| "Growth stocks on steroids." That's how Chief Investment Strategist Alexander Green describes the stocks in his Momentum Alert trading service. And it couldn't be more accurate right now. I know this because one of my duties at The Oxford Club is to help Alex review his portfolios for subscribers. And last Wednesday, March 6, I focused on The Momentum Alert. Let me give you just the highlights of that particular review: - We had three triple-digit winners. Two were call options. One was a stock that had gapped 27% higher in premarket trading, which made it a 100% gain since we got into it back in October. (For comparison, the S&P 500 is up 17% over that period.)
- Six of the 11 stocks in the portfolio were at least double-digit gainers.
- Five of the companies had reported quarterly results in the past two weeks that beat Wall Street predictions on earnings – often by a lot – which almost always sends the share price higher.
Just as The Momentum Alert aims for, these are some of the fastest growing companies and most rapidly moving stocks in the market. But what might surprise you is that the model portfolio isn't full of big tech stocks like the Magnificent Seven, which investors have been piling into for a year. Instead, The Momentum Alert is currently extremely diversified by industry and company type. It has a couple of cybersecurity related stocks, a software development company, a drone manufacturer, a leading company in the gig economy, an electronics design firm, a major retailer, an energy services provider, a cloud-based software provider, a business technology firm, and a provider of accounting and investment software. As you can see, there are several technology firms in the portfolio. And a few of them are tied to Alex's "Eight Megatrends" that he outlined in the 2024 Forecast Issue of The Oxford Communiqué. Several other companies are in very different industries - including manufacturing, services, energy and retail. Of course, the one thing they all have in common is momentum. That is, they lead their industries in sales growth, earnings growth and price action. But today I want to give you a sneak peek at the process for finding the very best opportunities to bring to Momentum Alert subscribers. 10 Protocols To identify the stocks most likely to take off in the near future, Alex and our Research Team studied historical data and compared it to stock movements. They came up with a list of factors to identify them. Here are some of the main criteria… - Rapidly growing earnings, both historical and recent
- A history of beating Wall Street earnings estimates
- Profit margins that exceed the industry average
- A relative strength rating of 85 or better, which indicates the company is outperforming 85% of stocks in the market
- At least 5 million shares outstanding and daily trading volume of 75,000 shares, to ensure liquidity and market visibility
- A price-to-earnings ratio of 31 or higher, which often indicates high-growth opportunities
Alex also looks for well-managed companies with new products and services that are not easily copied by competitors. Momentum Alert subscribers get a new recommendation that meets most of these criteria every couple of weeks or so - and an update on what's going on with the portfolio companies every week. That includes their latest quarterly results, any insider buying, acquisitions, big contract wins or drug approvals - anything that can significantly move their share prices. Alex also provides an option play on each recommendation for subscribers who want to speculate. And given the current state of the portfolio, I imagine that Momentum Alert subscribers who got in on these 11 stocks are very happy right about now. If you'd like to join them, go here for more details about this incredible trading service. Invest wisely, Matt | 
No comments:
Post a Comment
Keep a civil tongue.