Expert technical analysis of financial markets by JC Parets
I just want to give Warren Buffett a huge shoutout.
Officially, Berkshire Hathaway is now worth over $1 Trillion.
The only companies that are still worth more than Berkshire right now are Apple, Microsoft, Alphabet, Meta, Amazon and Nvidia.
Check out our LIVE Nvidia Earnings Reaction Replay here.
But that’s it. Berkshire is officially the 7th largest company at over $1 Trillion in valuation.
Here’s how the market-cap of Berkshire has grown over the years. [Read more…]
From the Desk of Steve Strazza @Sstrazza
Investors continue to be rewarded for owning Real Estate stocks.
Over 90% of Real Estate stocks in the S&P 500 are above their 50-day and 200-day moving averages.
Earlier this month, we wrote about the best setups in the Real Estate Sector, and 9 out of the 10 trade ideas have been profitable.
The market’s message could not be clearer… buy more real estate!
Because of this, we were extra excited about a new name on our Freshly Squeezed list this week.
Short sellers have piled into Douglas Emmett $DEI, a $2.7B Office REIT company, and we’re betting they’re about to be forced to unwind their positions, causing an epic squeeze.
Before we get into it, let’s talk about what we’re doing here.
We just saw the most important company in the world drop what is arguably the most important earnings release in market history.
And right after the release, it was a complete nothing burger.
I said it before and I’ll say it again. That’s the best case scenario for investors. And it paid to sell into the hype.
Here is a LIVE video we put together today discussing the importance of this release, and more importantly talking what we’re doing about it!
The answer? We’re zigging while everyone else is zagging.
We were coming in selling into the hype. Here was the 14-point expectation that the market was pricing in. [Read more…]
From the Desk of Steve Strazza @Sstrazza
Welcome to The 2 to 100 Club.
In this scan, we look to identify the strongest growth stocks as they climb the market-cap ladder from small- to mid- to large- and, ultimately, to mega-cap status (over $200B).
Once they graduate from small-cap to mid-cap status (over $2B), they come on our radar. Likewise, when they surpass the roughly $30B mark, they roll off our list.
But the scan doesn’t just end there.
We only want to look at the strongest growth industries in the market, as that is typically where these potential 50-baggers come from.
Some of the best performers in recent decades – stocks like Priceline, Amazon, Netflix, Salesforce, and myriad others – would have been on this list at some point during their journey to becoming the market behemoths they are today.
When you look at the stocks in our table, you’ll notice we’re only focused on Technology and Growth industry groups such as Software, Semiconductors, Online Retail, Solar, etc.
Then, like any good technician, we filter the list down to those closest to new highs.
This allows the cream of these strong groups to rise to the top and helps streamline our mission to identify technical breakouts in the top-performing stocks.
All eyes on Technology today, with $NVDA reporting earnings later this afternoon.
But I’d like to add some different perspective than what you might here on twitter or perhaps on these basic cable networks that no one watches anymore.
There’s a reason people keep coming to us for answers.
First of all, let’s keep in mind where Technology even is relative to where it’s been.
This underperformance we’ve seen from Large-cap Tech started as soon as it hit the March 2000 highs relative to the S&P500.
It took Technology over 24 years just to get back to where it was at the peak of the dot com bubble.
And that’s where we sit today (they won’t show you this chart on basic cable): [Read more…]
The fact that Intel is still in the Dow Jones Industrial Average is a joke.
Intel became one of the first 2 companies that trade on the Nasdaq to be included in the Dow. That was way back in 1999 (Microsoft being the 2nd one).
But that was 25 years ago.
Times have changed.
And yet, despite the criminal underperformance from Intel since then, the Dow Jones Industrial Average closed yesterday at another NEW All-time High: [Read more…]
This $NVDA earnings release on Wednesday gives Wall Street a look inside the largest component of America’s most important industry.
Thousands of Traders have already signed up and downloaded our Special $NVDA Earnings Preview.
You guys know me. I don’t normally overreact when it comes to quarterly earnings. [Read more…]
From the Desk of Steve Strazza @Sstrazza
Welcome to The Minor Leaguers.
We’ve had some great trades come out of this small-cap-focused column since we launched it back in 2020 and started rotating it with our flagship bottom-up scan, Under the Hood.
For the first year or so, we focused only on Russell 2000 stocks with a market cap between $1 and $2B.
That was fun, but we wanted to branch out a bit and allow some new stocks to find their way onto our list.
We expanded our universe to include some mid-caps.
Nowadays, to make the cut for our Minor Leaguers list, a company must have a market cap between $1 and $4B.
And it doesn’t have to be a Russell component — it can be any US-listed equity. With participation expanding around the globe, we want all those ADRs in our universe.
The same price and liquidity filters are applied. Then, as always, we sort by proximity to new highs in order to focus on the best players.
The goal is to catch the strongest names while they’re small and have serious upside potential. If any of these stocks ever climb the ranks to the big leagues, the returns could be huge.
We’re looking at up to 10x moves just to break into large-cap land!
Let’s dive into this week’s report and see what’s happening in some of the hottest stocks in the Minor Leagues.
