Ticker Tape Digest

Tuesday - April 23, 2019

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'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  leo@tickertapedigest.com.   

   For service, email Beverly Owen owen@tickertapedigest.com. TTD’s Tel: 1-480-926-1680.

Tuesday - April 23, 2019

TTD's Breakout Stocks

  Stock Market Overview

Total Buy Breakouts so far today -  15

Quality of Breakouts -  Average

Stocks Screened - 12,234

Bull side -  Large list of breakouts with several good looking plays. Bulls can be venturesome.

Stock market  -  Market averages are bullish in all time sectors.

Comment -  TTD sees the market holding in its up trend. The flood of earnings reports will continue. Bulls need to be alert.

See Latest Earnings Reports -  A company that tops the Street's highest earnings estimate has potential to go higher. Earnings beats for Tuesday - HAS, WRB, IRBT, TWTR, LMT, JBLU and ARCH.

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

Upland Software Inc. (UPLD) - 45.60, up 2.04 - Breakpoint 43.45

Net To Rise 24% This Year, TTD Targets 53 

  UPLD, based in Austin, Tex., provides cloud-based enterprise work management software. Annual revenues: $150 million. UPLD's stock moves higher Tuesday and breaks out from its seven-week flat base.

  The move carries the stock to a new all-time high. That is bullish.

  TTD sees more on the upside.

  So far today, UPLD is trading 702,239 shares, triple its average daily volume of 200,000 shares.

  UPLD's stock gapped higher in the morning and cleared its breakpoint line.

  The company announced the acquisition of Postup, a provider of email and audience development solutions for the publishing industry.

The firm has $11 million in revenues and is expect to add to UPLD's earnings.

  UPLD peaked near $47.37 in the morning, trended sideways through the day and then gave some ground near the close.

  Tape Action

  UPLD's tape action shows the recent block trades.

  One can see the price for the blocks climbing from $43.47 in the prior session to as high as $47 in the morning.

  A key bullish trade came near the close on Monday when a block of 24,940 shares (duplicated) crossed the tape at $43.56.

  That was up from the prior block at $43.47 on 2,375 shares.

  Business

 UPLD provides cloud-based enterprise work management software.

The system is used for information, finance, professional services and marketing within organizations.

  The systems are used by corporations and government agencies.

 Its customers are in financial services, retail, technology, manufacturing, education, consumer goods, media, and telecom.  

  Charts

   UPLD's 12-month performance chart shows the stock up 65% versus a 10% gain for the stock market.

  Insiders were buyers last year at $8 a share. They have not done any buying this year.

  They were recent sellers at $30 to $41 a share.

  UPLD's long-term chart shows the stock coming public back in 2014 at $12.10 a share.

  The stock traded in a range and then broke out in early 2017 and climbed to $25 that year. It then based and broke out in early 2018 and has since worked to an all-time high.   

  UPLD's daily chart shows the stock climbing from $26 back in December to a peak near $43 by March.

  The stock put down a classic flat base and then breaks out with a gap move and expanding volume.

  That is superb.

  The stock's CCI momentum indicator is strongly bullish.

 Earnings Outlook

  This year, analysts are forecasting a 24% increase in net to $2.11 a share from the $1.70 the year before.

  The stock sells with a price-earnings ratio of 21. TTD sees that as attractive to value-growth investors.

  Looking out to 202, analysts predict a 5% rise in net to $2.21 a share from the anticipated $2.11 this year. However, one analysts is as high as $2.38 a share.

  For the upcoming first quarter, profits are expected to jump 32% to 49 cents a share from the 37 cents the year before. The highest estimate is at 52 cents a share.

 The company beat the quarterly consensus estimate the past four quarters by 10 cents a share, one cent, two cents and 11 cents.

  Net for the second quarter is projected to leap 34% to 51 cents a share from the 38 cents the year before.   

Strategy Opinion:  TTD is targeting UPLD for a move to $53 within the next few months or sooner. A protective stop can be placed near $41,

Intermediate-Term Rating:  Above Average.

Suitability:   Average Bulls.

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

Probability - Breakout Success - Extremely Bullish -  UPLD scored some massive gains off some of its recent breakouts. The stock is in a long-term up trend.

Probability - Earnings Response - Very Bullish -  UPLD rose 5 times after the past 6 earnings reports when there was a significant change in price.

Probability:  Seasonal Success - Extremely Bullish. -  UPLD averaged a gain of 17.2% in May and a gain of 5.4% in June the past several years. 

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

Insider Buying in Green  -  Insider Selling in Red

   Stock's Monthly Seasonal Performance Chart - Past 5 Years

Showing % Months UP and % Change

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 so far today -  6

Stocks Screened - 12,234

Long-Term Environment for bears:  Unfavorable.

Bear Side -  Small list of breakdown stocks, but some interesting plays for aggressive bears.

List of Stocks To Sell or Short

TTD’s Feature Bear Play

Astec Industries Inc. (ASTE) - 31.59

Net Disappoints, TTD Sees Decline to 26

  ASTE, based in Chattanooga, Ten., makes equipment used for road building. Annual revenues: $1.2 billion. ASTE's stock falls sharply Tuesday after reporting disappointing earnings for the first quarter.

  So far today, ASTE is trading a heavy 2 million shares, 14 times its average daily volume of 136,000 shares.

  TTD sees more on the downside.

  ASTE reported net for the first quarter of 63 cents a share. That was below the Street consensus of 82 cents a share. The lowest estimate on the Street from 3 analysts was 80 cents a share.

  ASTE's stock gapped lower in the morning and then trended sideways around midday.

  The in the afternoon the stock fell further with very heavy volume coming in the final hour.

   Tape Action

  ASTE's tape action shows the recent block trades.

  One can see the price for the blocks falling from $42.69 in the prior session to as low as $31.55 late in the day.

  A key bearish trade came in the morning when a block of 5,231 shares (duplicated) crossed the tape at $37.50.

  That was down from the prior block at $42.69 on 7,667 shares late in the prior session.

   Business

  ASTE makes equipment and products for road building and related construction.

  The company's infrastructure group  is made up of five units,. They include Astec, Inc., Roadtec, Inc., Carlson Paving Products, Inc., Astec Mobile Machinery GmbH and Astec Australia Pty Ltd.

  Its aggregate and mining group consists of eight business units that make heavy processing equipment, as well as servicing and supplying parts for the aggregate, metallic mining, recycling and bulk handling.

 Earnings:

  This year analysts have been forecasting a 10% increase in net to $3.22 a share from the $2.92 the year before.

  However, with the disappointing first quarter, those estimate should come down.

  Net for the upcoming second quarter is expected to fall 16% to 87 cents a share from the $1.03 the year before.

Charts:  

  ASTE's daily chart shows the stock gapping lower  with big volume. the stock had climbed from $28 late last year to a peak at $43.

  ASTE's 12-month performance chart shows the stock down 45% versus a 9% gain for the stock market.   

Strategy Opinion: TTD is targeting ASTE for a decline to $26 within the next few months, or sooner. A protective stop buy can be placed near $34.

Suitability:   Aggressive Bears.

  TTD's probability research of Prior Performance:  

Probability - Earnings Response - Bearish.  -  ASTE rose 2 times after the past 9 earnings reports when there was a significant change in price.

Probability:  Seasonal Activity - Slightly Bullish. - ASTE averaged a gain of 0.7% in May  and a gain of 1.9 in June  the past several years.

   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. - 2019

    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 1-480-878-8381 or 480-704-3331

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 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.

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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.)