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 trades. We also feature stocks under Significant Accumulation that are poised to breakout.
Ticker Tape Digest's
Daily schedule guide for TTD subscribers
1. Pre-market - check Breakout Watch List and Quick Trades.
2. Morning - (11:30 - 12 A.M.) - check breakout stocks tape and breakout chart slide show.
3. Midday (1 P.M.) check TTD Midsession Report and see market video show.
4. After close (4 P.M.) check final TTD Report for day.
Aggressive Investors Bullish - "Breakout Stocks" - ideally suited for bull markets and special situation stocks. Potential for large returns. (See Performance)
Aggressive Investor Bullish- "Quick Trade Stocks" -ideally suited for entry into top performing issues looking for a small quick profit." (See Performance)
Conservative Investors "Bargain Buy Trades for the Long Term." Ideally suited for entry into top performing big cap stocks on pullbacks within overall up trend.(See Performance)
Aggressive Bearish Investors - "Breakdown Stocks" to Sell Short. Ideally suited for bear markets or market pull backs. Potential for large returns (See Performance)
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 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 email@example.com.For service, email Beverly Owen firstname.lastname@example.org. TTD’s Tel: 1-480-926-1680.
Total Buy Breakouts so far today - 1
Overall Quality of Breakouts - AVERAGE
Stocks Screened - 8,300
Bull side - Only one breakout stock today. Stock market moves lower. Stock market remain in a trading range. Bulls be selective and conservative.
(Put mouse on Dow chart to see Nasdaq chart)
Long Term Environment for bulls: Favorable
Stock Market Momentum
Market (Daily) - NYSE Bearish, Nasdaq Bullish
Market (Weekly) - NYSE Bearish, Nasdaq Bullish
Market (Monthly) - NYSE Bullish, Nasdaq Bearish
Ticker Tape Digest's
TTD's Quality Rating of Stock - UHS - AVERAGE
UHS, based near Philadelphia, operates acute care hospitals. Annual revenues: $7.4 billion. UHS's stock breaks out today from a five-month flat base. The move carries the stock, which came public back in 1995, to a new all-time high. So far today, UHS is trading 773,188 shares. Its average daily volume is 788,000 shares.
TTD highlighted UHS as a breakout at our midsession video show on the Web.
The stock moved higher in the morning hitting an intraday peak of 87.24. The stock then backed off in the afternoon. (see 10-minute chart)
However, the stock held on its breakpoint line.
In the late afternoon, UHS rallied to finish easily as a breakout - the only one for the day!
UHS's tape action shows the recent block trades.
One can see the price for the blocks advancing from $84.65 in the prior session to as high as $87.23 late on Tuesday.
A key bullish trade came late on Monday when a block of 50,000 shares crossed the tape at $86.
That was up from the prior block at $85.40 on 10,000 shares.
UHS operates acute care hospitals, behavioral health centers, surgical hospitals, ambulatory surgery centers and radiation oncology centers.
The Company owned and/or operated 24 acute care hospitals and 193 behavioral health centers located in 37 states.
Services provided by hospitals include general and specialty surgery, internal medicine, obstetrics, emergency room care, radiology, oncology, diagnostic care, coronary care, pediatric services, pharmacy services and behavioral health services.
UHS's 12-month performance chart shows the stock appreciating 30% versus a 13% gain for the S&P 500 index.
UHS's long-term chart shows the stock in a trading range between roughly 20 and 30 through 2005 and 2009.
The stock broke out of the long-term trading range in early 2010. It climbed to a peak at 56 by 2011. It then pulled back and consolidated gain.
The stock then pushed out of the base in late 2012 and has since climbed to a new high of 87. Although, a conservative stock, it has been able to work higher during the current bull market.
UHS's daily chart shows the stock cutting though resistance at 86.30. The move sends the stock to a new high.
The basing pattern is loose. So, one will need to be watchful and look for a follow through move higher.
UHS's TTD momentum indicator (top of chart) is modestly bullish.
