Big Money Flocks to Ares Once Again

And the alternative asset manager could rise in the future due to strong financial performance and investments in new markets. But another likely reason is Big Money lifting the stock once again.

Ares Brings in Big Money

So, what’s Big Money? Said simply, that’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next hot stock. And Ares has many fundamental qualities that are attractive.

This sets up well for the stock going forward. But how the shares have been trading points to more upside. As I’ll show you, the Big Money has been consistent in the shares over time.

You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.

Of course, when tides turn, sometimes Big Money sells. That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at the Big Money signals ARES has made over the last year – plenty of buying and selling.

The last few weeks have seen Big Money activity too. Each green bar signals big buying volumes as the stock ramped in price:

Chart, histogram Description automatically generated

Source: www.mapsignals.com

In the last year, the stock attracted six Big Money buy signals and 11 Big Money sell signals. Generally speaking, recent green bars could mean more upside is ahead.

Now, let’s check out the technical action grabbing my attention:

Outperformance is important for leading stocks.

Ares Fundamental Analysis

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, Ares has had triple-digit sales and earnings growth, and the future earnings outlook is solid too. Take a look:

  • 1-year sales growth rate (+159.8%)
  • 3-year EPS growth rate (+136.2%)
  • 1-year EPS growth estimate (+27.9%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.

In fact, ARES has been a top-rated stock at my research firm, MAPsignals, for years. That means the stock has had buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

ARES has a lot of qualities that are attracting Big Money. It’s made the Top 20 report 22 times since 2019, with its first appearance on 05/21/2019…and gaining 182.7% since. The blue bars below show when Ares was a top pick:

Source: www.mapsignals.com

It’s been a top stock in the financial sector according to the MAPsignals process. I wouldn’t be surprised if ARES makes additional appearances in the years to come. Let’s tie this all together.

Ares Price Prediction

The Ares rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further upside, plus ARES pays a current dividend yield of more than 3.7%. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no positions in ARES at the time of publication.

Learn more about the MAPsignals process here.

Contact

https://mapsignals.com/contact/

Breaking Down ETFs – What They Are And How They Help Build Wealth

The idea of pooling investment assets has been around for centuries.  Mutual Funds first appeared in the 1920s.  But it wasn’t until the 1980s that mutual funds became widely popular with mainstream investors. In recent years, ETFs have taken off as an alternative to mutual funds.

An exchange-traded fund (ETF) is a “basket” of stocks, bonds, or other financial instruments that gives convenient exposure to a diverse range of assets.  ETFs are an incredibly versatile tool that can track anything from a particular index, sector, or region to an individual commodity, a specific investment strategy, currencies, interest rates, volatility, or even another fund.  You can do about anything with them — hold a diversified portfolio, hedge, focus on a particular sector, or even profit in a bear market.

The most significant practical difference between mutual funds and ETFs is that ETFs can be bought and sold like individual stocks —and mutual funds cannot.  Mutual funds can only be exchanged after the market closes and their Net Asset Value (NAV) is calculated.  Shares of ETFs can be traded throughout regular market hours, like shares of stock.

Both mutual funds and ETFs have expense fees that can range from low to high.  Mutual funds can have front or backend loads or redemption fees in addition to management fees.  ETFs that trade like shares have commissions to buy and sell.  But some ETFs are so popular that brokers offer commission-free trading in them.

So Many Choices

The sheer number and variety of ETFs can be a bit mind-boggling.  Over the last 20 years, we’ve seen just a couple hundred ETF offerings grow to more than 8,000 worldwide, encompassing more than 10 trillion in assets.

A surprising number of ETFs have failed.  They started with an interesting focus (well, “interesting” to somebody) but failed to attract enough interest to remain viable.  For this very reason, I avoid narrow niche ETFs that trade with low volume.

I eliminate many ETFs on poor liquidity alone.  I’m not interested if there’s not much volume in a product.  I don’t want to suffer high slippage from wide bid/ask spreads.  I want to get in and out quickly and at fair prices.

To Leverage or Not to Leverage?

Inverse and leveraged ETFs often use derivatives like options, futures, and short-term contracts to achieve 2x or 3x the daily change in the assets they’re intended to track. These types of instruments have inherent time decay, and they tend to lose value over time, regardless of what happens in the index or benchmark that the ETF tracks. As a result, these products are best for very short holding periods or day trading.

Options on ETFs

Many ETFs have options (puts and calls) available.  But even if the ETF itself trades with decent volume, that does not mean that the options meet my criteria for liquidity.

Sometimes I will use long options – puts or calls — if a clear directional move is in play.  I also use many of my option premium selling strategies on popular ETFs.   Just like with stocks, options can be used with ETFs for additional leverage, collecting premiums for income, and risk management.

An ETF Playlist

Here are some of my favorite ETFs and how I use them.

SPY, QQQ, IWM – Major index ETFs with huge participation. I use options strategies with these to collect premiums or profit from longer-term directional moves.

XLE, XLF, XHB, IYT, XLU, SMH – Sector Exposure. These can work well for directional trades in specific sectors. I like these sector plays as they can give a lot of protection against individual stock risk.

DBC, USO, UNG, WEAT, GLD, SLV, COPX, GDX, URA – Commodity Exposure. All of these can work well when the underlying commodities are appreciating. I tend to use these with option premium selling strategies such as covered calls and diagonal spreads.

TQQQ – Triple leveraged to the QQQ. This very popular ETF can work well to capture very short-term bullish moves in the Nasdaq 100 stocks.

SQQQ – This is the companion inverse ETF to TQQQ. It is triple-leveraged and inverse to QQQ. Long calls on SQQQ can work well to capture gains from a very short-term down move. Timing is everything in short-term trading, so I get in and out quickly, with trades lasting no more than a few days.

UUP – US Dollar Index. This can be a real winner when stocks are weak and the dollar is strong. Implied volatility on options is relatively low, so buying call options can work well if you catch a directional move. Using calls can give about 10x leverage; for example, a 3% increase in UUP might yield around a 33% gain for an in-the-money call option.

Technical Analysis

Whether an individual stock or an ETF, my answer for when to buy or sell is always based on price action. We only want to hold assets that are increasing or at least keeping their value while avoiding assets that are in decline. And the toolset to evaluate price action is technical analysis. The same technical analysis we use for stocks works just as well for the more popular ETFs.

Want to Learn More About Options Trading?

