Finding Good News in a Bad Week - Louis Navellier looks for profits in keyboards and mice.
- Matt McCall celebrates bitcoin’s big surge.
- Luke Lango closes on the “Amazon of houses.”
- Wade Hansen and John Jagerson take profits on MSFT and AAPL.
- Stefanie Kammerman gets bearish on C.
- Neil George unfolds his map for getting through this.
- Eric Fry goes on defense for the moment.
- Dan Wiener and Jeff DeMaso inspect this week’s numbers.
Despite Wall Street’s grumpy week, in a note to his Platinum Growth Club members on Friday, Louis Navellier found reason to celebrate. “The V-shaped economic recovery persists!” he writes. “On Thursday, the Commerce Department revealed that the U.S. economy surged at a record 33.1% annualized rate in the third quarter… Americans were clearly back out spending money during the third quarter, as personal consumption soared 40.7%… The housing market remains one of the hottest corners of the U.S. economy right now. The reality is that the Federal Reserve’s ultralow key interest rate policy has ignited a housing boom.” And that’s just some of the good news Louis is seeing. “The bottom line: Once all of the uncertainty surrounding the presidential election shakes out next week, I still look for money to pour back into the stock market and propel… stocks higher,” he concludes. For the rest of his thoughts, head here. After that, to see what else Louis and the rest of InvestorPlace’s analysts are looking at this week, read on… Earnings Season Heats Up “The third-quarter earnings season is heating up… We have 16 companies scheduled to release results this week. As you know, I’m anticipating wave-after-wave of positive earnings surprises to drive our stocks higher in the upcoming days and weeks,” Louis Navellier wrote on Monday in the Accelerated Profits Weekly Profit Guide . “The great news is that the vast majority of S&P 500 companies are leaping over analysts’ earnings expectations. The even better news is that I’m expecting even bigger earnings surprises from our… companies.” In the guide, Louis discusses how stocks have fared so far this earnings season and previews each earnings announcement this week. With a lot of companies already revealing strong results and guiding higher for the fourth quarter, he’s also uncovered a new addition for the Buy List this week: Logitech International SA (LOGI) , which develops keyboards, mice, headsets, webcams, and other products that have affect how e connect and interact with technology. “This morning’s broader market weakness is giving us a great opportunity to pick up shares of this tech company at a discount,” Louis says. Finally, he wraps up with a closer look at a few companies making headlines. Specifically, he updates CyberOptics Corp. (CYBE), which missed analysts’ earnings estimates for its third quarter and pulled back… and he discusses why this dip is actually a great buying opportunity. Read it all here. “You may have noticed that our Buy List has thrived this year, despite all the negative headlines surrounding the presidential election and coronavirus pandemic. In fact, we’re sitting on more than 100% gains in [13 of our stocks]. In other words, our stocks have prospered in uncertain times,” Louis wrote on Friday in the new Growth Investor Monthly Issue. “What’s great is that a lot of the uncertainty that’s been plaguing the stock market for much of this year will be lifted following the presidential election on Tuesday… The third-quarter earnings season has been phenomenal, with the vast majority of companies exceeding expectations. You know what that means: All of the money that’s been sitting on the sidelines should pour back into the market. Considering that our stocks are characterized by strong forecasted sales and earnings growth, our stocks should lead the market higher and are poised to make even more money in the upcoming weeks and months.” To ensure that Growth Investor members remain invested in the crème de la crème and well-positioned for year-end strength, Louis cuts ties one position, freeing up some cash for this month’s three new buys. “The bottom line: We’re not entering the seasonally strong time of year – and it’s time to cheer up!” Read all about it here. “It seems the fear-mongering financial media had to get one last ‘scare’ in ahead of Halloween. Most of the scary headlines emanated from Europe this week, as rising coronavirus cases led several European countries to reimpose social distancing and lockdown restrictions. But the reality is that there is an FDA-approved treatment for the virus and vaccines in the pipeline. So, I’m hopeful that a lot of the negative news associated with the coronavirus will diminish after the Presidential election,” Louis wrote on Friday in the Breakthrough Profits Weekly Update . “In the meantime, I know the market’s gyrations were gut-wrenching this week. Wall Street largely ignored wave-after-wave of positive earnings. But you can’t keep a good stock down for long, as evidenced by Thursday’s report from Sturm, Ruger & Co. Inc. (RGR) . Sturm, Ruger reported 53.4% annual sales growth and 414.8% annual earnings growth for its third quarter. The company also topped analysts’ earnings estimates by a stunning 43.3%. The stock rallied more than 4% on Thursday and climbed nearly 10% higher in the past week. And I fully expect this trend to continue as more of our stocks release results in the coming weeks.” In the update, Louis reviews 12 earnings announcements from the