Ticker Tape Digest

Wednesday - July 7, 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.

Wednesday - July 7 2021

TTD's Breakout Stocks

  Stock Market Overview

Total Buy Breakouts   -  17

Quality of Breakouts -  Above Average.

Stocks Screened - 12,234

Bull side -  Large list of breakouts with some good looking plays.

Stock market  -  Major averages holding bullish in all time frames.

Comment -  Some good looking breakouts. Bulls can be venturesome.

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

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

Transcat Inc. (TRNS) - 62.40, up 4.38 - Breakpoint 58.67

Net To Climb 38% for Fiscal 2022 (March), TTD Targets 75

    TRNS, based in Rochester, N.Y., makes lab test and measurement products. Annual revenues: $173 million. TRNS's stock drives sharply higher Wednesday with a good expansion in volume.

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

  So far today, TRNS is trading 97,756 shares, triple its average daily volume of 33,000 shares. 

  TTD sees more on the upside.

  TRNS  moved higher in the morning and cleared it breakpoint.

  The stock then worked steadily higher during the day.

  It closed near its high for the session.

 TRNS was unchanged in after-hours trading.

 Tape Action

  TRNS's tape action shows the recent block trades.

  One can see the price for the blocks climbing from $57.54 in the prior session to as high as $62.63 in the afternoon.

  A key bullish trade came in the morning when a block of 2,049 shares (duplicated) crossed the tape at $58.02.

  That was up from  the prior block at $57.54 on 1,480 shares.

  Then near the close a block of 2,566 shares crossed at $62.40.

  That was up from the prior block at $62.15 on 570 shares.

    Business

  TRNS provides calibration and lab instrument services and a is a distributor of professional grade test, measurement and control instrumentation.

 The company  is focused on providing its services and products to the life science industries.

 They include drug, biotechnology, medical device manufacturing and other FDA regulated businesses.

 The company also services industrial manufacturing, utility, oil and gas and chemical firms.

 The company's subsidiaries include Transcat Canada Inc., United Scale & Engineering Corporation, WTT Real Estate Acquisition, LLC and Anmar Metrology Inc.

 Charts

  TRNS's 12-month performance chart shows the stock up 150% versus a 35% gain for the stock market.

  Insiders were recent sellers at $55 to 36 a share.

  They were buyers using stock options at $28 to $12 a share. They were buyers in the open market at $45 to $57 a share too.

  TRNS's long-term chart shows the stock climbing from $10.65 to a peak at $34 by 2019.

  The stock was dragged down to $16.50 in early 2020 due to the stock market sell off.  Afterwards, the stock rallied strongly reaching $62.

  TRNS's daily chart shows the stock climbing from $40 in February to a peak at $58 by May.

  The stock put down a tight flat base.

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

  The stock's CCI momentum indicator is strongly bullish.

   Earnings Outlook

  Looking out to fiscal 2022 ending in March, the Street predicts a 38% jump in net to $1.42 a share from the $1.03 in fiscal 2021.

  Net for the upcoming fiscal first quarter ending in June should surge 136% to 26 cents a share from the 11 cents a share.

  Profits for the fiscal second quarter ending in September should rise 30% to 35 cents a share from the 27 cents the prior year.

  Analysts have been raising their estimates.

  Looking ahead to fiscal 2023, the Street projects a 29% lift in net to $1.84 a share from  the anticipated $1.42 in the current fiscal year.

Strategy Opinion:  TTD is targeting TRNS for a move to $75 within the next few months, or sooner.

A protective stop can be placed near $56.

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: Unfavorable.

Bear Side -  Several short plays with some interesting plays for aggressive bears.

List of Stocks To Sell or Short

TTD’s Feature Bear Play

Alpha Pro Tech  (APT) - 7.27

Cuts Below Key Support, TTD Sees Drop to 6

  APT, based in Markham, On., makes disposable protective apparel. Annual revenues: $103 million. APT's stock falls sharply Wednesday and undercuts key technical support.

  So far today, APT is trading a heavy 679,277 shares, double its average daily volume of 301,000 shares.

  TTD sees chances for more on the downside.

  APT's stock fell in the morning and undercut key technical support.

  The stock rallied back to its breakdown line. However, in the afternoon the stock faded and closed near its low for the session.

  In after-hours trading, APT was up 13 cents a share.

   Tape Action

  APT's tape action shows the recent block trades.

  One can see the price for the blocks falling from $8.31 in the prior session to as low as $7.27 by the close.

  A key bearish trade came in the morning when a block of 10,706 shares crossed at $8.25.

  That was  down from the prior block the day before at $8.31 on 6,537 shares.

   Business

  APT makes disposable protective apparel and infection control products for the cleanroom, industrial, pharmaceutical, medical and dental markets.

  Its disposable protective apparel includes shoe covers, bouffant caps, gowns, coveralls, lab coats, frocks and  face masks and eye shields.

  The company also makes construction weatherization products.

  Earnings:

  Net this year should decline 29% to $1.38 a share from the $1.94 the prior year.

  Looking out to 2022, the Street expects a 16% drop in net to $1.16 a share from the anticipated $1.38 this year.   

Charts:  

  APT's daily chart shows the stock falling from $20 in February to $7.27.

  The stock was as high as $41 back in 2020. It is in a sharp decline.

Strategy Opinion: TTD  is targeting APT for a decline to $6 within the next few months, or sooner. A protective stop buy can be placed near $7.55

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.

   Distributed by Corona Publishing Enterprises. TickerTape Digest Inc. 1220 W. Sherri, Gilbert, Az. 85233.

  TTD “Professional Report” is available on the Web: $100 per month. Password needed. Published daily - around 20 times a month.  

 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.)