Salesforce Remains A Top Short Amid Dow Debut

Another week in August, another positive one for the stock markets. The S&P 500 is already up 7.2% month to date, with the Dow up more than 8% ahead of its big change in an apparent move ahead of major changes to the underlying components. The Dow will add in Salesforce, Amgen, and Honeywell, which are replacing Exxon Mobil, Pfizer, and Raytheon Technologies, in order to make up the loss of technology exposure from Apple Inc’s share split. If you’re looking for places to trade the market, Q.ai’s deep learning algorithms have used Artificial Intelligence (“AI”) technology to identify the Unusual Movers for the last week. 

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Top Short

Salesforce.com Inc (CRM)

The first stock on our list of unusual movers in terms of volume and price is Salesforce.com Inc. With the news of the company being added to the Dow this week, they also had blockbuster earnings and surged 30.63% for the week alone, on volume of 28,060,302 shares traded. Our deep learning algorithms have assigned factor scores of F in Technical, D in Growth, D in Momentum Volatility, and C in Quality Value for the stock that is now up 66.69% for the year. For all the hype with the enterprise cloud computing solutions company, our AI systems have actually rated the company as a Top short. As for the financials, revenue grew by 13.35% in the last fiscal year to $17098.0M, a growth of 83.87% over the last three fiscal years from $10540.0M. EPS grew by 1627.19% in the last fiscal year to $0.15, a growth of 428.73% over the last three fiscal years from $0.49 three years ago. Operating Income was $503.0M in the last fiscal year, which compares to $454.0M three years ago. ROE was 0.51% in the last year, which compares to 4.03% three years ago. Forward 12M Revenue is expected to grow by 7.63% and the stock looks expensive as it is trading with a Forward 12M P/E of 81.42.

Top Buys

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Abbott Laboratories (ABT), Quest Diagnostics Inc (DGX)

There were two Top Buys this week as rated by our AI systems in Abbott Laboratories and Quest Diagnostics Inc. For the former, Abbott Laboratories closed up 8.19% for the week on volume of 17,189,228 shares traded, and is now sporting a 29.1% gain for the year. Our deep learning algorithms have identified factor scores of B in Technical, C in Growth, A in Momentum Volatility, and B in Quality Value. In contrast, Quest Diagnostics Inc moved lower by 6.01% for the week and is now up 5.47% for the year, and traded volume of 1,527,173 shares throughout the week. Factor scores for the company have been identified as A in Technical, B in Growth, A in Momentum Volatility, and C in Quality Value. For Abbott Laboratories, revenue grew by 14.8% over the last three fiscal years to $31,904.0M in the last fiscal, compared to $27390.0M three years ago. Operating Income grew by 49.86% over the last three fiscal years to $4895.0M in the last fiscal, compared to $2938.0M three years ago. EPS grew by 543.59% over the last three fiscal years to $2.06 in the last fiscal year, compared to $0.27 three years ago. ROE was 11.889100 in the last year, which compares to 1.362500 three years ago. Forward 12M Revenue is expected to grow by 6.94% and the stock is trading with a Forward 12M P/E of 28.21. For Quest Diagnostics, Revenue grew by 1.74% over the last three fiscal years to $7726.0M in the last fiscal, which compares to $7402.0M three years ago. EPS grew by 0.27% over the last three fiscal years to $6.28 in the last fiscal, versus $5.5 three years ago. Operating Income was $1219.0M in the last fiscal year, which compares to $1198.0M three years ago. ROE was 15.95% in the last year, which compares to 16.86% three years ago. Forward 12M Revenue is expected to grow by 10.2% and the stock is trading with a Forward 12M P/E of 10.59.

Attractive Rated

Walmart Inc (WMT), Amgen Inc (AMGN), Adobe Inc (ADBE)

There were several Attractive rated companies this week, and we are going to cover Walmart Inc, Amgen Inc, and Adobe Inc. They were given factor scores of C in Technical, B in Growth, A in Momentum Volatility, and C in Quality Value for Walmart Inc, B in Technical, C in Growth, B in Momentum Volatility, and C in Quality Value for Amgen Inc, and F in Technical, A in Growth, B in Momentum Volatility, and A in Quality Value for Adobe Inc. For the week, all three gained in stock price, closing up 6.59%, 6.51%, and 9.13%, respectively, with year-to-date gains of 19.61%, 5.75%, and 57.29%. For Walmart, revenue grew by 3.45% in the last fiscal year to $523964.0M, a growth of 8.33% over the last three fiscal years from $500343.0M three years ago. EPS grew by 20.77% in the last fiscal year to $5.19, which grew by 91.1% over the last three fiscal years from $3.28 three years ago. The stock is trading with a Forward 12M P/E of 26.01. For Amgen, revenue grew by 4.02% in the last fiscal year to $23362.0M, which grew by 6.35% over the last three fiscal years from $22849.0M three years ago. EPS grew by 355.04% over the last three fiscal years. EPS was $12.88 in the last fiscal year, which compares to $2.69 three years ago. Forward 12M Revenue is expected to grow by 2.48% and the stock is trading with a Forward 12M P/E of 15.93. And finally, for Adobe, Revenue grew by 7.82% in the last fiscal year to $11171.3M, which grew by 64.97% over the last three fiscal years from $7301.5M three years ago. EPS grew by 26.32% in the last fiscal year to $6.0, a growth of 124.23% over the last three fiscal years from $3.38 three years ago. Forward 12M Revenue is expected to grow by 6.74% and the stock is trading with a Forward 12M P/E of 50.25.

Neutral Rated

Facebook Inc (FB), Ulta Beauty Inc (ULTA)

There were two Neutral rated companies this week in Facebook Inc and Ulta Beauty Inc. Factor scores were identified by our deep learning algorithms of F in Technical, B in Growth, B in Momentum Volatility, and B in Quality Value for Facebook Inc, and B in Technical, D in Growth, F in Momentum Volatility, and C in Quality Value for Ulta Beauty Inc. The former traded higher by 9.98% on volume of 17,172,415, whereas the latter traded higher by 10.76% on the week with volume of 6,579,309 shares. The company shares are showing year-to-date gains for Facebook Inc of 38.09%, whereas Ulta Beauty Inc is showing a loss of 6.37%. For the EPS, Facebook had $6.43 in the last fiscal year, which compares to $5.39 three years ago, whereas Ulta Beauty had EPS of $12.15 in the last fiscal year, which compares to $8.96 three years ago. The companies trade with forward 12M P/Es of 33.42 and 25.84, respectively.

Unattractive

Starbucks Corp (SBUX)

Several Unattractive stocks this week but no more so than Starbucks Corp, with AI-based factor scores of C in Technical, D in Growth, C in Momentum Volatility, C in Quality Value. The stock traded 10.29% higher for the week on volume of 9,303,909 shares, and is now down 1.81% for the year. Revenue grew by 7.48% over the last three fiscal years to $26508.6M in the last fiscal, which compares to $22386.8M three years ago. Operating Income was $3915.7M in the last fiscal year, compared to $3896.8M three years ago. EPS was $2.92 in the last fiscal year, veruss $1.97 three years ago. Forward 12M Revenue is expected to grow by 13.84% and the stock is trading with a Forward 12M P/E of 37.99.

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