Every day on Options Trading Signals, we do defined risk trades that protect us from black swan events 24/7. Many may think that is what stop losses are for. Well, remember the markets are only open about 1/3 of the hours in a day. Therefore, a stop loss only protects you for 1/3 of each day. Stocks can gap up or down. With options, you are always protected because we do defined risk in a spread. We cover with multiple legs, which are always on once you own.

If you are new to trading or have been trading stock but are interested in options, you can find more information at The Technical Traders – Options Trading Signals Service. Brian, who has been trading options for almost 20 years, sends out real live trade alerts on actual trades, such as TSLA and NVDA, with real money. Ready to subscribe, click here:  TheTechnicalTraders.com.

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Intermex Brings in Big Money

And the money remittance services company could jump more due to strong earnings and growth prospects. But another likely reason is Big Money lifting the stock.

Big Money Likes Intermex

So, what’s Big Money? Said simply, that’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next hot stock. And Intermex has many fundamental qualities that are attractive.

This sets up well for the stock going forward. But how the shares have been trading points to more upside. As I’ll show you, the Big Money has been consistent in the shares.

You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.

That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at all the Big Money signals IMXI has made recently.

The last few weeks have seen lots of Big Money activity. Each green bar signals big trading volumes as the stock ramped in price:

Chart, histogram Description automatically generated

Source: www.mapsignals.com

In the last month, the stock has attracted seven Big Money buy signals. Generally speaking, recent green bars could mean more upside is ahead.

Now, let’s check out the technical action grabbing my attention:

Outperformance is important for leading stocks.

Intermex Fundamental Analysis

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, Intermex has had double-digit sales and earnings growth. Take a look:

  • 1-year sales growth rate (+27.7%)
  • 3-year EPS growth rate (+53.3%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.

In fact, IMXI has become a top-rated stock at my research firm, MAPsignals. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

IMXI has a lot of qualities that are attracting Big Money. It just made the Top 20 report, with its first appearance on 07/26/2022…and gaining 13.4% since. Big Money may have found a new gem. The blue bars below show when Intermex was a top pick:

Chart, histogram Description automatically generated

Source: www.mapsignals.com

It’s been a growing stock in the financial sector according to the MAPsignals process. I wouldn’t be surprised if IMXI makes additional appearances in the years to come. Let’s tie this all together.

Intermex Price Prediction

The Intermex rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further upside. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no positions in IMXI at the time of publication.

Learn more about the MAPsignals process here.

Contact

https://mapsignals.com/contact/

Should We Be Prepared For An Aggressive U.S. Fed In The Future?

The US stock markets started an upward trend after the last 75bp rate increase – expecting the U.S. Fed to move toward a more data-driven rate adjustment.

My research suggests the U.S. Federal Reserve has a much more difficult battle ahead related to inflation, global market concerns, and underlying global monetary function. Simply put, global central banks have printed too much money over the past 7+ years, and the eventual unwinding of this excess capital may take aggressive controls to tame.

Real Estate Data Shows A Sudden Shift In Forward Expectations

The US housing market is one of the first things I look at in terms of consumer demand, home-building expectations, and overall confidence for consumers to engage in Big Ticket spending. Look at how the US Real Estate sector has changed over the past five years.

The data comparison chart below, originating from September 2017, shows how the US Real Estate sector went from moderately hot in late 2017 to early 2018; stalled from July 2018 to May 2019; then got super-heated in late 2019 as extremely low-interest rates drove buyers into a feeding frenzy.

As the COVID-19 virus initiated the US lockdowns in March/April 2020, you can see the buying frenzy ground to a halt. Between March 2020 and July 2020, Average Days On Market shot up from -8 to +17 (YoY) – showing people stopped buying homes. At this same time, home prices continued to rise, moving from +3.3% to +14% (YoY) by the end of 2020.

The buying frenzy then kicked back into full gear and continued at unimaginable levels throughout 2021 as interest rates stayed near lows and FOMO increased. Over the past 7+ years, the excess capital meant buyers could sell their existing homes, relocate to a cheaper area, avoid COVID risks, and reduce their mortgage costs with almost no risks. This “great relocation” event likely sparked the high inflation/CPI trends we are battling right now.

US Real Estate Conditions chart

(Source: Realtor)

Extreme Easy Monetary Policies May Prompt A Harsh U.S. Fed Action In The Future

Traders expect the U.S. Federal Reserve to softly pivot away from rate increases after reaching a “normal level.” I believe the U.S. Federal Reserve will have to continue aggressively raising rates to battle ongoing inflation and global concerns. I don’t believe traders have even considered what may be necessary to break this cycle – or are simply hoping they never see 14% FFR rates again (like we saw in the 1980s).

The harsh reality is the excess capital floating around the globe has anchored an inflationary trend that may be unstoppable without central banks taking interest rates to extremes. There was only one other period where I see similarities between what is taking place now and the recent past – 1970~2003.

Throughout that span of time, the U.S. Federal Reserve moved away from the Gold Standard and entered an extended period of money creation. This prompted a big increase in CPI and Inflation, leading to extreme FFR rates above 15% in 1982 to battle inflationary trends (see the charts below). CPI continued above 5% for another 15+ years after 1982 – finally bottoming in 2010.

What if the extended money printing that started after the 2007-08 Global Financial Crisis sparked another excess capital/inflation phase just like the 1970 to 2003 phase? What’s next?

Sticky Consumer Price Index Chart

Effective Federal Funds Rate Chart

M2 - Money Stocks chart

Excess Money Must Unwind Over Time To Prompt A New Growth Phase

My thinking is the 2000~2019 unwinding phase, prompted by the DOT COM bubble, 911 Attacks, and the eventual 2008-09 Global Financial Crisis, pushed the devaluation of assets/excess toward extreme lows. This prompted the U.S. Federal Reserve to adopt an extended easy money policy.

COVID-19 pushed those extremes beyond anyone’s expectations – driving asset prices and the stock market into a frenzy. As inflation trends seem unstoppable, the Fed may need to take aggressive actions to thwart the global destruction of capital, currencies, and economies and avoid a massive humanitarian crisis. Run-away inflation will harm billions of people who can’t afford to buy a slice of bread if it goes unchallenged.

The U.S. Federal Reserve may be forced to raise FFR rates above 6.5~10% very quickly to avoid rampant inflation’s destructive effects. And that means traders are mistakenly assuming the U.S. Federal Reserve will pivot to a softer stance.

