Impact of Quant Ratings on 56 Stocks The Bunny Stocks: A Playful Look at the Stock Market

Actionable Trade Ideas

always free

The brief respite of this truncated trading week is upon us, with Good Friday closing the market gates. As we pause for a moment of reflection, the S&P 500 quietly notches its fifth consecutive month of gains, reminiscent of the halcyon days of 2013.

As we bid farewell to March, we face the triumphant close of a remarkable first quarter. The S&P 500 proudly parades a 9.4% gain, the Dow struts its stuff with a 4.8% jump, and the NASDAQ dazzles with an 8.6% climb.

The impetus behind this market surge was the splendid fourth-quarter earnings dance. Companies delivered a grand jete with a 2.9% earnings growth leap, outshining the anticipated 1.4% retreat as per FactSet.

Let’s talk about our Breakthrough Stocks Buy List. I affectionately call them β€œbunny stocks.” Like bunnies, these small- and mid-cap stocks enjoy serene moments of repose before leaping forth on positive news or earnings surprises.

It’s a waiting game during the placid times when our stocks are perched, not yet ready to pounce. But fear not, the time is nigh for our bunny stocks to reclaim the spotlight. The first quarter earnings extravaganza beckons in mid-April, with prognosticators already heralding another splendid season.

FactSet predicts a bounteous 3.6% average earnings growth for the S&P 500 in the initial quarter. This upsurge would mark the third quarterly stride in year-over-year earnings growth.

A note on history: Flashback to December 31, 2023, and the landscape boasted an earnings growth prediction of 5.7%. As the bar is lowered, the stage is set for a flurry of earnings spectacles from our fundamentally superior stocks.

Attune your portfolio for the upcoming second quarter and earnings fiesta. Stake your claim in stocks buoyed by unwavering institutional support, ready to leapfrog to new heights as the earnings curtain rises.

On the other side of the coin, steer clear of stocks with shaky fundamentals and tepid buying momentum. Enter today’s realm of Market 360, where we navigate the turbulent waters of stocks set to face headwinds and those poised for a jubilant hop.

Recent Changes in Ratings

Fresh evaluations of institutional patronage and fiscal robustness led to a metamorphosis in the Portfolio Grader for 56 behemoths of the stock market. Among these titans, 20 saw a dip from a B-rating (Buy) to a C-rating (Hold), while 11 plummeted from a C-rating to a D-rating (Sell).

To enlighten you, here are the inaugural 10 stocks tagged with a Sell rating. Upon perusing this roll call, you may decide to shuffle your portfolio accordingly.


Swing Trading Ideas and Market Commentary

Need some new swing ideas? Get free weekly swing ideas and market commentary from Jonathan Bernstein here: Swing Trading.

Explore More

Weekly In-Depth Market Analysis and Actionable Trade Ideas

Get institutional-level analysis and trade ideas to take your trading to the next level, sign up for free and become apart of the community.