🍎 🍕 Less apples, more pizza 🤔 Have you seen Buffett’s portfolio recently?Explore for Free

ProPicks AI Top-10: Perfect Pre-Breakout Entry Delivered Big Gains on These Stocks

Published 31/10/2024, 07:56
IDXX
-
WSM
-
  • ProPicks AI turns one year in November with market-beating results.
  • This article is part of a series on the top 10 best-performing stocks added by our AI this year.
  • Today, we focus on stocks 7 and 8 - perfect pre-breakout entries that delivered huge gains.

Isn’t it a great feeling to catch a breakout that’s so clean it results in sustainable, longer-term gains?

As savvy investors would know, while such breakouts manifest in the technical form, they can occur only when a stock’s fundamentals are fully aligned for big-time growth.

However, as the early signs of such breakouts can appear in a multitude of ways within a company’s balance sheet, spotting can prove very challenging - to say the least.

That’s the exact feature of ProPicks AI stocks 7 and 8 from our 1-year countdown highlight.

By compiling hundreds of data points through advanced machine-learning models, ProPicks AI anticipated the momentum shift in these stocks - as well as several others throughout the year - achieving fantastic results of over 46%.

Subscribe here and now for only less than $9 a month to get more insights like these! Remembering our list of stocks to buy for November will be out as soon as tomorrow.

Already a Pro user? Then follow our updates here.

Now, without further ado, let’s take a closer look at these picks to understand how ProPicks AI was able to identify their breakouts and the types of results that those following the strategies achieved.

Starting with ProPicks AI #8 pick of the year - IDEXX Laboratories, part of Beat the S&P 500 strategy.

#8 – IDEXX: How AI Spotted the Perfect Entry and Exit Point in the Stock

It's every trader's dream to catch a breakout this clean.

IDEXX Breakout

That’s exactly what ProPicks did with IDEXX Laboratories (NASDAQ:IDXX) stock.

When IDEXX joined the ‘Beat the S&P 500’ strategy on November 1, 2023, ProPicks leveraged a wealth of data to identify a strong bull phase supported by solid fundamentals.

The chart from InvestingPro shows that IDEXX’s financial health is solid, scoring 4 out of 5 on all key financial metrics.

IDEXX Financial Health


The AI tool seemed to have factored in a positive outlook for key financial metrics, aligning with IDEXX’s technical breakout momentum, which resulted in the perfect entry.

ProPicks Adds IDEXX

Not only did ProPicks catch the breakout, but it also locked in an impressive 45.9% profit on March 1, 2024.

This timely exit proved crucial, as the stock soon gave back most of its gains and settled into a sideways pattern.

ProPicks Removes IDEXX

The stock was held in the 'Beat the S&P 500' strategy for 4 months, delivering an impressive 45.9% profit by the end.

Since peaking in March, this fundamentally strong stock has shed about 22%, with earnings looming today.

Could it become a ProPick addition once again?

You’ll need to keep a close eye on the all-important monthly rebalancing updates to find that out.

#7 - Williams-Sonoma: A High-Yield Breakout Despite Retailers Facing Headwinds

In a year where home goods retailers stumbled, Williams-Sonoma (NYSE:WSM) managed to carve out a winning streak—one that ProPicks captured at just the right moment.

Williams-Sonoma, a retail stock known for catering to high-income consumers, had been steadily climbing before the eventual breakout in December 2023.

Williams Sonoma Uptrend

At a time when industry giants like Bed Bath & Beyond (OTC:BBBYQ) were declaring bankruptcy and big names like Lowe's (NYSE:LOW) and Home Depot (NYSE:HD) were struggling, Williams-Sonoma thrived.

While consumers were generally scaling back on big-ticket purchases due to high inflation and an uncertain economy, Williams-Sonoma’s strategic positioning shielded it from much of the sector’s turbulence.

The company’s stock rose 36% year-to-date by early December 2023, as analysts pointed to its strong operating margins and steady performance as a clear differentiator.

Seeing the momentum building, ProPicks - the AI tool - recognized these fundamentals and added Williams-Sonoma to its “Top Value” strategy during the December 1, 2023 rebalance.

ProPicks' Entry and Exit


Over the next five months, the stock surged 46% until May 1, 2024, hitting a peak around $159 before the rally cooled, and the stock has been in a slow, steady downtrend ever since.

Williams Sonoma Stock Price Chart

This timely entry and exit maximized returns for traders, showcasing how AI-driven insights can spot high-yield opportunities amid broader challenges facing a sector or even the economy as a whole.

Bottom Line

Seasoned traders know that true breakouts aren’t just technical events; they happen when fundamentals align perfectly to drive strong growth.

But spotting these early signals within a company’s complex financials is no easy feat - and that’s where ProPicks AI shines.

Through rigorous analysis of hundreds of data points, ProPicks AI anticipated momentum in IDEXX Laboratories and Williams-Sonoma, seizing powerful entry and exit points that delivered impressive returns.

The results speak for themselves: ProPicks identified breakouts in these stocks, delivering nearly 45%+ gains by timing each move with near-perfect precision.

As we continue the countdown, you won’t want to miss our next article featuring the #6 and #5 top picks of the year. It will reveal an even more exciting feature of ProPicks AI.

Meanwhile, keep an eye on our monthly rebalance updates—they may hold your next breakout.

The next one will be out tomorrow!

***

Disclaimer: This article is written for informational purposes only; it does not constitute a solicitation, offer, advice, counsel or recommendation to invest as such it is not intended to incentivize the purchase of assets in any way. I would like to remind you that any type of asset, is evaluated from multiple perspectives and is highly risky and therefore, any investment decision and the associated risk remains with the investor.

Latest comments

Loading next article…
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.