Real Estate Will Be The Canary In The Mine If Fed Stays Aggressive

I believe Real Estate could see an aggressive unwinding in valuation and future expectations if the U.S. Fed continues to raise rates over the next 12+ months aggressively. Once mortgage rates reach 8% or higher, home buyers and traders are suddenly going to question, “where is this going?” and “where will it end?”.

The Fed may have to break a few things to battle inflation trends. This same thing happened in the early 1980s, and real asset growth didn’t start to accelerate until the last 1990s (amid the DOT COM Bubble).

Real Estate & Financials May Show The First Signs Of Stress

I believe IYR and XLF are excellent early warning ETFs for a sudden shift in consumer/economic activity related to future Fed rate decisions. Once the Fed moves away from expected rates/trends, the Real Estate and Financial sectors will begin to react to economic contractions and weakening consumer demand/defaults.

IYR - US Real Estate ETF Daily Chart

This potential trend is still very early in the longer-term cycle, but I believe traders are falsely focused on a possible U.S. Fed pivot, thinking the Fed will shift away from continued rate increases. I believe the U.S. Federal Reserve must raise rates above 5.5% FFR in order to start breaking inflationary trends. That means FFR rates need to rise 125% or more from current levels (250 bp+) – which may be higher.

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CVB Financial Interests Big Money

And the California-based regional bank could rise higher due to a growing dividend and a 10 million share repurchase program. But another likely reason is Big Money lifting the stock.

Big Money Flocks to CVB Financial

So, what’s Big Money? Said simply, that’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next hot stock. And CVB Financial has many fundamental qualities that are attractive.

This sets up well for the stock going forward. But how the shares have been trading points to more upside. As I’ll show you, the Big Money has been consistent in the shares.

You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.

That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at all the Big Money signals CVBF has made the last year.

The last few weeks have seen Big Money activity too. Each green bar signals big trading volumes as the stock ramped in price:

Source: www.mapsignals.com

In the last year, the stock attracted 15 Big Money buy signals. Generally speaking, recent green bars could mean more upside is ahead.

Now, let’s check out the technical action grabbing my attention:

Outperformance is important for leading stocks.

CVB Financial Fundamental Analysis

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, CVB Financial has a strong profit margin and favorable earnings outlook. Take a look:

  • Profit margin (+45.2%)
  • 2-year vs. 1-year EPS growth estimate (+19.4%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.

In fact, CVBF has just become a top-rated stock at my research firm, MAPsignals. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

CVBF has a lot of qualities that are attracting Big Money. It made the Top 20 report for the first time on 07/05/2022. It’s dipped 2.4% since, but I wouldn’t be surprised to see this potential Big Money gem rise higher in the future. The blue bar below shows when CVB Financial was a top pick:

Source: www.mapsignals.com

It’s become a top stock in the financial sector according to the MAPsignals process. I wouldn’t be surprised if CVBF makes additional appearances in the years to come. Let’s tie this all together.

CVB Financial Price Prediction

The CVB Financial rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further upside, plus it has a more than 3.1% current dividend yield. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no positions in CVBF at the time of publication.

Learn more about the MAPsignals process here.

Contact

https://mapsignals.com/contact/

Big Money Eyes Futu

And while the Chinese financial technology firm dubbed “China’s Robinhood” comes with regulatory and possible U.S. delisting risks, it could rise more due to its global growth plans and first-mover advantage in some markets. But another likely reason is Big Money lifting the stock.

Futu Attracts Big Money

So, what’s Big Money? Said simply, that’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next hot stock. And Futu has many fundamental qualities that are attractive.

This sets up well for the stock going forward. But how the shares have been trading points to more upside. As I’ll show you, the Big Money has been consistent in the shares.

You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.

That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at all the Big Money signals FUTU has made the last few weeks. Most of the year was a downward trend, but things have picked up since March lows. And there’s been a recent string of Big Money buys lifting the stock. Each green bar signals big trading volumes as the stock ramped in price:

Chart, histogram Description automatically generated

Source: www.mapsignals.com

In the last year, the stock attracted five Big Money buy signals, all of which have come since June. Generally speaking, recent green bars could mean more upside is ahead.

Now, let’s check out technical action grabbing my attention:

Outperformance is important for leading stocks.

Futu Fundamental Analysis

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, Futu has grown sales and earnings at triple-digit rates, and it’s nicely profitable. Take a look:

  • 3-year sales growth rate (+120.1%)
  • 3-year EPS growth rate (+380.9%)
  • Profit margin (+39.5%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.

In fact, FUTU became a top-rated stock at my research firm, MAPsignals, last year. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

FUTU has a lot of qualities that are attracting Big Money. It’s made the Top 20 report twice since it started trading in 2019, with its first appearance on 02/24/2021, and dipping 68.3% since (but dropping just 0.8% as of its most recent Top 20 signal). Big Money bought a year ago and it’s recently come back in – it may have found a new long-term gem. Though FUTU comes with risks (as all equities do), Big Money seems to like it long-term. The blue bars below show when Futu was a top pick:

Chart, histogram Description automatically generated

Source: www.mapsignals.com

It’s been a top stock in the financial sector according to the MAPsignals process. If it can navigate its risks well, I wouldn’t be surprised if FUTU makes additional appearances in the years to come. Let’s tie this all together.

Futu Price Prediction

The Futu rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further long-term upside, even with its potential risks factored in. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a growth-oriented portfolio.

Disclosure: the author holds no positions in FUTU at the time of publication.

Learn more about the MAPsignals process here.

Contact

https://mapsignals.com/contact/

Best Oversold Stocks to Buy Now for May 2022

Markets and Big Money in the Last Six Months

See, I like to look at data. My research firm, MAPsignals, tracks the Big Money because we believe that’s what tends to move markets. Right now, there’s tons of selling (red bars), but making matters worse is the lack of buying (blue bars):

Chart

Description automatically generated

When red bars run rampant, great names can get crushed. They can become what I call “oversold.” When this happens, even the best stocks can get caught in the selling rush – and that can mean opportunity.

Two sectors that have been getting slammed for a while are financials and technology. So, this is where I’m going to look for the best oversold stocks. These areas beaten down right now, but they tend to be big growers historically, so it’s time to be opportunistic.

Chart, histogram

Description automatically generated

Chart

Description automatically generated

There are some great stocks being sold right now in these sectors. They’re fundamentally sound companies with good histories, which means discounts for long-term investors. Here are five stocks seeing lots of red that appear to be near-term oversold: FB, AAPL, GRMN, GOOGL, and V.

