Top Stocks To Buy Today As Tech Erases Gains Amid Another Sell-Off

Going into the final day of one of the roughest trading weeks in months, all indexes rose slightly before swiftly declining again. At the start of the day, the Nasdaq NDAQ was down 3.5% on the week-the worst week the Nasdaq has had since March. The big tech names were mixed. While Facebook, Netflix NFLX , Alphabet and Microsoft MSFT were up slightly, Apple AAPL and Amazon AMZN dropped 1.1% and 0.4%, respectively. The biggest movers of the day were Peloton and Oracle ORCL , who had quarterly earnings reports that crushed estimates. After rising double digits after-hours, Peloton in morning trading gained more than 4% while Oracle rose 3.6%.

The U.S. Consumer Price Index also spurred the market’s morning recovery. Consumer prices rose in August, signifying firmer and more stable inflation, and higher costs for a variety of goods. The rise in the CPI also showed signs that the economy and demand for goods is recovering from the COVID induced downturn earlier this year. As momentum tries to reverse higher, the deep learning algorithms and Artificial Intelligence (“AI”) at Q.ai have gone through the data to give you some ideas for Top Buys if you’re looking to go long this market. Our deep learning algorithms graded each firm on parameters of Technical, Growth, Momentum Volatility, and Quality Value to determine the most promising candidates.

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Masonite International Corp (DOOR)

First on the list of today’s Top Buys is Masonite International DOOR , a company which specializes in manufacturing interior and exterior doors, door components, and door entry systems. Our AI systems have identified factor scores of D in Technical, B in Growth, A in Momentum Volatility, and A in Quality Value. While the stock has strongly performed this year, gaining 26.73%, it closed down 2.24% to $91.09 on volume of 147,570 vs. its 10-day price average of $92.20 and its 22-day price average of $92.45. Other financial metrics indicate a company that is financially healthy, profitable, and stable, with growth potential. Revenue grew by 4.99% over the last three fiscal years, Operating Income grew by 20.15% in the last fiscal year and by 19.44% over the last three fiscal years, and EPS grew by 83.1% in the last fiscal year. In comparing the numbers from the last fiscal year to three years ago, Revenue was $2176.68M in the last fiscal year, and compares to $2032.92M three years ago, Operating Income was $159.44M in the last fiscal year vs. $160.38M three years ago, and EPS was $1.75 in the last fiscal year vs. $5.09 three years ago. In addition, the company’s ROE was 7.79% in the last year compared to 22.5% three years ago. Forward 12M Revenue is also expected to grow by 2.91% over the next 12 months, and the stock is trading with a Forward 12M P/E of 15.67.

Lennar Corp (LEN)

The next stock in our Top Buys list is Lennar LEN . As one of the top homebuilding companies in the US, Lennar is at the center of one of the best performing sectors ever since the COVID crash in March. Our AI systems have identified factor ratings of B in Technical, B in Growth, B in Momentum Volatility, and C in Quality Value. The stock has been relatively stable over the last few weeks. While the stock closed down 0.38% to $75.5 on volume of 1,549,554, it’s relatively stable compared to its 10-day price average of $75.66 and its 22-day price average of $76.12. The stock, largely following the trend of homebuilding stocks, is up 35.28% YTD.

Revenue also grew by 1.63% in the last fiscal year, and grew by 78.88% over the last three fiscal years. Operating Income also grew by 8.48% in the last fiscal year, and grew by a staggering 99.74% over the last three fiscal years. EPS growth was relatively in line with these metrics as well, and grew by 15.64% in the last fiscal year, and by 96.47% over the last three fiscal years. Revenue was $22259.56M in the last fiscal year compared to $12646.36M three years ago, Operating Income was $2487.39M in the last fiscal year compared to $1350.87M three years ago, and EPS was $5.74 in the last fiscal year compared to $3.38 three years ago. The company’s ROE also indicates a profitable and healthy company, with a 11.99% ROE in the last year vs. a ROE of 10.16% three years ago. The stock is also trading with a Forward 12M P/E of 12.16.

