Ticker Tape Digest

Monday - May 17, 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.

Monday - May 17, 2021

TTD's Breakout Stocks

  Stock Market Overview

Total Buy Breakouts   -  8

Quality of Breakouts -  Above Average.

Stocks Screened - 12,234

Bull side -  Small list of breakouts, but some good looking plays.

Stock market  -  Major averages are all bullish, except for the Nasdaq daily and weekly which is bearish.

Comment -  Stock market has lost upside momentum, Bulls be conservative.

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

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

Hecla Mining Co. (HL) - 8.81, up 1.25 - Breakpoint 7.69

Net To Surge 375% This Year, TTD Targets 10.50

  HL, based in Coeur d Alene, Idaho, produces silver and gold. Annual revenues: $692 million. HL's stock drives higher Monday and breaks out from its 5-month flat base.

  So far today, HL is trading a heavy 24.4 million shares, more than double its average daily volume of 9.9 million shares.

  TTD sees more on the upside.

  Precious metal stocks are working higher.

  HL's stock moved higher in the morning and cleared its breakpoint line.

  The stock ran up to $8.88 in the afternoon.

  HL then trended sideways into the close.

  In after-hours trading, HL was up 5 cents a share.

    Tape Action

  HL's tape action shows the recent block trades.

  One can see the price for the blocks climbing from $7.73 in the morning to as high as $8.84 in the afternoon.

  A key bullish trade came in the morning when a block of 60,423 shares crossed the tape at $7.75.

  That was up from the prior block at $7.73 on a big 210,653 shares block.

  Near the close a block of 471,633 shares crossed at $8.81.

  That came on a down tick from the prior trade at $8.82 on 400 shares.

   Business

 HL develops properties to produce silver, gold, lead and zinc.

The company  produces lead, zinc and bulk concentrates, which it markets to custom smelters and brokers, and unrefined bullion bars containing gold and silver.

Its segments include the Greens Creek, Lucky Friday, Casa Berardi and San Sebastian units.

  It is focused on its San Sebastian project, North Idaho's Silver Valley, Greens Creek unit on Alaska's Admiralty Island and the silver-producing district near Durango, Mexico.

   It produces zinc, lead and bulk flotation concentrates at its Greens Creek unit and lead and zinc flotation concentrates at its Lucky Friday unit.

  Charts

  HL's 12-month performance chart shows the stock up 140% versus a 45% gain for the stock market.

  Insiders were recent sellers at $5.80 to $7.40 a share.

  They have not done any recent buying.

  HL's long-term chart shows the stock climbing from $1.45 back in 2016 to a peak at $7.64 by late 2016.

  However, the stock faded back to $1.21 by 2019. Since then, though, HL has rallied back to $8.81.

  HL's daily chart shows the stock breaking out from a two-month, double-bottom base.

  The move is strong coming with a widening of the daily spread and expanding volume.

  A few sessions before HL drove higher when reporting its earnings.

  HL's CCI momentum indicator is solidly bullish.

   Earnings Outlook

  This year, analysts predict a 375% surge in HL's net to 19 cents a share from 4 cents the prior year.

  The stock has a price-earnings ratio of 46.

  Looking out to 2022, the Street projects a 57% leap in net to 30 cents a share from the anticipated 19 cents this year.

  For the upcoming second quarter, the Street projects a 400% jump in net to 5 cents a share from the one cent the prior year.

  Net for the third quarter should be up 20% to 6 cents a share from 5 cents the prior year.   

Strategy Opinion:  TTD is targeting HL for a move to $10.50 within the next few months, or sooner.

A protective stop can be placed near $8

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  - 6

Stocks Screened - 12,234

Long-Term Environment for bears: Neutral.

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

List of Stocks To Sell or Short

TTD’s Feature Bear Play

Avita Therapeutics Inc. (RCEL) - 17.62

Loss Seen This fiscal Year and Next, TTD Sees Drop to 14.20

  RCEL, based in Valencia, Ca.,  formerly AVITA Therapeutics, provides a service to treat burn injuries, wounds and skin problems. Annual revenues: $14.3 million. RCEL's stock falls sharply Monday and undercuts key technical support.

  So far today, RCEL is trading 330,175 shares, almost triple its average daily volume 127,000 shares.

  TTD sees potential for more on the downside.

  RCEL's stock gapped lower in the morning and undercut key technical support.

  The stock fell to an intraday low of $17.30 in the early afternoon.

  The stock then lifted slightly to finish at $17.62.

  In after-hours trading, RCEL stock was up 38 cents a share.

   Tape Action

  RCEL's tape action shows the recent block trades.

  One can see the price for the blocks falling from $20.56 in the prior session to as low as $17.41 in the afternoon.

  A key bearish trade came in the morning when a block of 1,600 shares crossed the tape at $19.22.

  That was down from the prior block in the prior session at $20.56 on 4,456 shares.

  Near the close a big block of 15,882 shares crossed at $17.62. That was down from the prior block at $17.74 on 1,900 shares.

   Business

   RCEL has a technology platform to address medical needs in burn injuries, trauma injuries, chronic wounds, and dermatological and aesthetics problems.

Its technology provides treatment solutions derived from the regenerative properties of a patient’s own skin.

 The medical devices work by preparing Spray-On Skin Cells, an autologous cellular suspension comprised of the patient’s skin cells necessary to regenerate natural healthy epidermis.

It has developed RECELL System, to treat acute thermal burn injuries in patients 18 years and older.

  Earnings:

  This fiscal year ending in June, analysts predict a loss of $1.49 a share compared with a loss of $2.07 the prior year.

  For the fiscal fourth quarter ending in June, the Street expects a loss of 43 cents a share. There was no comparable results.

  Looking out to fiscal 2022, the Street projects a loss of $1.46 a share.

Charts:  

 RCEL's daily chart shows the stock climbing from $16.87 in December to a peak at $28.49 the same month.

  However, since then RCEL has been trending lower. Monday, it cuts below near-term support.

Strategy Opinion: TTD  is targeting RCEL for a decline to $14.20 within the next few months, or sooner. A protective stop buy can be placed near $18.60.

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.

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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.)