Top Stocks To Short Today As Markets Gain Ahead Of Fed Meeting

The markets looked to extend the week’s gains after last week’s rout. Markets opened the day in the green once again with the Dow up 100 points higher (0.4%), and the S&P 500 up 0.3%. The Nasdaq’s NDAQ gains were a bit more muted after its furious rally this week, only up 0.1%. Investors are eagerly anticipating the Fed’s announcement after their meetings conclude today. This will be the Fed’s final meeting before the November election. They are expected to announce that they will hold rates low through 2023, which is enticing for investors, and could cause stock prices to rise. FedEx FDX has been the big mover today, rising over 7% due to crushing earnings estimates fueled by e-commerce. Investors are also eagerly anticipating one of the hottest IPOs of the year-data storage software company Snowflake. For investors looking to make sense of this wild market, the deep learning algorithms at Q.ai have crunched the data to give you a set of Top Shorts. Our Artificial Intelligence (“AI”) systems assessed each firm on parameters of Technical, Growth, Momentum Volatility, and Quality Value to find the best short plays.

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American Eagle Outfitters Inc (AEO)

The first on our list of Top Shorts today is clothing retailer American Eagle Outfitters Inc AEO . Our AI systems have them rated C in Technical, D in Growth, D in Momentum Volatility, and D in Quality Value. The stock closed down 2.23% to $14.5 on volume of 6,419,768 vs its 10-day price average of $13.42 and its 22-day price average of $12.41. The stock is relatively flat this year and is up 1.75% for the year. Revenue grew by 0.55% over the last three fiscal years, and was $4308.21M in the last fiscal year compared to $3795.55M three years ago. Operating Income was $318.14M in the last fiscal year compared to $331.07M three years ago, and EPS was $1.12 in the last fiscal year compared to $1.13 three years ago. ROE was also 15.09% in the last year vs. 16.66% three years ago. Forward 12M Revenue is expected to grow by 11.98% over the next 12 months, and the stock is trading with a Forward 12M P/E of 17.96.

MORE FROM FORBESAmerican Eagle Outfitters (AEO)

Domo Inc (DOMO)

Domo Inc is next on the list of Top Shorts. The cloud software company is rated D in Technical, D in Growth, F in Momentum Volatility, and D in Quality Value according to our AI systems. The stock closed up 0.28% to $38.87 on volume of 323,724 vs its 10-day price average of $40.17 and its 22-day price average of $38.84, and is up a significant 84.74% for the year. Revenue grew by 9.94% in the last fiscal year and grew by 75.66% over the last three fiscal years, Operating Income grew by -20.88% in the last fiscal year and grew by -48.04% over the last three fiscal years, and EPS grew by -21.21% in the last fiscal year and grew by -96.75% over the last three fiscal years. Revenue was $173.4M in the last fiscal year compared to $108.52M three years ago, Operating Income was $(115.46)M in the last fiscal year compared to $(175.82)M three years ago, and EPS was $(4.57) in the last fiscal year compared to $(110.7) three years ago. Forward 12M Revenue is also expected to grow by 5.19% over the next 12 months.

MORE FROM FORBESDomo (DOMO)

Michaels Cos Inc (MIK)

On our list of Top Shorts yet again is arts and crafts retailer Michaels. Although Michaels is the largest arts and crafts retailer in all of North America, it has been one of our Top Shorts for the last several trading days, and appears to be going the route of other struggling retailers. Our AI systems have rated Michaels C in Technical, D in Growth, F in Momentum Volatility, and C in Quality Value. The stock closed down 3.87% to $9.93 on volume of 3,421,908 vs its 10-day price average of $10.44 and its 22-day price average of $10.2. The stock is up by 17.24% for the year though. Revenue was $5072.04M in the last fiscal year compared to $5361.96M three years ago, Operating Income was $572.6M in the last fiscal year compared to $735.39M three years ago, and EPS was $1.78 in the last fiscal year compared to $2.1 three years ago. Forward 12M Revenue is expected to grow by 4.07% over the next 12 months, and the stock is trading with a very low Forward 12M P/E of 4.25.

MORE FROM FORBESMichaels Stores (MIK)

Plug Power Inc (PLUG)

Next on the list of Top Shorts is another name returning to the list-electrical equipment manufacturer Plug Power Inc PLUG . Our AI systems have rated the stock D in Technical, D in Growth, D in Momentum Volatility, and D in Quality Value. The stock closed up 2.37% to $12.53 on volume of 17,643,710 vs its 10-day price average of $12.3 and its 22-day price average of $12.59. The stock is up a whopping 286.73% for the year. Revenue grew by 12.93% in the last fiscal year and grew by 159.61% over the last three fiscal years, Operating Income shrank by -31.37% over the last three fiscal years, and EPS shrank by -18.09% in the last fiscal year and grew by -50.92% over the last three fiscal years. Revenue was $230.24M in the last fiscal year compared to $100.15M three years ago, Operating Income was $(50.04)M in the last fiscal year compared to $(101.79)M three years ago, and EPS was $(0.36) in the last fiscal year compared to $(0.6) three years ago. ROE was also (100.44%) in the last year vs. (150.33%) three years ago. Forward 12M Revenue is expected to grow by 8.64% over the next 12 months.

MORE FROM FORBESPlug Power (PLUG)

Synchronoss Technologies (SNCR)

Our final Top Short is another player in the cloud computing and big data space-Synchronoss Technologies. Our AI systems have given the stock ratings of D in Technical, D in Growth, F in Momentum Volatility, and D in Quality Value. The stock closed down 3.64% to $3.71 on volume of 229,572 vs its 10-day price average of $4.03 and its 22-day price average of $4.21. The stock is also down 32.67% for the year. Operating Income grew by -14.93% in the last fiscal year and grew by -18.29% over the last three fiscal years, and EPS grew by -22.95% in the last fiscal year. Revenue was $308.75M in the last fiscal year compared to $402.36M three years ago, Operating Income was $(100.76)M in the last fiscal year compared to $(104.9)M three years ago, and EPS was $(3.36) in the last fiscal year compared to $(2.45) three years ago. ROE was also (31.0%) in the last year vs. (37.21%) three years ago.

MORE FROM FORBESSynchronoss Technologies (SNCR)

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