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 - 5
Overall Quality of Breakouts - BELOW AVERAGE
Stocks Screened - 8,300
Bull side - Breakout list small and overall quality poor. Stock market stages big snap back rally. Bulls be patient and selective.
(Put mouse on Dow chart to see Nasdaq chart)
Long Term Environment for bulls: Favorable
Stock Market Momentum
Market (Daily) - NYSE Bullish, Nasdaq Bullish
Market (Weekly) - NYSE Bullish, Nasdaq Bearish
Market (Monthly) - NYSE Bullish, Nasdaq Bearish
Ticker Tape Digest's
TTD's Quality Rating of Stock - IM - AVERAGE
IM, based in Santa Ana, Ca., is a wholesale distributor of technology and mobility products from Acer, Apple, Cisco, Citrix, Hewlett-Packard (HP), IBM, Lenovo, Microsoft, Samsung, Symantec and VMware. IM's annual revenues: $43 million. IM, a small cap issue, breaks out today from a nine-week flat base. The move carries the stock to a 14-year ago.
TTD highlighted IM as a breakout at our midsession video show on the Web Wednesday.
IM's stock broke out in the morning. (see 10-minute chart) The stock continued higher into the early afternoon when it hit an intraday peak of 30.82.
The stock then trended mostly sideways in the afternoon. Then late in the day it pulled back slightly.
IM's volume is running at 1.7 million shares versus its average daily volume of 1.2 million shares.
TTD's clip of the tape shows IM's recent block trades.
One can see the price for the blocks climbing from $29.67 in the prior session to as high as $30.78 on Wednesday.
A key bullish block trade came in the morning when a block of 13,125 shares crossed the tape at $30.13
That was up sharply from the prior block in the previous session at $29.67.
IM runs a global leader in supply-chain management and mobile device lifecycle services business.
The company develops sales and profitability opportunities for vendors, resellers and other customers through unique marketing programs.
The Company has operations in 39 countries, spanning all global regions. It also provides support centers too.
IM's 12-month performance chart shows the stock appreciating 60% versus a 19% gain for the S&P 500 index.
In March insiders were buyers of the stock. (see performance chart.
IM's long-term chart shows the stock climbing from 10 back in 2003 to around 20. by early 2004. The stock then was locked in a trading range for the next 9 years.
However, in 2013, IM broke out from its long-term trading range. Since then it has been trending higher. Today's move carries the stock to a multi-year high.
IM's daily chart shows the stock advancing from 24 in January to around 30 by March. The stock then put down a flat base above its rising 50-day moving average line - an ideal setup.
The breakout today clears the base.
The stock's TTD momentum indicator (top of chart is bullish.
The accumulation - distribution line (bottom of chart) is trending lower.
That shows some selling pressure as the stock based. So, one needs to be watchful of the stock.
This year, analysts are forecasting a modest 10% increase in net to $2.61 a share from $2.37 a year ago.
The stock sells with a price-earnings ratio of 11. TTD sees that as attractive for value investors.
Going out to 2015, the look for a 15% gain in profits to $3 a share from the anticipated $2.61 this year.
Net for the upcoming first quarter should rise 10% to 47 cents a share from 43 cents a year ago.
TTD sees chances for an upside earnings surprise. The company topped the consensus estimate the past three quarters. (see table)
Strategy Opinion: TTD is targeting IM for a move to 37 off this breakout. A protective stop can be placed near 26.
TTD rates IM an average intermediate-term play.
Sponsorship: Very Good. A key fund buyer recently was the 5-star rated Fidelity Small Cap Discovery Fund which purchased 200,000 shares. It is the second largest fund holder with a 4.2% stake.
The largest fund holder is the 4-star rated Artisan Mid Cap Value Investor Fund with a 5.7% stake. It was a recent seller of 473,477 shares.
IM has 154.6 million shares outstanding. Institutions hold 93% of the stock.
Insider Activity: Slightly Bearish. Insiders have been light sellers the past few months around $29. Currently, 7 analysts follow the stock, 4 have a buy, up from 3 three months ago.
Stock Performance Chart with Quarterly Earnings Markers.
|TTD's Breakout Profile
Ingram Micro Inc. - (IM)
|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 - KEP - AVERAGE|
|TTD's Quality Rating of Stock - ECOL - BELOW AVERAGE|
|TTD's Quality Rating of Stock - MSM - BELOW AVERAGE|
|TTD's Quality Rating of Stock - CNX - BELOW 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 - 1
Stocks Screened - 8,300
Long-Term Environment for bears: Unfavorable.
Bear Side - Only one short today. Stock market rallies after recent selloff. Bears remain conservative.
AHT, based in Dallas, is a real estate investment trust focused on investing in the hospitality industry. Annual revenues: $942 million. AHT's stock gaps lower today to set off a short. So far today, AHT is trading a heavy 7.1 million shares, almost 10 times its average daily volume of 730,00 shares. TTD sees more on the downside.
The heavy volume and drop were linked to the company's public stock offering.
TTD highlighted AHT as a short at our midsession video show on the Web.
AHT's stock fell sharply in the morning. It hit an intraday low of $10.41.
The stock then lifted slightly and trended sideways the rest of the day.
AHT's tape action shows the recent block trades.
One can see the price for the blocks declining from $11.20 late in the prior session to as high as $10.60 in the morning Wednesday.
A key bullish block that came later in the day was a block of 12,000 shares at $10.58. That was up from the prior block at $10.55 on 14,389 shares.
The company owns its lodging investments and conducts its business through Ashford Hospitality Limited Partnership, its operating partnership.
The company operates in two business segments: direct hotel investments and hotel financing. Direct hotel investments refer to owning hotels through either acquisition or new development. Hotel financing refers to owning subordinate hotel-related mortgage through acquisition or origination.
This year, analysts are forecasting a 31% drop in profits to 85 cents a share from $1.24 a year ago. Net for the upcoming first quarter is expected to fall 47% to 19 cents a share from 35 cents the year before.
AHT's daily chart shows the stock gapping lower today with big volume due to the offering.
Strategy Opinion: TTD is targeting AHT for a decline to 8 within the next few months due to the weak earnings outlook. A protective stop buy can be placed near 11.50.
|TTD's Quality Rating of Stock - AHT - 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.)