MORE FROM FORBESLennar (LEN)

Mettler-Toledo Intl Inc (MTD)

The third company in our Top Buys list is Mettler-Toledo. This company has a unique business and a very unique niche, specializing in manufacturing scales and analytical instruments. In fact, it is the largest provider of weighing instruments for use in laboratory, industrial, and food retailing applications. According to our AI systems, the stock has ratings of C in Technical, B in Growth, A in Momentum Volatility, and B in Quality Value. MTD closed down 1.27% to $963.46 on volume of 90,011 vs. its 10-day price average of $968.63 and its 22-day price average of $965.54. The stock shows very positive growth trends and is up 19.68% for the year. Revenue also grew by 7.8% over the last three fiscal years, Operating Income grew by 18.23% over the last three fiscal years, and EPS grew by 56.66% over the last three fiscal years. Revenue was $3008.65M in the last fiscal year vs. $2725.05M three years ago, Operating Income was $733.19M in the last fiscal year vs. $613.91M three years ago, and EPS was $22.47 in the last fiscal year vs. $14.24 three years ago. What was most encouraging about this company, however, was its ROE. The company had a strong ROE of 111.02% in the last year. Not to mention, this is a growth rate of nearly 35% compared to its ROE of 76.56% three years ago. Forward 12M Revenue is also expected to grow by 3.72% over the next 12 months, and the stock is trading with a Forward 12M P/E of 39.17.

MORE FROM FORBESMTD

Pultegroup Inc (PHM)

The fourth company on our Top Buys list – and our second home builder – is Pultegroup PHM . Pultegroup is the 3rd largest home construction company in the United States based on the number of homes closed, and is ranked 312th on the Fortune 500. Homebuilders have been some of the most successful stocks YTD, and especially ever since the market bottomed in March. Our AI systems have identified factor ratings of B in Technical, B in Growth, B in Momentum Volatility, and B in Quality Value. The stock is up 15.05% YTD. The stock has been relatively stable over the volatile last few weeks. It closed down 0.22% to $44.5 on volume of 1,921,920 vs. its 10-day price average of $44.75 and its 22-day price average of $45.55. The company has shown signs of stable growth as well over the last three fiscal years. Revenue grew by 3.95% in the last fiscal year and grew by 23.76% over the last three fiscal years, Operating Income grew by 16.34% in the last fiscal year and grew by 40.39% over the last three fiscal years, and EPS grew by 15.97% in the last fiscal year and grew by an astounding 193.84% over the last three fiscal years. Revenue was $10212.96M in the last fiscal year vs. $8577.69M three years ago, Operating Income was $1354.7M in the last fiscal year vs. $1122.67M three years ago, and EPS was $3.66 in the last fiscal year vs. $1.44 three years ago- nearly triple. ROE was also high and nearly doubled in the last years from 19.79% in the last year compared to 10.15% three years ago. Forward 12M Revenue is expected to grow by 5.62% over the next 12 months, and the stock is trading with a Forward 12M P/E of 9.76.

MORE FROM FORBESPulteGroup (PHM)

Whirlpool Corp (WHR)

The final company in our Top Buys list is Whirlpool WHR . Whirlpool is arguably the most well-known manufacturer of home appliances and has performed very strongly both YTD and over the past three years. Our AI systems have rated Whirlpool B in Technical, B in Growth, B in Momentum Volatility, and C in Quality Value. Although the stock closed down 1.37% to $169.46 on volume of 671,696, considerably lower than both its 10-day price average of $174.13 and its 22-day price average of $177.7, the stock is up 14.15% for the year. Additionally, EPS grew by an enormous 179.4% over the last three fiscal years. Revenue was $20419.0M in the last fiscal year vs. $21253.0M three years ago, Operating Income was $1317.0M in the last fiscal year vs. $1388.0M three years ago, and EPS was $18.45 in the last fiscal year vs. $4.7 three years ago. ROE also showed strong growth and profitability and was 32.72% in the last year compared to 6.21% three years ago. Forward 12M Revenue is expected to grow by 3.73% over the next 12 months, and the stock is trading with a Forward 12M P/E of 11.21.

MORE FROM FORBESWhirlpool (WHR)

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