Meta Platforms Inc. (FB) Analysis

Up first is Meta, formerly Facebook, which is the social media and advertising heavyweight.

Even though great companies’ stocks can be volatile, like FB over the past year, they’re worthy of attention, especially on pullbacks. Check out Meta:

  • Year-to-date month performance (-37.0%)
  • Recent Big Money sell signals

To show you what our Big Money signals look like on a stock, have a look at all the buys and sells in FB over the past year:

Looking more broadly, Meta has been a high-quality stock for years. The blue bars in the chart below show when FB was a high-ranking stock likely being bought by a Big Money player, according to MAPsignals. When you see a lot of blue, it can be very bullish:

Source: www.MAPsignals.com

Those blue signals indicate Big Money buying and solid fundamentals. As you can see, Meta’s sales growth and earnings outlook have been strong, making it worthy of attention:

  • 3-year sales growth rate (+28.5%)
  • 2-year vs. 1-year EPS growth rate estimate (+18.5%)

Apple Inc. (AAPL) Analysis

Next up is Apple, the technology giant famous for its iPhones, Mac computers, and more.

Check out these technicals for AAPL:

  • Year-to-date performance (-17.0%)
  • Recent Big Money sell signals

It’s been getting bought and sold, but the uptrend is undeniable:

Now let’s look long-term. Below are the top buy signals for Apple since 2010. The Big Money has been on it for a while:

Source: www.MAPsignals.com

Let’s look under the hood. As you can see, Apple has had rock-solid, double-digit growth in earnings and owns a nice profit margin:

  • 3-year EPS growth rate (+67.2%)
  • Profit margin (+25.9%)

Garmin Ltd. (GRMN) Analysis

Another growth name is Garmin, the navigation company offering global positioning system and fitness solutions across a wide range of customers.

Strong candidates for growth usually have Big Money buying the shares. Garmin has historically had that. But recently, it’s full of red, which could be an opportunity:

  • Year-to-date performance (-18.0%)
  • Historical Big Money signals

Below are the blue Big Money signals GRMN has made since 2014. That’s the JUICE!

Source: www.MAPsignals.com

Now let’s dig deeper. Earnings growth for Garmin has been impressive. I expect more of the same in the coming years. Its tiny debt is also encouraging for the future.

  • 3-year EPS growth rate (+16.1%)
  • Debt/equity ratio (1.5%)

Alphabet Inc. Class A (GOOGL) Analysis

Number four on the list is Alphabet, which is a huge tech firm and the parent company of Google.

Here are the technicals important to me:

  • 1-month performance (-16.3%)
  • Historical Big Money signals

Since last winter it’s been on a steep downward slide, with more Big Money selling than buying:

But Alphabet is a Big Money favorite. Below are the Big Money Top 20 buy signals for GOOGL since 2004:

Source: www.MAPsignals.com

Let’s look under the hood. Despite the price slide, Alphabet sales have jumped quite a bit, and earnings are expected to keep growing:

  • 3-year sales growth rate (+24.0%)
  • 2-year vs. 1-year EPS growth rate estimate (+19.2%)

Visa Inc. (V) Analysis

Our last growth candidate is Visa, the enormous credit card and payment company. Like most financial stocks, it’s not had the easiest year:

Check out these technicals:

  • 1-month performance (-7.9%)
  • Historical Big Money signals

But V is a high-quality stock since it’s made the MAPsignals Top 20 report. As you can see below, it’s been a Big Money favorite for years. Right now, it’s on a bit of a pullback and could be an opportunity:

Source: www.MAPsignals.com

Now let’s look below the surface a bit. Sales have been growing, it’s highly profitable, and the earnings outlook is solid:

  • 1-year sales growth rate (+10.3%)
  • Profit margin (+49.8%)
  • 2-year vs. 1-year EPS growth estimate (+16.9%)

Bottom Line and Explanatory Video

 

FB, AAPL, GRMN, GOOGL, and V represent the top oversold stocks for May 2022. They’ve been sold a lot lately…perhaps too much. Strong, fundamentally-sound stocks seeing near-term sell signals are worthy of extra attention because of their long-term potential.

To learn more about MAPsignals’ Big Money process please visit: www.mapsignals.com

Disclosure: the author holds long positions in GRMN, GOOGL, and V in personal and managed accounts.

Contact

https://mapsignals.com/contact/

Big Money Buys Up Marsh & McLennan

And the insurance and professional services firm could rise even more due to strong earnings and a current dividend of more than 1.3%. But another likely reason is Big Money lifting the stock.

Big Money Attracted to Marsh & McLennan

So, what’s Big Money? Said simply, that’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next hot stock. And Marsh & McLennan has many fundamental qualities that are attractive.

This sets up well for the stock going forward. But how the shares have been trading points to more upside. As I’ll show you, the Big Money has been consistent in the shares.

You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.

That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at all the Big Money signals MMC has made the last year.

The last few weeks have seen Big Money activity, too. Each green bar signals big trading volumes as the stock ramped in price:

Source: www.mapsignals.com

In the last year, the stock attracted 22 Big Money buy signals. Generally speaking, recent green bars could mean more upside is ahead.

Now, let’s check out technical action grabbing my attention:

Outperformance is important for leading stocks.

Marsh & McLennan Fundamental Analysis

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, Marsh & McLennan has been growing sales and earnings at double-digit rates. Take a look:

  • 1-year sales growth rate (+15.1%)
  • 3-year EPS growth rate (+25.6%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.

In fact, MMC has been a top-rated stock at my research firm, MAPsignals, for years. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

MMC has a lot of qualities that are attracting Big Money. It’s made the Top 20 report 56 times since 1990, with its first appearance on 01/15/1990…and gaining 2,819.2% since. The blue bar below shows when Marsh & McLennan was a top pick:

Source: www.mapsignals.com

It’s been a top stock in the financial sector according to the MAPsignals process. I wouldn’t be surprised if MMC makes additional appearances in the years to come. Let’s tie this all together.

Marsh & McLennan Price Prediction

The Marsh & McLennan rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further upside, plus it pays a more than 1.3% current dividend. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no positions in MMC at the time of publication.

Learn more about the MAPsignals process here.

Contact

https://mapsignals.com/contact/

Sell High-Beta Stocks. Buy Low-Volatility Stocks. It’s The Business Cycle

Summary

A sound investment strategy takes advantage of the economic environment.

The economic environment drives the relative performance of investments.

