We released our weekly Global Laggards report yesterday (please click here to access the report). The stocks highlighted in this report are laggards relative to their own domestic markets. We recommend that they be underweighted as they may be vulnerable to further downside risk and underperformance. European names highlighted this week include Biomerieux (BIM.FR; BIM:FP), and Avast (AVST.GB:AVST:LN).
Author: admin
Won Global View
The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq rallied off 10-DMA support and are now approaching all-time intraday highs of 3,646 and 12,108, respectively. One distribution day expired on the S&P 500 taking the count to six each, with multiple days expiring on each index next week.
Won Global View
The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq are just 2% off all-time highs and continue to trade in a tight range along support at their respective 10-DMA (S&P 500: 3,559, Nasdaq:11,804). The distribution day count remains at seven and six, with one day expiring on the S&P 500 after the close.
Won Europe Today
Yesterday,
- European markets were mixed on the hopes of an arrival of vaccine and continued global surge in COVID‐19 cases. Out of the 17 markets, seven ended in positive territory with no changes in market status.
- The Stoxx 600 lost 0.20% on higher volume, recording a distribution day. On the sectoral front, Oil & Gas stocks surged 3.22% to lead gains while Health Care and Technology ended in the red.
- France’s CAC and Germany’s DAX were almost flat, avoiding a distribution day. However, the U.K.’s FTSE recorded a distribution day, taking the count to two.
- We added Partners Group Holding (PGHN.CH; PGHN:SW) to our actionable list as the stock broke out of a stage‐two cup base. Actionable names in the Focus List include ASML Holdings (ASML.NL; ASML:NA), Spirax‐Sarco (SPX.GB; SPX:LN), Ashtead Group (AHT.GB; AHT:LN), Kering (KER.FR; KER:FP), Lonza Group (LONN.CH; LONN:SW), Nibe Industrier (NIBE.SE; NIBEB:SS), and Trigano (TRI.FR;TRI:FP).
Won Global View
The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq traded relatively flat last week, consolidating within 2% of all-time intraday highs. Both indices tagged and held their respective 10-DMA, with the next level of support at the rising 21-DMA (S&P 500: 3,511; Nasdaq: 11,663). The distribution day count stands at seven and six, respectively, with one day expiring on the S&P 500 this week.
Won Europe Today
Friday, we published our Weekly European Summary, click here for the report. Key points from the report:
- The Stoxx 600 continued its steady growth during the week and all indices in the region except Denmark are in a Confirmed Uptrend.
- Rotation into value has continued this week with Auto, Banks, and Energy names leading the gain. The value versus growth trade continues to be valid, in our view.
- In this report, we have updated the list of names that are benefiting from the reopening, looking at stocks that are still trading far from their 52‐week highs but have significantly improving technicals.
- We are also highlighting stocks that are extended and showing technical deterioration. These stocks may have further downside in the current rotation.
- From our list of recommendations, we focus on Kering (KER.FR; KER:FP) that was added last week.
Won Europe Today
We released our weekly Global Laggards Report yesterday (please click here to access the report). The stocks highlighted in this report are laggards relative to their own domestic markets. We recommend that they be underweighted as they may be vulnerable to further downside risk and underperformance. European names highlighted this week include Tryg (TRY.DK; TRYG:DC), Siemens Healthineers (SHLX.DE; SHL:GR), and Scout24 (G24X.DE; G24:GR).
Won Global View
The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq rallied off their respective 10-DMA to close positive on the session. Support below the 10-DMA remains the rising 21-DMA (S&P 500: 3,506; Nasdaq: 11,643). The distribution day count stands at seven and six, respectively, with one day expiring on the Nasdaq today.
BJ’s Wholesale Club
BJ posts beat Q3 results across all metrics
O’Neil Methodology
• The stock is forming the right side of a stage-three cup base and
is currently 6% away from pivot with immediate support at its 50-
DMA ($40.6, ~10% away).
• Exceptional fundamental profile: EPS Rank of 99, Composite
Rating of 90, and three-year earnings stability factor of 16.
• Overall technical profile is good with its RS line trending upward
over the past two weeks. RS Rating of 90, A/D Rating of B+,
Up/Down Volume ratio of 1.6.
• The number of funds invested in the stock rose 55% y/y in July.
Copart
Copart beats Q3 estimates
O’Neil Methodology
• Although the stock is trading in the buy range of $110–115.5 after
breaking out of a stage-one flat base last month. We recommend
that investors hold positions. It is currently trading 2% above its
50-DMA and 10% above its 100-DMA.
• Strong fundamental profile, with a consistent history of sales
growth, margin expansion, and ROE improvement. EPS has had
a ~25% CAGR over the past five years. This steady growth is
reflected in stellar fundamental ratings: EPS Rank 97, Composite
Rating 81, and SMR Rating A.
