Buy These 5 Stocks Now Before It’s Too Late - Tuesday, November 15

Each week Forcerank runs a variety of games covering different industries. What we have found, is that the top three ranked companies in their respective games deliver the biggest positive price movement for that week. This week the winners feature popular names like NVidia (NVDA) and Chipotle Mexican Grill (CMG).

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Photo Credit: GBPublic_PR

NVidia (NVDA) | Semiconductors: NVidia surprised the market yet again after the chipmaker reported blockbuster third quarter results. Investors were under the impression that expectations had been set so high that there was a small probability the chipmaker would produce a standout quarter. Lo and behold, the chipmaker shattered expectations on the back of strong growth in automotives, cloud computing and virtual reality. Shortly following the report, Needham & Co upgraded the stock to buy with a $100 price target, about $15 above its current trading price. The stock is likely to see a slight pullback after gaining nearly 30% in Friday’s trading session, but is still primed to edge higher in the coming weeks. The case can be made that a technical gap down must be made, but solid fundamentals should help sustain the breakout.

Chipotle (CMG) | Restaurants: It’s a rare occasion to find the burrito chain on any sort of winners list following its year long meltdown. Forcerank user’s propelled Chipotle up the restaurant contest after closing last week on a strong note. It was reported that Bill Ackman, who was thought to be forcing his way on the Chipotle board, was in fact forming an amicable relationship with upper management. Shares rallied nearly 8% in the past 5 days and have started to take the shape of a technical breakout. A bullish crossover in the MACD prior to the news have helped push the stock higher. Meanwhile, early indications look as though Chipotle’s new burger chain is performing remarkably well despite a backlash on social media.

Goldman Sachs (GS) | Investment Banks: The outcome of the election highlighted a number of things, but none more than the impact of regulation on the financial sector. Shares of the entire financial sector, not just Goldman Sachs, soared last week under the assumption that President Elect Trump will repeal Dodd-Frank in his first 100 days in office. Dodd-Frank has restricted many of the profit seeking practices that were believed to have started financial crisis. Without it, the banks will be left unchallenged to revert back to those destructive practices, which will boost fundamental growth. Shares of Goldman have rallied nearly 15% in the past 5 days while reaching a new 52 week high in the process. Forcerank user’s pushed the investment bank up to the second spot with an average user rank of 4.2. It’s worth noting that widely watched technical indicators such as RSI and Bollinger Bands indicate the stock is well over bought and should retrace some of these recent gains.

Alibaba (BABA) | Ecommerce: Alibaba finds itself just behind its American counterpart, Amazon, in this week’s ecommerce contest. At its recent Single’s Day shopping event, think Black Friday or Amazon Prime Day, the retailer crushed its sales record from the year earlier, posting a 32% increase to $17.8 billion. The event is a testament to not only Alibaba’s market position but the improving retail environment in China. Given the region’s sheer size and population, Alibaba is well positioned to make ongoing gains. Alibaba’s reach extends beyond ecommerce and includes a financial services arm in Ant Financial and cloud computing product suite comparable to Amazon. Unfortunately, these positive initiatives haven’t translated to financial gains as the stock is down 10% in the past 5 days. Given the recent selloff, a turnaround appears to be in the cards in coming weeks. Shares are currently trading at an RSI just above 20, the oversold threshold, and well below the lower Bollinger band.

Shake Shack (SHAK) | Most Heavily Shorted: Shake Shack is another stranger to a list of potential stock gainers. Shares have been hammered since its IPO following a string of decelerating growth and shrinking profitability. The burger chain has only recently been able to turn things around starting with its strong third quarter results. Same shack sales increased nearly 3% on the back of a 40% gain on the bottom line and 47% on the top. Shares have skyrocketed 20% since the report and have nearly erased the losses of the past 12 months. Apart of this recent climb is a bullish crossover in the MACD and on balance volume nearing positive territory. The stock is clearly overbought from a technical perspective but strong fundamentals should help drive the stock forward after a small pullback.

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Chee Hin Teh 7 years ago Member's comment

Thanks for sharing