The business cycle tells which stocks should be in your portfolio: high-beta vs low volatility.

The main forces driving the business cycle

There are three main types of economic indicators: leading, coincident, and lagging. The lagging indicators are the most important ones for investors because they determine the length of the business cycle and the severity of the economic correction needed to bring them down so the economy can expand again.

Inflation, interest rates, and labor costs are the most important lagging indicators. A rise in inflation reduces consumers’ purchasing power. The rise in interest rates makes purchases of anything less affordable – housing and autos in particular. Rising labor costs hinder profitability. Consumers react to the rise in inflation and interest rates by cutting first the purchase of big-ticket items. This is also the time consumer confidence of the University of Michigan declines sharply.

The slowdown in housing and auto sales are the first developments reflecting the economy is downshifting. Such slowdowns are reflected in equity prices. Coincident indicators such as employment and sales eventually also begin to sputter.

The investment opportunity in equities takes place when the leading indicators – those which were the first to signal the slowdown – are going to rise again.

One of the most important tenets of the business cycle is the slowdown will continue until the causes that created the slowdown are brought under control.

The main causes of the slowdown are the rise in the main lagging indicators: inflation and interest rates. The slowdown will continue as consumers reduce spending until their purchasing power restored again. This happens when inflation and interest rates decline. This is also the time when labor costs decrease, improving business profitability.

As retail sales increase because of rising consumers’ purchasing power, the other coincident indicators also rise: employment, production, and income. These developments will reinforce themselves and the positive loop will continue until the economy overheats.

This is the time when the lagging indicators raise their ugly heads, and the business cycle starts all over again.

Where are we now?

The lagging indicators are rising. Consumer prices keep moving higher – up more than 8%. Interest rates – short-term and long-term – have reached new highs for this business cycle. The two-year Treasury yield soared from 0.2% to 2.6% in the last 12 months. The stock market, an important leading indicator, shows no gains since June 2021 as of this writing. Auto sales and housing have been weakening after several months of rising inflation and interest rates.

Consumers cut spending on big-ticket items first when income after inflation declines as it is happening now (see graphs of buying conditions from University of Michigan survey below). In other words, an increase in the lagging indicators (inflation and interest rates) lead a peak in the leading indicator consumers’ buying conditions (see above chart).

The business cycle is just past Point 7 (see first chart above). The next trends will be slower growth in the coincident indicators. Retail sales and income after inflation are already contracting. Production and employment are still strong. They will have to weaken to reflect cuts in production to reduce inventories.

Inflation and interest rates will decline following more weakness in the coincident indicators (sales, income, production, and employment). In the meantime, growth in business activity will continue to decline until inflation and interest rates drop enough to increase consumers’ purchasing power. It will be a long and drawn-out process.

Economic growth drives sectors’ performance

The environment faced by the financial markets is slower economic growth. This is an important trend because the sectors outperforming the market when the business cycle declines, reflecting slower economic growth, are the non-cyclical sectors (XLP, XLU, XLV, XLRE) ( see chart below, energy being the exception).

The chart shows the percent change over the last 200 days. During a period of stronger growth cyclical stocks (XLI, IYT, XLF, XLE, XLB, XME) outperform the market. The strong performance of the non-cyclical sectors confirms the stock market is past its phase of fast growth.

High-beta and low volatility stocks respond to economic forces

High-beta (ETF: SPHB) and low-volatility stocks (ETF: SPLV) perform in different ways depending on the trend of the business cycle as shown on the following chart.

The above chart shows two sets of graphs. The upper panel represents the graph of the ratio SPHB/SPLV. The busines cycle indicator computed in real-time from market data and reviewed in each issue of The Peter Dag Portfolio Strategy and Management is in the lower panel.

High-beta stocks (SPHB) outperform low-volatility stocks (SPLV) (the ratio in the uppere panel rises) when the business cycle rises, reflecting stronger economic growth due to declining or stable inflation and interest rates.

However, low-volatility stocks (SPLV) outperform high-beta stocks (the ratio in the upper panel declines) when the business declines because of rising inflation and interest rates – as it has been happening since late 2021.

Key takeaways

  • The leading indicators will continue to decline reflecting rising inflation and interest rates.
  • During such time low volatility stocks (SPLV) will continue to outperform high-beta stocks (SPHB).
  • The leading indicators, such as stock prices, autos, housing, consumer sentiment of the University of Michigan, will bottom and rise again following a decline in inflation and interest rates.
  • The decline in inflation and interest rates will be preceded by declines in the coincident indicators (sales and income after inflation, production, and employment).
  • This will be the time when high-beta stocks (SPHB) start outperforming low-volatility stocks (SPLV).

Arthur J. Gallagher & Co. Attracts Big Money

And the insurance broker could rise even more due to strong performance and recent acquisitions. But another likely reason is Big Money lifting the stock.

Big Money Buys Arthur J. Gallagher & Co. Time and Again

So, what’s Big Money? Said simply, that’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next hot stock. And Arthur J. Gallagher & Co. has many fundamental qualities that are attractive.

This sets up well for the stock going forward. But how the shares have been trading points to more upside. As I’ll show you, the Big Money has been consistent in the shares.

You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.

That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at all the Big Money signals AJG has made the last year.

The last few weeks have seen Big Money activity, too. Each green bar signals big trading volumes as the stock ramped in price:

Source: www.mapsignals.com

In the last year, the stock attracted 18 Big Money buy signals. Generally speaking, recent green bars could mean more upside is ahead.

Now, let’s check out technical action grabbing my attention:

Outperformance is important for leading stocks.

Arthur J. Gallagher & Co. Fundamental Analysis

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, Arthur J. Gallagher & Co. has been growing sales at double-digit rates and is profitable. Take a look:

  • 1-year sales growth rate (+17.5%)
  • Profit margin (+11.3%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.

In fact, AJG has been a top-rated stock at my research firm, MAPsignals, for years. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

AJG has a lot of qualities that are attracting Big Money. It’s made this list 11 times since 2010, with its first appearance on 12/19/2011…and gaining 631.1% since. The blue bars below show the times that Arthur J. Gallagher & Co. was a top pick:

Source: www.mapsignals.com

It’s been a top stock in the financial sector according to the MAPsignals process. I wouldn’t be surprised if AJG makes additional appearances in the years to come. Let’s tie this all together.

Arthur J. Gallagher & Co. Price Prediction

The Arthur J. Gallagher & Co. rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further upside, plus it pays a nearly 1.2% dividend currently. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no positions in AJG at the time of publication.