past week, as well as takes a closer look at the 10 reports scheduled for next week. “Overall, I’m pleased with our results so far, and I look for our fundamentally superior stocks to lead the market higher after the Presidential election next week,” he says. Go here for the details. On Monday, the stock market woke up on the wrong side of the bed, knocking the broader market down more than 2%. The Dow Jones Industrial Average took the biggest hit, losing more than 700 points. “The reality is there’s concern about the rise in coronavirus cases, especially in Europe,” Louis wrote to all his members . “Investors are worried that the rise in cases will mean a drop in demand for energy and other energy-related products because folks are going to be traveling less.” To further discuss the day’s stock market gyrations, as well as his thoughts on the coronavirus, third-quarter earnings season, and the presidential election, Louis recorded a Special Market Podcast. You can listen by clicking here. Louis dug further into Wall Street’s “grumpy” week with another Special Market Podcast on Wednesday. Power and Performance In the new Power Portfolio 2020 Monthly Issue, released on Thursday, Louis teams up with Matt McCall to highlight two keys to successful investing. They also update us on their portfolio’s performance, which is strong for even a normal year. Then, they talk about what’s going on in the market right now less than a week before the presidential election, and they tell us how they expect the outcome to impact stocks. (You’ll like what Louis and Matt have to say.) And of course, they update us on each of their holdings. You can click here to read the full issue now. “The most important cryptocurrency on Earth has surged 28% in the last three weeks and is now trading above $13,700 for the first time since January 2018. I’m talking, of course, about bitcoin. It’s the story right now because of what it means for the crypto industry, and especially our altcoins. If you’ve been with us since we started… in January, you remember that we talked about bitcoin’s upcoming ‘halvening’ at that time. We knew the halvening was coming, and we were extremely confident that bitcoin and altcoins would do what they’d done after previous halvenings and rally much higher,” Matt wrote on Tuesday to introduce the new Ultimate Crypto Monthly Issue. “Bitcoin typically leads the charge – followed by small altcoins. The very coins in our portfolio. And that’s why bitcoin’s big breakout right now is huge news. It means there’s a lot more to come.” Matt talks about that in the November issue, including the one major difference between previous halvenings and the last one that took place in May. He also explains another big reason why the entire cryptocurrency sector is in a really good place right now and for a long time to come. “As a matter of fact, after pulling back from their highs, most of our altcoins are screaming buys currently. I’ll update you on each one,” he writes. Click here to read the full issue. On Tuesday, as the market pulled back, Matt saw a chance to add two stocks to his Investment Opportunities portfolio. “First and foremost, we need to look at the big picture. The S&P 500 is now down 8% from an all-time high. This is not the end of the world. It is not even in correction territory at this point,” he writes. “The market hates one thing more than anything else – uncertainty. And right now… nobody really knows what the outcome will be next Tuesday. The uncertainty of the election, the uncertainty of the pandemic, and the uncertainty of any future stimulus money from Congress has investors spooked… If you’ve been with me for a while, I bet you know exactly what I’m going to say next… It’s time to buy!” Matt recommends his Investment Opportunities members buy Shift4 Payments Inc. (FOUR), a $4.1 billion company that offers payment processing for retailers, and Square Inc. (SQ), the $74 billion digital payment solutions behemoth. Get all the details on those two companies – and Matt’s “Buy” guidelines – here. “There are only eight days until the most anticipated election in a long time, and the cannabis sector is one of many that could be directly affected by the outcome. At this time, it still appears to be a very tight race and too close to call,” Matt wrote on Monday in the Cannabis Cash Weekly Issue. “The final result could end up looking a few different ways. I do not want to speculate too specifically on the potential outcome until it happens, but we can look at the big picture. If there is a ‘blue wave,” it will likely send cannabis stocks higher.” For more on that, along with updates on Matt’s open trades, go here. Apps, eSports, and Lithium “One small, emerging tech company is on the cusp of pioneering a breakthrough, e-commerce solution across the entire U.S. real estate market and, in so doing, will finally leapfrog this $1.6 trillion industry into the digital era,” Luke Lango wrote in Monday’s Daily 10X Stock Report. In the report, Luke tells us all about this up-and-coming real estate market disruptor and shows us how it could one day turn into this “Amazon of houses.” Then in Tuesday’s Daily 10X , Luke reveals one small-cap business intelligence (BI) software stock that is highly levered to the most explosive niche of the Intelligence Economy – and which could soar more than 10X over the next several years. Small and medium-sized businesses won’t select the most advanced, most complex BI software platform