Ticker Tape Digest

Friday - May 15, 2020

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: 1-480-878-8381 or 480-704-3331.

Friday - May15, 2020

TTD's Breakout Stocks

  Stock Market Overview

Total Buy Breakouts   -  7

Quality of Breakouts -  Above Average.

Stocks Screened - 12,234

Bull side -  Good number of breakouts with some interesting plays.

Stock market  -  Nasdaq averages remain bullish in all time sectors. However, Dow is bearish in all time zones and so is the S&P weekly and Monthly.

Comment -  Market is in a consolidation after recent advance off the recent lows. Bulls be watchful.

See Latest Earnings Reports -  A company that tops the Street's highest earnings estimate has potential to go higher. Key earnings beats -  DKNG, LEGH, CWCO, PBFX and EQX.

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

Netflix Inc. (NFLX) - 454.19, up 12.24 - Breakpoint 450.73

Net To Surge 56% This Year, TTD Targets 540

  NFLX, based in Los Gatos, Ca., provides an Internet television network. Annual revenues: $20.2 billion. NFLX's stock drives higher Friday and breaks out from its 5-week, cup-and-handle base.

  So far today, NFLX is trading 7.2 million shares. Its average daily volume is 9.5 million shares.

  TTD featured NFLX as a stock to accumulate earlier tin the week.

 TTD sees more on the upside.

 NFLX is a leader. It is benefiting from people having to stay home to avoid the virus epidemic.

  NFLX's stock moved higher in the morning and finally cleared its breakpoint line in the early afternoon.

  The stock finished strong into the final bell.

  Tape Action

  NFLX's stock shows the recent block trades.

  One can see the price for the blocks climbing from $441.75 in the morning to as high as $454.39 near the close.

  A key bullish trade came in the morning when a block of 5,068 shares crossed the tape at $446.05.

 That was up from the prior block at $439.44 on 5,556 shares. 

   Business

  NFLX operates: Domestic streaming, International streaming and Domestic DVD.

 The domestic streaming covers the USA and overseas. The domestic DVD  includes services such as digital optical disc (DVD)-by-mail.

 The company's members can watch original series, documentaries, feature films, as well as television shows and movies directly on their Internet-connected screen, televisions, computers and mobile devices.

 NFLX has members streaming in some 190 countries.

  Charts 

  NFLX's 12-month performance chart shows the stock up 26% versus a breakeven for the stock market.

  CEO Hastings REED was a big buyer using stock options at $9 to $14 a share.

  He was a seller at $343 to $444 a share. He made a profit of $100 million with insider buying and selling this year.

  NFLX's long-term chart shows the stock climbing from $7 back in 2012 to a peak near $129 by 2015.

  The stock then based and broke out in 2016 and ran up to a peak at $423.20 in 2018.

  The stock pulled back and based. It broke out this year and reached an all-time high of $455 Friday.

  NFLX's daily chart shows the stock climbing from $290 back in December to a peak near $450 by April.

  The stock did well weathering the big stock market sell off.

  Friday, the stock breaks out from its 5-week base.

 The move carries the stock to a new high.

 The stock's CCI momentum indicator is solidly bullish.

  Earnings Outlook

  This year, analysts forecast a 56% jump in net to $6.44 a share from the $4.13 the prior year.

  The stock sells with a price-earnings ratio of 67. That is high but okay given the earnings growth rate.

  Looking out to 2021, the Street predicts a 35% gain in net to $8.66 a share from  the anticipated $6.44 this year.

  Quarterly earnings growth will be strong and show an accelerations.

  Net for the second quarter should leap 205% to $1.83 a share from the 60 cents the prior year.

  The highest estimate on the Street is at $1.95 a share. The company beat the Street estimate three out of the past four quarters.

  For the third quarter, the Street predicts a 35% jump in net to $1.98 a share from  the $1.47 the prior year.

Strategy Opinion:  TTD is targeting NFLX for a move to $540 within the next few months or sooner.  A protective stop can be placed near $440 after a breakout.

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  -  2

Stocks Screened - 12,234

Long-Term Environment for bears: Unfavorable.

Bear Side -  Small list of breakdown stocks. Bears be conservative. Stock market in a trading zone right now.

List of Stocks To Sell or Short

TTD’s Feature Bear Play

Viad Corp.  (VVI) - 14.65

Loss Seen This Year, TTD Sees Drop to 11

  VVI, based in Phoenix, provides event services. Annual revenues: $1.4 billion. VVI's stock falls sharply Friday and undercuts key technical support with heavy volume.   

  The decline was triggered when VVI reported a loss for the first quarter.

  TTD sees more on the downside.

  So far today, VVI is trading a heavy 935,378 shares, four times its average daily volume of 226,000 shares.

  VVI reported a loss of for the first quarter of 42 cents a share. The results were better than the Street forecast of a loss of 58 cents a share.

  Nevertheless, the stock fell sharply and undercut support.

  VVI's stock fell in the morning and undercut near-term support.

  The stock touched an intraday low of $14.22 around noon.

  The stock then lifted to around $15 and trended sideways through the afternoon.

  Tape Action

  VVI's tape action shows the recent block trades.

  One can see the price for the blocks falling from $16.56 Friday morning to as low as $14.61 by around noon.

 A key bearish trade came in the morning when a block of 2,500 shares crossed the tape at $15.11.

  That was down sharply from the prior block the day before at $16.56 on 5,770 shares.

   Business

  VVI  operates through two main business groups.  Its GES is a live event service provider for influential events and global brands/

 Its Pursuit provides destination travel experiences.

 GES has full-service operations in Las Vegas, Nevada; Chicago, Illinois; Orlando, Florida; New York and Los Angeles and at international venues.  

  Earnings:

  This year, analysts are forecasting a loss of $1.29 a share compared with a profit of $2.48 the prior year.

  For the second quarter, they see a loss of $1.34 a share compared with a profit of $1.44 the previous year.

Charts:  

  VVI's daily chart shows the stock trending lower from $69 earlier this year down to $11.25 by March. The stock lifted and then based, but now rolls over with big volume.

  VVI's 12-month performance chart shows the stock falling 80% versus a breakeven for the stock market.

Strategy Opinion: TTD is targeting VVi for a decline to $11. A protective stop buy can be placed near $15.80

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. - 2020

    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.

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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.

 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.)