Learn more about the MAPsignals process here.

Contact

https://mapsignals.com/contact/

Big Money Returns for Allstate

And the insurance giant could rise even more due to its ability to withstand inflation and a current 2.4% dividend. But another likely reason is Big Money lifting the stock.

Allstate Attracts Big Money

So, what’s Big Money? Said simply, that’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next hot stock. And Allstate has many fundamental qualities that are attractive.

This sets up well for the stock going forward. But how the shares have been trading points to more upside. As I’ll show you, the Big Money has been consistent in the shares.

You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.

That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at all the Big Money signals ALL has made the last year.

The last few months have seen Big Money activity, too. Each green bar signals big trading volumes as the stock ramped in price:

Source: www.mapsignals.com

In the last year, the stock attracted 10 Big Money buy signals. Generally speaking, recent green bars could mean more upside is ahead.

Now, let’s check out technical action grabbing my attention:

Outperformance is important for leading stocks.

Allstate Fundamental Analysis

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, Allstate has been growing sales and earnings at double-digit rates. Take a look:

  • 1-year sales growth rate (+20.7%)
  • 3-year EPS growth rate (+55.5%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.

In fact, ALL has been a top-rated stock at my research firm, MAPsignals, for years. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

ALL has a lot of qualities that are attracting Big Money. It’s made this list 17 times since 1994, with its first appearance on 02/27/1995…and gaining 1,843.4% since. The blue bars below show the times that Allstate was a top pick:

Source: www.mapsignals.com

It’s been a top stock in the financial sector according to the MAPsignals process. I wouldn’t be surprised if ALL makes additional appearances in the years to come. Let’s tie this all together.

Allstate Price Prediction

The Allstate rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further upside, and it currently pays a 2.4% dividend. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no positions in ALL at the time of publication.

Learn more about the MAPsignals process here.

Contact

https://mapsignals.com/contact/

 

Oil, Gold, EUR/USD, USD/JPY and USD/CNY Analysis – Retracement In Oil Prices Aided US Stocks

Global Macro Analysis

Although the tape is incredibly messy, US stocks were supported by a limited rise in real yields, stable earnings expectations and some retracement in energy prices.

The first-quarter earnings season kicks off next week, and, as always, Financials will get things started – almost a third of the XLF ETF reports. And with the Fed rolling out the rate hike policy cannons, it should be music to Bank stock investor’s ears.

Still, with inflation pressures surging, stock pickers will be looking for companies with solid pricing power relative to cost exposures. And I think this could be a key theme as we advance in 2022

But the significant offset here is recession fears, and concerns about a consumer slowdown could lead to broader drivers. I think investors will turn consumer data-dependent, weighing the dilemma of price inflation versus growth deflation.

Notwithstanding the fact, it has become a cliche that tightening monetary policy more aggressively at a time of cyclical uncertainty and slowing consumer demand increases recession risks.

Oil Fundamental Analysis

In the absence of new Russian energy sanctions, oil’s topside feels limited over the short term following the news that the IEA will collectively release crude from emergency reserves. Yet the dip below Brent $100 was only brief, and those expecting a bigger flush were likely disappointed.

I still think at some point, the sentiment-driven sell-off will give way, and fundamentals will reassert themselves, especially as more market participants start fretting about how will the US administration replenish the SPR drawdown.

Oil prices remain volatile amid concerns over Russian supply against the backdrop of slowing demand in China and a likely depressed US summer driving season due to higher prices at the pump.

Still, market deficits are likely to persist but only moderated by the accelerated strategic stock release from May to November and weaker demand growth.

The most significant bullish factor for oil is the continued decline in Russian exports via self or official sanctions. Still, more companies are committing to a ‘private sector embargo,’ including total winding down purchases by year-end. And In the court of public opinion, pressure is mounting on Brussels to act, and if that pressure valve pops and the EU sanctions Russian oil, we could see Brent Crude ( CO1) at $120 in a heartbeat.

Gold Fundamental Analysis

US inflation breakevens remain elevated, signalling to gold buyers that either the combination of rate hikes and balance sheet run-off already priced is insufficient or structural factors mean that the central banks will have a limited impact on inflation.

But gold could trade in an ever tighter range over the short term, with higher real yields offsetting any bullishness around inflation hedging.

FOREX Markets Fundamental Analysis

It was another tough weak for Eurozone as angry investors remained stuck in the fog of war.

Euro vs US Dollar

With the French presidential election this weekend, the market might be cautious about owning the euro, especially into the second round of voting on Apr. 24, as the incumbent Emmanuel Macron’s margin in polls has been shrinking over the past few weeks.

Curiously the euro is lower despite relatively hawkish ECB minutes that warn that a more extended period of above-target inflation would lead to an increased risk of expectations de-anchoring

But given the ECB board’s member’s record of inconsistencies, most took these minutes with a big pinch of salt.

US Dollar vs Japanese Yen

Whether it’s cross JPY selling (negative risk sentiment), lower US yields, or lower energy prices, nothing seems to be able to keep USDJPY down. The apt analogy appears to be a beach ball underwater – it can’t stay down.

US Dollar vs Chinese Yuan

With CPI inflation much lower than in the western world, the PBoC and the government have scope to cut interest rates and incentivize consumer spending via fiscal transfers to alleviate the costs of the country’s zero Covid strategies. This divergent strategy, just as the Fed is about to unleash the monetary policy and QT bazookas, could lead to the cnh underperformance.

For a look at all of today’s economic events, check out our economic calendar.

Old Republic International Attracts New Big Money

And the title insurance firm could rise even more due to its strong earnings. But another likely reason is Big Money lifting the stock.

Big Money Believes in Old Republic International

So, what’s Big Money? Said simply, that’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next hot stock. And Old Republic International has many fundamental qualities that are attractive.

This sets up well for the stock going forward. But how the shares have been trading points to more upside. As I’ll show you, the Big Money has been consistent in the shares.

You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.

That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at all the Big Money signals ORI has made the last year.

The last few months have seen Big Money activity, too. Each green bar signals big trading volumes as the stock ramped in price:

Source: www.mapsignals.com

In the last year, the stock attracted 15 Big Money buy signals. Generally speaking, recent green bars could mean more upside is ahead.

Now, let’s check out technical action grabbing my attention:

Outperformance is important for leading stocks.

