Go To TTD's Pre-Market Opening Breakout Watch Stock Lists Monday, May 19
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Go To TTD's Pre-Market Opening Breakout Watch Stock Lists Monday, May 19 |
| 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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By Leo Fasciocco -- TTD
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.
Total Buy Breakouts so far today - 13
Stocks Screened - 8,200
Bull side - Modest list of breakouts today with energy stocks dominating the list. Bulls be watchful and be ready to be aggressive if needed.
Long- term Environment for bulls: Neutral
Market Status (Daily) - NYSE Bullish, Nasdaq Bullish
Market Status (Weekly) -NYSE Bullish, Nasdaq Bullish
Market Status (Monthly) NYSE Bullish, Nasdaq Bullish
FLIR, based Portland, Ore., provides thermal-imaging and infrared camera equipment for military, law enforcement, and commercial applications. Annual revenues: $855 million. FLIR breaks out from a five-week base today with good volume. The stock was close to a breakout on Friday, but pulled back during the day. Today, it clears the base and hits a new high. The new high could well bring in more buying on Tuesday from those who follow new highs. . 
So far today, FLIR is trading 1.5 million shares. The stock's average daily volume is 1.1 million shares.
FLIR got off to a good start in the morning. TTD's clip of the tape shows a big block of 20,524 shares crossing on a nice up tick to $35.74 from the prior trade at $35.67.
The action showed good institutional buying early in the day.
The company operates in three area: Thermography, which focuses on commercial temperature measurement; Commercial Vision Systems, offering boating, automotive, aviation, and security products; and Government Systems, which produces mainly military imaging systems.
TTD's performance chart shows that FLIR's stock has appreciated 70% the past 12 months. It has easily outperformed the S&P 500 which is down 5% during that time.
TTD's long-term chart of FLIR shows the stock has been a sensational winner since 2001. It is a beneficiary of the war on terror and the need for equipment to combat it via military and security needs. 
TTD's daily chart shows the stock's setup. Near-term there is a five-week base and FLIR is breaking out. Going back further - some seven months - the stock is breaking out from a longer-term base.
The stock's technical indicators fit nicely to the bullish pattern. The TTD momentum indicator (top of the chart) is modestly bullish.
Most importantly, the accumulation - distribution line (bottom of chart) is hitting a new high. That is confirming the price breakout. It says there is good underlying buying in the stock.
This year, FLIR's earnings should jump 32% to $1.18 a share from 89 cents a share a year ago. The stock sells with a price-earnings ratio of 30 based on this year's earnings. TTD sees that as reasonable.
Next year, analysts forecasting a 20% rise in net to $1.41 a share. TTD thinks the company could do better.
For the upcoming second quarter, the Street looks for a 40% rise in net to 27 cents a share from 19 cents a year ago. The highest estimate on the Street is at 28 cents a share. FLIR tends to meet or top the consensus Street estimate by up to 3 cents a share. TTD sees chances for a mild upside surprise.
The company's revenues are growing at 47%. It is benefiting from strong demand in all areas of its business - airborne, land and maritime products.
Strategy Opinion: FLIR is breaking through important upside resistance. TTD is very bullish on the stock. We are targeting FLIR for a move to 45. Conservative investors can scale-in. A protective stop can be placed near 34. TTD rates FLIR a very good intermediate-term play provided earnings growth remains on course.
Sponsorship: Very Good. Many of the top funds holding the stock have been adding to their positions. The largest fund holder is Fidelity Magellan Fund with a 6.3% stake. It has held its position steady. A key buyer recently was 2-star rated Franklin Small Mid-cap Growth Fund which purchased 2.9 million shares.
Insider Activity: Neutral. Insiders have been buyers using stock options, but they have turned right around and sold. Right now, 14 analysts follow the stock, 6 have a buy, up from 5 three months ago.
Stock Performance Chart for One Year versus the S&P 500 index.
| TTD's Breakout Profile
Rating Flir Systems Inc. (FLIR) |
| 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 | 14 | 0 | 0 |
(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
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 - 2
Stocks Screened - 8,200
Long-Term Environment for bears: Neutral
Bear Side - Very few breakdown stocks today. Bears be selective and conservative.
(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.)
COIN, based in Boston, produces natural fertilizers used in organic farming through large-scale food waste composting. Annual revenues: $1 million. COIN reported a loss for the first quarter Friday. Today, the stock responds by declining sharply on expanding volume. The stock had spiked up as high as 15 earlier this year. It is now in a down trend. TTD sees more on the downside. 
The company reported a loss of 51 cents a share compared with a loss of 37 cents a share a year ago.
So far today, COIN is trading 625,738 shares. Its average daily volume is 443,000 shares. TTD's clip of the tape shows the stock got off to a bearish start in the morning. A big block of 16,138 shares crossed at $8.40 in the morning. That was within a sequence started by a modest down tick. The action showed institutional selling pressure.
The company’s liquid and granular fertilizers, which it calls “biostimulants,” are used in agricultural, horticultural, and turf production. They are intended to significantly decrease use of chemical fertilizers and pesticides.
The stock had a strong run up earlier this year. It broke down in March (see chart) and then tried to form a bottom. That is failing. The stock is now heading lower. The TTD momentum indicator (top of the chart) is bearish. The accumulation - distribution line (bottom of chart) is in a down trend showing there is heavy selling pressure.
TTD sees COIN as a good trading short. We are targeting the stock for a drop to 6 within the next few months, or sooner. A protective stop can be placed near 9.
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.)
