|Recent Earnings Reports Are Looking Good
We Are Kicking Off Our Rebound And Hot Sector Reports Tomorrow Near Market Open
Good day everyone,
January 2022 has been a tumultuous time for the stock market and investors, with the DJIA giving up 9.9% of its value and the NASDAQ giving up 15.3% just in this month. The rally last week has softened the blow and I hope it will continue. I am looking for SPY (S&P 500 Index) to rebound back to, or close to the 20 day moving average at 457, currently sitting at 441.95/share.
We are in prime earnings season and while it’s been a mixed bag with some pandemic sensitive industries such as airlines disappointing, some of our best companies are just spanking the analysts estimates. Apple, Tesla, Microsoft, INTEL, IBM, Walgreen, and BOA are just a few examples.
But the economy and the stock market are not one in the same. The economy is measured by statistics while the stock market is moved by investor sentiment. Hopefully, these recent positive earnings reports will heighten investors’ appetite for risk.
The recent consolidation in the stock market indices has created a lot of opportunity for rebounding valuations at many solid companies and we are watching our list of those companies, choosing which ones to report to you on.
I want to talk about a company that’s new to our group and listed on the NYSE American exchange. It’s not a new company, been around for decades. Some of our favorite metrics apply to this company with their tiny share structure and an insider ownership level of nearly half the outstanding shares.
I like this company because they have just had a strong earnings report and they engage in a trending market sector. I hope you will agree with me when I say this company’s market cap could double and I would still call it a value stock.
Stay tuned and stay informed. We will issue this report on Monday, January 31, 2022, at or near the market open.
The Traders News Source