Old Republic International Fundamental Analysis

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, Old Republic International has been growing sales at double-digit rates and earnings at triple-digit rates! Take a look:

  • 1-year sales growth rate (+30.4%)
  • 3-year EPS growth rate (+101.5%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.

In fact, ORI has been a top-rated stock at my research firm, MAPsignals, for years. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

ORI has a lot of qualities that are attracting Big Money. It’s made this list three times since 2017, with its first appearance on 01/02/2018…and gaining 73.1% since. The blue bars below show the times that Old Republic International was a top pick:

Source: www.mapsignals.com

It’s been a top stock in the financial sector according to the MAPsignals process. I wouldn’t be surprised if ORI makes additional appearances in the years to come. Let’s tie this all together.

Old Republic International Price Prediction

The Old Republic International rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further upside, plus ORI pays a nearly 3.4% current dividend. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no positions in ORI at the time of publication.

Learn more about the MAPsignals process here.

Contact

https://mapsignals.com/contact/

 

Brown & Brown Brings in Big Money

Plus, the international insurance firm could gain more due to recent acquisitions and strong earnings. But another likely reason is Big Money lifting the stock.

So, what’s Big Money? Said simply, that’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next hot stock. And Brown & Brown has many fundamental qualities that are attractive.

This sets up well for the stock going forward. But how the shares have been trading points to more upside. As I’ll show you, the Big Money has been consistent in the shares.

You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.

That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at all the Big Money signals BRO has made the last year.

The last few months have seen Big Money activity, too. Each green bar signals big trading volumes as the stock ramped in price:

Source: www.mapsignals.com

In the last year, the stock attracted 17 Big Money buy signals. Generally speaking, recent green bars could mean more upside is ahead.

Now, let’s check out technical action grabbing my attention:

Outperformance is important for leading stocks.

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, Brown & Brown has been growing earnings and sales at double-digit rates. Take a look:

  • 3-year sales growth rate (+14.9%)
  • 3-year EPS growth rate (+18.9%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.

In fact, BRO has been a top-rated stock at my research firm, MAPsignals, for years. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

BRO has a lot of qualities that are attracting Big Money. It’s made this list eight times since 2016, with its first appearance on 04/26/2016…and gaining 311.61% since. The blue bars below show the times that Brown & Brown was a top pick.

Source: www.mapsignals.com

It’s been a top stock in the financial sector according to the MAPsignals process. I wouldn’t be surprised if BRO makes additional appearances in the years to come. Let’s tie this all together.

The Bottom Line

The Brown & Brown rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further upside. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a growth-oriented portfolio.

Disclosure: the author holds no positions in BRO at the time of publication.

Learn more about the MAPsignals process here.

Contact

https://mapsignals.com/contact/

 

American Express Charging Up Big Money

And the financial services company could grow more due to strong earnings and increased consumer spending. But another likely reason is Big Money lifting the stock.

So, what’s Big Money? Said simply, that’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next hot stock. And AmEx has many fundamental qualities that are attractive.

This sets up well for the stock going forward. But how the shares have been trading points to more upside. As I’ll show you, the Big Money has been consistent in the shares.

You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.

That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at all the Big Money signals AXP has made the last year.

The last few months have seen Big Money activity, too. Each green bar signals big trading volumes as the stock ramped in price:

Source: www.mapsignals.com

In the last year, the stock attracted 18 Big Money buy signals. Generally speaking, recent green bars could mean more upside is ahead.

Now, let’s check out technical action grabbing my attention:

Outperformance is important for leading stocks.

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, AmEx has been growing sales and earnings at double-digit rates. Take a look:

  • 1-year sales growth rate (+14.3%)
  • 3-year EPS growth rate (+38.0%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.

In fact, AXP has been a top-rated stock at my research firm, MAPsignals, for years. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

AXP has a lot of qualities that are attracting Big Money. Going all the way back to 1994, it’s made this list 26 times, with its first appearance on 09/12/1994…and gaining 3,065.20% since. The blue bars below show the times that AmEx was a top pick:

Source: www.mapsignals.com

It’s been a top stock in the financial sector according to the MAPsignals process. I wouldn’t be surprised if AXP makes additional appearances in the years to come. Let’s tie this all together.

The Bottom Line

The AmEx rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further upside. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a growth-oriented portfolio.

Disclosure: the author holds no positions in AXP at the time of publication.

Learn more about the MAPsignals process here.

Disclaimer

https://mapsignals.com/contact/

 

Big Money Loves Ares Management Corporation

And the alternative asset manager could rise even more due to strong earnings, a 3.17% current dividend, and recent acquisitions. But another likely reason is Big Money lifting the stock.

So, what’s Big Money? Said simply, that’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next hot stock. And Ares has many fundamental qualities that are attractive.

This sets up well for the stock going forward. But how the shares have been trading points to more upside. As I’ll show you, the Big Money has been consistent in the shares.

You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.

That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at all the Big Money signals ARES has made the last year.

The last few months have seen Big Money activity, too. Each green bar signals big trading volumes as the stock ramped in price:

Source: www.mapsignals.com

In the last year, the stock attracted 11 Big Money buy signals. Generally speaking, recent green bars could mean more upside is ahead.

Now, let’s check out technical action grabbing my attention:

Outperformance is important for leading stocks.

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, Ares has been growing sales and earnings at double-digit rates. Take a look:

  • 3-year sales growth rate (+13.5%)
  • 3-year EPS growth rate (+67.6%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.

In fact, ARES has been a top-rated stock at my research firm, MAPsignals, for years. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

ARES has a lot of qualities that are attracting Big Money. It’s made this list 21 times since 2017, with its first appearance on 05/21/2019…and gaining 224.96% since. The blue bars below show the times that Ares was a top pick:

Source: www.mapsignals.com

It’s been a top stock in the financial sector according to the MAPsignals process. I wouldn’t be surprised if ARES makes additional appearances in the years to come. Let’s tie this all together.

The Bottom Line

The Ares rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further upside. Given the historical gains in share price and strong fundamentals, along with an attractive dividend, this stock could be worth a spot in a growth-oriented portfolio.

Disclosure: the author holds no positions in ARES at the time of publication.

Learn more about the MAPsignals process here.

Disclaimer

https://mapsignals.com/contact/

 

Big Money Lifts Arch Capital Group

And the insurance firm could rise even more due to strong earnings. But another likely reason is Big Money lifting the stock.

So, what’s Big Money? Said simply, that’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next hot stock. And Arch Capital has many fundamental qualities that are attractive.

