MarketBeat: Week in Review 8/24-8/28

All eyes were on Jackson Hole, Wyoming this week. Ever since the Federal Reserve announced that they were considering tapering their asset purchase program investors have been wondering if the Jackson Hole meeting would provide any clarity about when tapering would start and the pace of interest rate hikes. Instead Fed chairman Jerome Powell delivered a message that was short on specifics and long on reassurance. In this case, he was reassuring investors that the Goldilocks economy was still in place. That’s good news for stocks which ripped higher after the speech. Next week is likely to remain active as traders position their portfolios for the long holiday weekend. And despite a lighter slate of earnings, there are some key names on tap. The MarketBeat team is here for all of the news that impacts the equity markets. Here’s a look at some of the stocks they analyzed this week.

Articles by Sean Sechler                                                                                                                                                                

The last 18 months have been strong for growth stocks. And investors have had no lack of names to choose from. However, Sean Sechler points out that investors should look for those companies that have an innovative business model that backs up accelerating earnings and/or sales growth. And Sechler gave readers his three picks for must-own growth stocks in September. Turning from growth to value, Sechler reminded readers that REIT stocks remain a solid choice for income investors, particularly with the inflation concerns that still hang over the market. With that in mind, Sechler gave readers his three picks for REITs to buy now. And for investors looking for a little of both growth and income, Sechler pointed readers to three medical device stocks that can help them take advantage of this growing sector.

Articles by Jea Yu

Few things can get a stock soaring as when a company delivers an upside surprise on its earnings report. As Jea Yu points out, that was the case with Opendoor Technologies (NASDAQ:OPEN) which delivered a 60% upside surprise on revenue in the most recent quarter. With the housing market likely to remain strong, Yu sees OPEN stock as a buy for risk-tolerant investors. Another surprise recovery stock is Sonos (NASDAQ:SONO). The maker of speaker and audio products was a pandemic winner, and continues to deliver growing year-over-year revenue and earnings. And on the company’s recent earnings call, it cited three catalysts that they believe give the stock a long runway.  Yu was also directing investors’ attention to Himax Technologies (NASDAQ:HIMX). The Taiwan-based chipmaker has been seeing its share price fall even as it delivered the highest top and bottom lines it its history. With guidance that demand will outpace supply into 2022, now is a time for opportunistic investors to take advantage of the dip in HIMX stock.  

Articles by Thomas Hughes

Nothing says summer like a good cookout, and as consumers are demanding more sophisticated grilling equipment, Traeger (NYSE:COOK) is happy to oblige. And Thomas Hughes points out that just a couple of weeks removed from its IPO, COOK stock is getting the love from analysts. With an earnings report due on September 9, COOK is certainly one for the watch list. However, not all retail stocks are feeling the love from analysts. As Hughes points out is the case for Nordstrom (NYSE:JWN). The company delivered a strong earnings report including raising its guidance. But as Hughes points out, investors were already expecting that news and are striking a bearish tone. One stock that investors should continue to eye for a buying opportunity is Advance Auto Parts (NYSE:AAP). The company is benefiting as consumers begin to fall in love with the car they have rather than buy used cars which are becoming overpriced. And while investors may love that growth, they should also appreciate the stock for its ability to generate free cash flow which translates to a rising dividend.

Articles by Sam Quirke

Hopefully many investors were able to profit from Sam Quirke’s article that highlighted three stocks that they should have watched this week. As Quirke aptly points out, this is not a time to fight the tape. Equities still want to go higher. But you can still be selective and that was Quirke’s idea with the three stocks he chose. One segment that shows no sign of slowing down is e-commerce. And Quirke gave investors two of his picks for e-commerce stocks that look ready to take off after earnings. Quirke was also looking at Splunk (NASDAQ:SPLK). Unlike many tech stocks, Splunk failed to hold on to pandemic-induced gains. But as Quirke points out the selloff now looks overdone and that gives risk-tolerant investors an opportunity to buy SPLK shares before the broader market notices.

Articles by Chris Markoch

Sometimes good stocks have bad days. Chris Markoch points out that appears to be the case with Dollar General (NYSE:DG). The company reported a quarterly decline in earnings and revenue. And although it seems that investors were expecting that the stock went down anyway. But analysts are shrugging off the report and that presents opportunistic investors with a chance to get one of the sector’s strongest stocks at a nice discount. Markoch was also looking at Medtronic (NYSE:MDT). The stock was looking for direction after a strong earnings report. With new products on the way in addition to improved guidance, Markoch advised investors to expect a break to the upside. One stock that is certainly not lacking direction is Workday (NASDAQ:WDAY). After trading in a range for most of the year despite solid earnings, WDAY stock is breaking hard to the upside after posting another strong earnings report.

Articles by Kate Stalter

In this current environment where investors are generating huge gains from single stocks, Kate Stalter provides a reminder that exchange-traded funds (ETFs) deserve a place in a well-allocated portfolio. And Stalter gives investors the ins and outs of choosing the right ETFs to complement or replace a single stock portfolio. Turning her attention to single stocks with growth potential, Stalter offered readers two picks to consider. The first, Element Solutions (NYSE:ESI) is a specialty chemical maker that has exposure to niche markets with high growth potential. Another stock that investors can consider is Rent-A-Center (NASDAQ:RCII) which is giving investors some bullish technical indicators in addition to showing strong earnings and revenue growth in its most recent quarter.