Go To TTD's Pre-Market Opening Breakout Watch Stock Lists for Thursday, April 16
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Go To TTD's Pre-Market Opening Breakout Watch Stock Lists for Thursday, April 16 |
| Go to Video Show - "How to Make Money With Breakout Stocks" |
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Go to Video Show - "How to Make Money With Breakout Stocks" |
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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 positions both 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 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.
TTD often suggests using stop buy orders to enter. It is very important to buy a breakout stock as close as possible to the break point. 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.
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: 1-480-926-1680.
Stocks Screened - 8,200
Bull's Strategy - Only a few breakouts today even though the stock market rallies strongly. Bulls be very selective. Earnings reports are coming now. So, one needs to be careful.
(Put mouse on Dow chart to see Nasdaq chart)
Long Term Environment for bulls: Neutral
Market (Daily) - NYSE Bullish, Nasdaq Bullish
Market (Weekly) -NYSE Bullish, Nasdaq Bullish
Market (Monthly) NYSE Bullish, Nasdaq Bullish
| TTD's Quality Rating of Stock - CCK - AVERAGE |
CCK, based in Philadelphia, makes aluminum and steel containers for beverages, food, aerosols, and beauty products. Annual revenues: $8.3 billion. CCK breaks out from a ten-week flat base today after reporting strong earnings for the first quarter. The gap move today comes on heavy volume. CCK is trading 6.3 million shares so far today, almost triple its normal daily volume of 2.3 million shares. 
CCK broke out early in the session on a gap move. It peaked in the morning and then trended sideways the rest of the day.
TTD highlighted CCK as a breakout at our midsession show on the Web today.
TTD's clip of the tape highlights a big block of 172,200 shares crossing in the morning on a nice up tick to $23.99 from the prior trade at $23.97. The tape action showed aggressive institutional buying on the earnings news.
CCK operates plants in 40 countries and derives half of its sales from its European division. About 80% of sales are from beverage and food containers, with beverage constituting just over 40% of revenue and food just under 40%. The company's major customers include Coca-Cola, Pepsi, ConAgra, H.J. Heinz, and Avon.
Today, CCK reported first quarter earnings jumped 47% to 25 cents a share from 17 cents a year ago. The 25 cents a share topped the consensus Street estimate of 21 cents a share. The highest estimate on the Street was 25 cents a share. The stock responded very bullishly to the good earnings news.
CCK has been a modest performer. TTD's performance chart (see below) for the past six months shows the stock has appreciated 8% versus a decline of 15% for the S&P 500 index.
Although CCK is a conservative stock with a low beta of 0.88, the stock has done well long-term. TTD's long-term chat shows the stock climbing from 2 back in 2002 to 24. 
Near-term, today's breakout looks good. The gap move on big volume is very bullish. The stock did attempt a breakout a few weeks ago, but slipped back.
CCK's TTD momentum indicator (bottom of chart) is in an overall up trend, although, it has backed off a bit the past few weeks.
This year, analysts have been predicting a 13% increase in CCK's net to $1.97 a share from $1.74 a share. TTD sees good chances for the estimates to move up to and a bit over $2 a share.
The stock sells with a price-earnings ratio of 12. TTD sees that as reasonable.
The company's earnings did well in the first quarter due to an expansion in the profit margin to 14.5% from 13.5%.
Looking out to 2010, the Street is forecasting a 10% gain in net to $2.15 a share from the anticipated $1.97 a share.
Net for the upcoming second quarter should increase 6% to 64 cents a share from 61 cents a year ago.
Strategy Opinion: CCK is a conservative, slow growth company. The earnings surprise puts a bright light on the stock. TTD sees the stock more of a trading play. We are targeting CCK for a move to 30 within the next few months, or sooner. We would look to take profits. TTD rates CCK an average intermediate-term play.
Sponsorship: Very Good. A key buyer recently was 5-star rated JP Morgan small Cap Equity Fund which purchased 157,000 shares. A key fund holder is 4-star rated Brandywine Fund which holds 1.3 million shares. CCK has 159 million shares outstanding. Funds hold 38.2 million shares.
Insider Activity: Neutral. Insiders were big buyers using stock options. They turned around and sold. Five analysts follow the stock and all have a buy.
Stock Performance Chart for 6 months with Quarterly Earnings Markers.
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TTD's Profile Rating Crown Holdings Inc. - (CCK) |
| TTD Check List | Bullish | Bearish | Neutral |
| Near 52-week High | YES | ||
| Volume Expansion | 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 | 12 | 0 | 2 |
(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.
Charts of Breakout Stocks
| TTD's Quality Rating of Stock - PALM - 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 - 4
Stocks Screened - 8,200
Long-Term Environment for bears: Neutral
Bear Side - Small number of breakdown stocks today. Bears be conservative. Look for fundamentally damaged stocks.
(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.)
VIVO, based in Cincinnati, makes disposable immunodiagnostic test kits used for the rapid diagnosis of infectious diseases. Annual revenues: $140 million. VIVO's stock falls sharply today after the company reported disappointing earnings. The stock is trading a massive 2.1 million shares, five times its normal daily volume of 441,000 shares. TTD sees more on the downside. 
VIVO fell sharply in the opening, bounced up and then drifted lower the rest of the session.
TTD's clip of the tape shows one of the largest trades. It was a big block of 25,000 shares that crossed on a down tick to $15.70 from the prior trade at $15.72. The tape action indicated heavy institutional selling pressure.
VIVO reported flat earnings of 18 cents a share for the fiscal second quarter ended March 31. That was below the 22 cents a share consensus estimate on the Street. The lowest estimate was at 18 cents. It also lowered its sales projection and reduced the outlook for net for the fiscal second quarter ending June 30.
VIVO's products aid in the diagnosis of gastrointestinal infections, mononucleosis, ulcers, urinary-tract infections, respiratory infections, and strep throat.
Its test kits are used to diagnose fungal infections that affect patients with cancer, AIDS, and other immunosuppressive conditions. The company sells its test products primarily to hospitals, laboratories, physicians' offices, outpatient clinics, nursing homes, and HMOs.
Analysts have been forecasting a 16% increase in net for the fiscal year ending Sept. 30 to 86 cents a share. TTD sees those estimates getting trimmed.
VIVO's stock has been in a down trend from roughly 30 to 17 the past few months. Today, the stock falls sharply with a widening of the daily trading spread and an increase in volume. The stock's accumulation - distribution line (bottom of chart) is in a down trend. That indicates clear selling pressure.
Strategy Opinion; TTD is targeting VIVO for a drop to 12.50 within the next few months, or sooner. A protective stop buy can be placed near 16.50.
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.)
