2 Strong Buy Stocks To Own In May

The S&P 500 has marked its sixth consecutive week of gains. As we’re entering the final stretch of earnings season, analysts are now expecting to see the strongest rate of growth since late 2021. The labor department has reported 115,000 added jobs in April — marking the first two-month stretch of job gains in the past 10 months.

Oil prices remain elevated — and while market sentiment has improved, the rising tide has not lifted all boats equally. Growth stocks have outperformed their value counterparts for the fifth week in a row.

To put it bluntly, there’s a lot going on. This puts investors in a predicament — as performing solid, actionable analysis is a taller order in a rapidly shifting landscape.

Thankfully, today’s retail investor has a toolkit that can go a long way in solving this problem. When approaching situations like these, the best place to start is…

AI Factor Stock Strategy

Our in-house quant rating looks at 4,600 stocks every day through the lens of 115 fundamental metrics split across 7 categories. Those insights are combined into a single, user-friendly metric — a stock’s Zen Rating.

Only those stocks that rank in the top 5% overall are given a Zen Rating of A. And while that’s a great start, you still have around 230 stocks to consider on any given date. However, you can narrow the search down even further — with the help of one of our exclusive Zen Strategies.

Each strategy is a carefully constructed portfolio that consists of just 7 stocks. We already mentioned our rating system — what we didn’t mention is that it makes use of artificial intelligence. Our in-house neural network, which is trained on more than 20 years of market data, is primed to pick up on signs of outperformance before they become apparent.

Today, you’ll see 2 stocks from one of our best-performing strategies. It has an all-time annual return of 39.79%, and it has secured a 26.78% gain since the start of the year, blowing the S&P 500’s 7.88% gain in the same timeframe out of the water. We’re talking, of course, about our AI Factor Stock Strategy.

Seanergy (SHIP)

Our first pick, Seanergy, is a dry bulk cargo ship fleet operator. They transport commodities like iron, coal, and grain. Right now, SHIP has a Zen Rating of A — it ranks in the top 1% of the stocks that we track, and it’s actually ranked 7th overall out of 4,600. SHIP is also the top-rated stock in the Shipping industry, which has an Industry Rating of A.

The thing that immediately grabs your attention here is the fact that the stock has 4 Component Grades that get an A rating. Most stocks, even those with an overall rating of A, only have 1 or 2 components that score that high.

With Seanergy, we’ve got a placement in the top 3% for Value, Growth, and Artificial Intelligence. The stock is trading at a PEG of just 0.56x, and both revenue and earnings growth are expected to exceed industry averages by quite a fair margin.

What’s even more impressive is that the valuation is that attractive after a monster rally. SHIP is up almost 200% in the past 365 days, which places it in the top 6% for Momentum. However, the strongest area here is Sentiment. There, Ship ranks in the top 1%, indicating strong smart money support.

The biggest downside here is a D grade for Safety. This is a cyclical business, so the rating reflects that.

SHIP has beaten EPS estimates for the last 18 quarters in a row. The next earnings date is in 2 weeks — May 27, to be exact. With the kind of momentum the stock has been seeing, a beat could easily attract more bullish attention.

HF Sinclair (DINO)

Our second pick is oil processing giant HF Sinclair. DINO shares currently rank in the top 1% of the equities we track, and are rated 15th overall. This is also the 2nd highest-rated stock in the Oil & Gas Refining & Marketing industry, which has an Industry Rating of A — in other words, a strong performer in a strong field.

So, what does our Artificial Intelligence rating say about HF Sinclair? In this category, the stock ranks in the top 4%, so it has been deemed a likely outperformer. However, that’s not all — the overall fundamental picture’s strength isn’t one-sided. DINO gets high marks for Financials and Sentiment — scoring in the top 11% for both. That tells us we’ve got significant smart money accumulation and a very healthy balance sheet.

The Value rating is above average — while it is a C, DINO scores in the top 23% in that regard. Right now, the stock is trading at just 10.84 times trailing earnings, and around 9 times forward earnings. Growth is another story, however — here, the stock is exceptional, as it ranks in the top 3%.

The weakest area, by far, is Safety. However, even there, HF Sinclair ranks in the 55th percentile — equivalent to or better than 55% of stocks.

The overall picture is impressive, and simple enough to summarize — no major weaknesses, healthy balance sheet, decent valuation, and great growth potential.

Interested In More Great Stock Picks?

The 2 stocks highlighted above are just a fraction of what you get from our proven AI Factor Stock strategy. 

That’s because each day our system recalibrates — and Zen Strategies members get access to the top 7 artificial intelligence stocks based on 115 different parameters that point to outperformance. 

See all Top 7 AI Factor stocks here >

However, maybe large-cap stocks aren’t what you’re looking to add to your portfolio right now. Perhaps you would like to see all 11 of our market beating strategies including Growth, Value, Momentum or perhaps even Income stocks. 

Each featuring the top 7 stocks.

Each featuring tremendous performance.

We spell it all out in this timely presentation below that lives up to its name:

77 Best Stocks Now! > 

What to Do Next?

• 77 Best Stocks NOW! >
• Options Trading with the Zen Ratings >
• 2 New Stocks to Buy from Steve Reitmeister >

Want to get in touch? Email us at news@wallstreetzen.com.