to help them pivot into the Intelligence Economy, Luke writes. “Rather, they’ll select the easiest-to-use, most intuitive, and most affordable platform,” he says. That’s the platform from Domo Inc. (DOMO), a BI software company that went public in mid-2018 with a bang. Find out more here. The market for low-code application platforms (LCAP), which make designing and launching an app easy, is expected to boom over the next several years as it provides the necessary tools to help advance enterprises into the modern “App Economy.” In Wednesday’s Daily 10X, Luke shows us how to invest in the LCAP market, by buying a leading company in the space with a stock price that’s set to soar Of the five leaders in the market, Luke says that only Appian Corp. (APPN) is both a specialized LCAP provider and a standalone public company and, therefore, he says it’s the best choice to play the LCAP market boom. Get his full report here. Then in Thursday’s Daily 10X, Luke tells us about an attractive “picks-and-shovels” play on the emerging mobile eSports megatrend – a small, freshly public stock with an opportunity to soar over the next decade as mobile eSports goes from niche to mainstream. “Skillz is a small mobile gaming tech company that is going public through a reverse merger with blank-check entity Flying Eagle Acquisition Corp. (FEAC) . The Skillz business model is pretty easy to understand,” he writes. “The company supplies the mission-critical, technology infrastructure which allows any old competitive, skills-based game, to turn into a mobile eSports title with real-money competitions and tournaments.” Find out more here. Then in Friday’s Daily 10X, Luke shows us the single best lithium mining stock in the market – a tiny U.S.-based lithium stock that is producing the best type of lithium concentrate today… and that just signed a major deal with Tesla Inc. (TSLA). “When it comes to the lithium mining market, Piedmont Lithium (PLL) represents the cream of the crop. Up until recently, Piedmont Lithium was a relatively obscure mining company with a promising yet largely unknown lithium project in North Carolina focused on hard-rock (or spodumene) mining,” Luke writes. “Then, in late September, Piedmont signed a major agreement with Tesla, in which Piedmont will supply roughly 50,000 tons of spodumene concentrate to the EV giant for the next five years, with an option to extend the agreement for additional five years thereafter.” Piedmont stock more than tripled overnight. “But when it comes to the Piedmont growth narrative, the Tesla deal is really just the tip of the iceberg,” he continues. “And Piedmont stock tripling in late September could be just the beginning of a much bigger, longer rally in which the stock rises 10X.” Here’s the deal. Finally, don’t miss The Daily 10X Weekly Update from last Saturday. Early Exits “The market seems like a bad remake of the movie Groundhog Day this month. Each morning we look to see what stocks are moving and why, and the answer is always the same – stimulus uncertainty,” Wade Hansen and John Jagerson wrote on Monday in Strategic Trader . “Today’s volatility seems to have been directly triggered by statements from Director of the U.S. National Economic Council Larry Kudlow that the bill being advanced by the U.S. House of Representatives includes unacceptable components, meaning the White House doesn’t approve of it.” However, Wade and John are standing by their forecast that stimulus will be coming – and it will be substantial. They think the potential for a short-term bounce to the upside remains likely, and to take advantage, they recommended taking profits on their most recent Microsoft Corp. (MSFT) and Apple Inc. (AAPL) trades before those companies released earnings. Then on Thursday, seeing the market bounce back some, Wade and John bought the dip with new Bank of America Corp. (BAC) and Nike Inc. (NKE) options trades. “After the week we’ve had on Wall Street, we’re sure everyone is glad to see it’s Friday. It’ll be nice to take a breather from the volatility that came roaring back in the stock market this week,” they wrote on Friday. “However, even though it has been a volatile trading week, there are still some great bullish trading opportunities out there.” In fact, Wade and John saw one on Coca-Cola Co. (KO). “As expected, volatility is ramping up this month as traders deal with uncertainty around stimulus, the election, and rising COVID-19 infection rates. Traders tend to ‘discount’ uncertainty in the price of the market. That means we should expect a rough channel and maybe another short-term correction if investors don’t see some of these questions resolved soon,” Wade and John wrote on Wednesday in their Strategic Trader Weekly Update . “While that seems like a sort of dour prediction, we are still reasonably confident that most of these issues will improve in the short term. Some volatility before the end of the year will allow us to get into more bullish trades on lows and collect higher premiums, but we still want to take this opportunity to discuss the major unknowns so you know why they matter and what might change our outlook.” For Wade and John’s thoughts – along with updates on their open trades – go here. Finally, don’t forget to check out their Strategic Trader Weekly Webinar , from Wednesday night. Sometimes No Trade Is the Best Trade “This past week was probably the most difficult trading week of the year. Institutional investors’ trading algorithms