the first quarter, they see a loss of 56 cents a share.

  Going out to 2022, the Street expects a loss of $2.71 a share.

Charts:  

  SGTX's daily chart shows the stock trending lower from a peak at $45.35 in 2020 down to $19 by April . The stock now cuts below key support

 The drop to a new all-time low is very bearish.   

Strategy Opinion: TTD  is targeting SGTX for a decline to $15.50 within the next few months, or sooner. A protective stop buy can be placed near 19.

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.)