This sets up well for the stock going forward. But how the shares have been trading points to more upside. As I’ll show you, the Big Money has been consistent in the shares.

You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.

That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at all the Big Money signals ACGL has made the last year.

The last few weeks have seen Big Money activity, too. Each green bar signals big trading volumes as the stock ramped in price:

Source: www.mapsignals.com

In the last year, the stock attracted eight Big Money buy signals. Generally speaking, recent green bars could mean more upside is ahead.

Now, let’s check out technical action grabbing my attention:

Outperformance is important for leading stocks.

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, Arch Capital has been growing sales and earnings at double-digit rates. Take a look:

  • 1-year earnings growth rate (+13.0%)
  • 3-year sales growth rate (+18.3%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.

In fact, ACGL has been a top-rated stock at my research firm, MAPsignals, for years. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

ACGL has a lot of qualities that are attracting Big Money. It’s made this list four times since 2005 (and three times in the last three months), with its first appearance on 11/14/2005…and gaining 643.77% since. The blue bars below show the times that Arch Capital was a top pick:

Source: www.mapsignals.com

It’s been a top stock in the financial sector according to the MAPsignals process. I wouldn’t be surprised if ACGL makes additional appearances in the years to come. Let’s tie this all together.

The Bottom Line

The Arch Capital rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further upside. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a growth-oriented portfolio.

Disclosure: the author holds no positions in ACGL at the time of publication.

Learn more about the MAPsignals process here.

Disclaimer

https://mapsignals.com/contact/

 

Big Money Pours into Virtu Financial

And the financial services firm could rise even more due to impressive growth and analyst upgrades. But another likely reason is Big Money lifting the stock.

So, what’s Big Money? Said simply, that’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next hot stock. And Virtu Financial has many fundamental qualities that are attractive.

This sets up well for the stock going forward. But how the shares have been trading points to more upside. As I’ll show you, the Big Money has been consistent in the shares.

You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.

That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at all the Big Money signals VIRT has made the last year.

The last few weeks have seen Big Money activity, too. Each green bar signals big trading volumes as the stock ramped in price:

Source: www.mapsignals.com

In the last year, the stock attracted 13 Big Money buy signals. Generally speaking, recent green bars could mean more upside is ahead.

Now, let’s check out technical action grabbing my attention:

Outperformance is important for leading stocks.

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, Virtu Financial has been growing sales and earnings nicely. Take a look:

  • 1-year earnings growth rate (+1.2%)
  • 3-year sales growth rate (+31.0%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.

In fact, VIRT has been a top-rated stock at my research firm, MAPsignals, for years. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

VIRT has a lot of qualities that are attracting Big Money. It’s made this list eight times since 2015, with its first appearance on 4/18/2017…and gaining 186.67% since. The blue bars below show the times that Virtu Financial was a top pick:

Source: www.mapsignals.com

It’s been a top stock in the financial sector according to the MAPsignals process. I wouldn’t be surprised if VIRT makes additional appearances in the years to come. Let’s tie this all together.

The Bottom Line

The Virtu rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further upside, and it currently pays a 2.7% dividend. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a growth-oriented portfolio.

Disclosure: the author holds no positions in VIRT at the time of publication.

Learn more about the MAPsignals process here.

Disclaimer

https://mapsignals.com/contact/

 

Mastercard Takes in Big Money

But another likely reason is Big Money lifting the stock.

So, what’s Big Money? Said simply, that’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next hot stock. And Mastercard has many fundamental qualities that are attractive.

This sets up well for the stock going forward. But how the shares have been trading points to more upside. As I’ll show you, the Big Money has been consistent in the shares.

You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.

That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at all the Big Money signals MA has made the last year.

The last few weeks have seen Big Money activity, too. Each green bar signals big trading volumes as the stock ramped in price:

Source: www.mapsignals.com

In the last year, the stock attracted 12 Big Money buy signals. Generally speaking, recent green bars could mean more upside is ahead.

Now, let’s check out technical action grabbing my attention:

Outperformance is important for leading stocks.

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, Mastercard has been growing sales and earnings at double-digit rates. Take a look:

  • 1-year sales growth rate (+23.4%)
  • 3-year earnings growth rate (+19.8%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.

In fact, MA has been a top-rated stock at my research firm, MAPsignals, for years. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

MA has a lot of qualities that are attracting Big Money. It’s made this list 15 times since 2016, with its first appearance on 11/1/2016…and gaining 269.19% since. The blue bars below show the times that Mastercard was a top pick:

Source: www.mapsignals.com

It’s been a top stock in the financial sector according to the MAPsignals process. I wouldn’t be surprised if MA makes additional appearances in the years to come. Let’s tie this all together.

The Bottom Line

The Mastercard rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further upside. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a growth-oriented portfolio.

Disclosure: the author holds no positions in MA at the time of publication.

Learn more about the MAPsignals process here.

Disclaimer

https://mapsignals.com/contact/

 

Big Money Flows to Progressive

So, what’s Big Money? Said simply, that’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next hot stock. And Progressive has many fundamental qualities that are attractive.

This sets up well for the stock going forward. But how the shares have been trading points to more upside. As I’ll show you, the Big Money has been consistent in the shares.

You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.

That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at all the Big Money signals PGR has made the last year.

The last few weeks have seen Big Money activity, too. Each green bar signals big trading volumes as the stock ramped in price:

Source: www.mapsignals.com

In the last year, the stock attracted 11 Big Money buy signals. Generally speaking, recent green bars could mean more upside is ahead.

Now, let’s check out technical action grabbing my attention:

Outperformance is important for leading stocks.

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, Progressive has been growing sales and earnings at double-digit rates. Take a look:

  • 3-year sales growth rate (+14.4%)
  • 3-year earnings growth rate (+17.6%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.

In fact, PGR has been a top-rated stock at my research firm, MAPsignals, for years. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

PGR has a lot of qualities that are attracting Big Money. It’s made this list four times since 2016, with its first appearance on 5/28/2019…and gaining 52.27% since. The blue bars below show the times that Progressive was a top pick:

Source: www.mapsignals.com

It’s been a top stock in the financial sector according to the MAPsignals process. I wouldn’t be surprised if PGR makes additional appearances in the years to come. Let’s tie this all together.

The Bottom Line

The Progressive rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further upside. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a growth-oriented portfolio.

Disclosure: the author holds no positions in PGR at the time of publication.

Learn more about the MAPsignals process here.

Disclaimer

https://mapsignals.com/contact/