kept things choppy, and there wasn’t a clear up- or downtrend. It was impossible to find an overnight swing trade with good momentum. I am not the biggest fan of day trading, because you need razor-sharp precision to scalp quickly off the major levels. But if you look at the trendless daily chart of the SPDR S&P 500 ETF (SPY), you’ll get a sense of why it was the only way to make money for some traders in this market,” Stefanie Kammerman wrote on Monday in the Dark Pool Trader Weekly Update. “Without a big swing up or down, there just isn’t much to do but sell off the highs and lows… Many people make the mistake of trading every day – sometimes out of boredom – but sometimes, no trade is the best trade.” For more on why, along with updates on Stefanie’s open trades, go here. Of course, a bad trading environment doesn’t mean no trades. On Friday, after seeing some major Dark Pool prints, Stefanie initiated a bearish options trade on Citigroup Inc. (C). We’ll Get Through This “I am working on and writing this issue just ahead of the U.S. elections, which means that I have to make assumptions about the near-term and longer-term impacts to the stock and bond markets through the opening days of November and into 2021. Leading up to the elections, I have kept the balanced allocations to stocks and fixed income that have weathered all sorts of past challenges,” Neil George wrote on Tuesday in the new Profitable Investing Monthly Issue . “In the fourth quarter of 2018, for example, many of our core stock holdings either held their ground or generated positive returns. And all along, the bond and bond fund recommendations generated gains and lots of income. Everything went south again in March of this year. But my… reviews of every holding proved out that everything in the portfolio that remained would eventually thrive. Elections bring change, which by itself isn’t a problem. I can always find solutions and opportunities regardless of who is in power, as I’ve done for decades, and I’m confident we’ll get through this cleanly.” In the issue, Neil explores the current economic and market developments and showcase investments that will thrive after the elections, regardless of results. He also goes through some of the most reliable stocks for both market-leading growth and income, reviews his members’ holdings, and highlights the best investments to buy and own right now. Click here to get Neil’s November issue now. Some Defensive Moves As the stock market continued falling on Tuesday, Eric Fry chimed in with reassuring messages – and actions to take – for members of both The Speculator and Fry’s Investment Report . “The stock market is baring its teeth once again and becoming a bit more hostile toward your investment dollars. Election anxiety, coupled with surging coronavirus cases in Europe and parts of the U.S., is unnerving investors and triggering the stock-selling reflex… Because of the… looming threats the market faces, the risk of additional downside action is considerable,” Eric wrote to members of the Investment Report. “I don’t believe the current circumstances warrant a panic, just a small dose of caution… But because additional stock market declines seem likely, I suggest increasing your defenses… By doing so, you boost the prospective gains you would achieve on these stocks. ” For Eric’s instructions to Investment Report subscribers, go here. The over at The Speculator, Eric recommended taking some gains off the table before a likely further selloff. “One annoying truism of investing is that we investors always seem to be holding too much cash when the market is rising, and we never seem to be holding enough cash when the market is falling… Over the last few days, the stock market has become a bumpy ride once again, and the road ahead could be a rough one. Election anxiety, coupled with surging coronavirus cases in Europe and parts of the U.S., is unnerving investors and triggering the stock-selling reflex,” he writes. “So I am recommending additional defensive moves today – both to take some chips off the table and to reduce exposure to additional stock market weakness.” To check those moves out, go here. A Trillion Short “While the pundits are having a field day with the voter numbers and polls showing one thing or the other, we have been focused on a different number today – the first estimate for third-quarter economic growth. The Bureau of Economic Analysis said today that the U.S. economy expanded at a 33.1% annualized rate in July, August, and September… That number represents 7.4% growth in the quarter, bringing the size of the U.S. economy up to about $18.6 trillion, which remains $670 billion, or 3.5%, below where the economy stood at the start of the year,” Dan Wiener and Jeff DeMaso wrote on Thursday in The Independent Adviser for Vanguard Investors Hotline. “That’s a lot of shrinkage even after a record-setting quarter of growth. And it’s almost $1 trillion smaller than where the economy would have been had we simply continued on the growth path established in the second half of 2019.” For Vanguard’s – and Dan and Jeff’s – forecasts for the rest of this year and next, head this way. Finally, don’t miss Jim Lowell’s Fidelity Sector Investor and Fidelity Investor Hotlines from Thursday. Thank you for joining us at the Omnia Roundup. I’ll see you back here next week. Regards, 
Christopher Skokna
Senior Managing Editor, InvestorPlace Omnia
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