It’s Thursday, and we have buy the dip opportunities (and a few dips to avoid):
P.S. More hot stocks, right here: 2 high-growth tech stocks for November
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WARNING: Don't Trade After 11:00 AM Until You See This Breakthrough strategy shows why the first 85 minutes could be all you need for targeting steady three-digit returns. Next window: Tomorrow 9:35 AM. Click for instant access.🔥 HOT: Urban Outfitters (URBN) is an interesting case. True, the stock is down over 13% in the past month. Yet overall, it’s up 70% in the past year. Why is it on the Hot list? A combination of 1) Near-term catalysts, like a buzz-worthy holiday campaign targeting Gen Z with immersive experiences and omnichannel tricks and 2) Strong signals from our Zen Ratings system. URBN currently ranks #1 out of 26 stocks in the A-rated Apparel industry and in the 96th percentile of all of the stocks we track. Component Grades are solid, with above-average marks for Financials, Value, and from our AI factor, which considers mountains of data to review subtle patterns indicative of future growth (see how it works here). With solid financials, smart campaign innovation, and favorable sentiment tailwinds, URBN is definitely a stock to watch going into the holiday season.
🥶 NOT: It’s been a choppy ride for Kite Realty Group Trust (KRG). The REIT was recently downgraded from Hold to Sell in our Zen Ratings system — turns out, what looked like profit fireworks last quarter stemmed from a one-off gain rather than real operational strength. On top of that, the macro trend for retail REITs remains shaky, as evidenced by an Industry Rating of F. Despite a solid Safety Grade (B), everything else — including Growth (Grade F) and the aforementioned Industry grade — signals rough times for this retail REIT.
🔥 HOT: Perdoceo Education (PRDO) dipped significantly last week. However, there’s reason to believe it could be a strong buy the dip opportunity. Why? Let’s start with earnings. Earlier this week, the college-level education company surpassed Q3 earnings and revenue estimates. It also just upgraded to a B (Buy) in our Zen Ratingssystem, and is currently ranked as the #5 pick in the A-rated Education industry. (BTW, the #1 pick in the industry was also recently our Stock of the Week.) Analysts are already on board — just last week, PRDO got a prominent price target upgrade from a top 1%-ranked Barrington Research analyst, who projects over 35% potential upside in the coming year. (See all forecasts here.) PRDO also has above-average Component Grades in key areas: Financials, Sentiment, and Value, pointing to a bargain pick with legs to run.
🥶 NOT: Caesars Entertainment (CZR) is coming up snake eyes following dismal news of diminishing Las Vegas revenue. Not only is the stock down over 20% in the past month, but it just got downgraded to a D (Sell) Zen Rating. Looking further into our quant ratings system, you’ll find myriad reasons to steer clear: 1) CZR is ranked #14 out of 15 stocks in the D-rated Casino industry 2) The Component Grades reveal big weaknesses in key areas: A D for Growth, and F grades for Momentum and Sentiment. The bottom line? Looks like the odds are stacked against CZR for the time being, but if you’re looking for a stronger pick in the industry, we just featured a winning Casino stock on this week’s list of stocks to watch.
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