The accumulation - distribution line (bottom of chart) fell in March. It has now turned up, but lags the price action. So, the stock did absorb some significant selling in March.
The company tends to show steady earnings growth.
This year, analysts forecast a 12% increase in net to $5.09 a share from $4.55 a year ago.
The stock sells with a price-earnings ratio of 16. TTD sees that as reasonable.
Looking out to 2015, the Street projects a 13% gain in net to $5.75 a share from the anticipated $5.09 a share this year.
For the upcoming second quarter, earnings will show a soft gain in net of 4% to $1.25 a share from $1.20 the year before. This is of concern and should make one cautious on the stock due to the slow down in earnings growth.
However, the third quarter should show an 11% gain in net to $1.22 a share from $1.10 the year before.
Strategy Opinion: TTD sees UHS as a breakout most suitable for conservative investors. TTD is targeting the stock for a move to 95 off this breakout.
A protective stop ban be placed near 84.
TTD rates UHS an average intermediate-term play.
Sponsorship: Good. The largest fund holder is 4-star rated Vanguard Health Care Fund with a 4.3% stake. It was a recent buyer of 386,000 shares. It has a 4.3% stake.
The 4-star rated Fidelity Select Heath Care Portfolio Fund was a recent buyer of 160,000 shares. It has a 0.61% stake.
UHS has 98.8 million shares outstanding. Institutions hold 87% of the stock.
Insider Activity: Neutral. Insiders have been getting stock options around $78. They have done only light selling. Right now, 13 analysts follow the stock, 11 have a buy, up from 9 three months ago.
Stock Performance Chart with Quarterly Earnings Markers.
|TTD's Breakout Profile
Universal Health Services Inc. - (UHS)
|TTD Check List||Bullish||Bearish||Neutral|
|Near 52-week High||YES|
|Price Trend - Daily||YES|
|Price Trend - Long Term||YES|
|Price Daily Spread||YES|
|Base - A-D||YES|
|Prior Breakout Success||YES|
Charts of Selected 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 - 8
Stocks Screened - 8,300
Long-Term Environment for bears: Unfavorable.
Bear Side - Short list expands as stock market declines sharply. Bears be selective. TTD's short from Monday was Methanex Corp. (MEOH) at 58.98. Today, MEOH has declined to 57.55 and is working well for bears.
NTLS, based in Waynesboro, Va., provides wireless communications services in Virginia and West Virginia. Annual revenues: $494 million. NTLS's stock falls sharply today cutting below near-term support. So far today, NTLS is trading a heavy 1.4 million shares, triple its average daily volume of 418,000 shares.
TTD highlighted NTLS as a short at our midsession video show on the Web.
NTLS's stock fell sharply in the morning after S&P Capital cut its earnings forecast.
S&P Capital said it now looks for NTLS earnings to be 82 cents a share instead of $1.16 a share. For 2015, they now look for earnings to be 97 cents a share instead of $1.12 a share.
The news sent the stock down hard.
TTD's clip of the tape shows the recent block trades.
One can see heavy institutional selling in the morning. A big block of 50,474 shares (duplicated) crossed the tape at $11.40.
That was down from the prior block at $13 on 11,018 shares.
NTLS also services consumers and businesses in Maryland, North Carolina, Pennsylvania, Ohio and Kentucky. It offers wireless voice and CDMA digital data PCS products and services to retail and business customers under the NTELOS Wireless and FRAWG Wireless brand names.
Analysts expect NTLS's earnings this year to fall 23% to 77 cents a share from $1 a share a year ago.
NTLS's daily chart shows the stock falling from 20 in January to 12 by March. The stock then tried to form a bottom. However, today it breaks below support with a big expansion in volume. The stock's TTD momentum indicator (top of chart) is now bearish.
Strategy Opinion: TTD is targeting NTLS for a decline to 9 within the next few months, or sooner. A protective stop buy can be placed near 12.85.
|TTD's Quality Rating of Stock - NTLS - AVERAGE|
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.”
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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.)