3 Stocks with Everything Aligned for Success

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The Triple Select: Stocks Poised to Soar Amid Market Upticks

Embracing the Perfect Storm

As the market wrapped up May on a high note, LA News Center has uncovered a “triple select” list from Piper Sandler. This exclusive shortlist identifies stocks that are poised to thrive thanks to a harmonious alignment of positive factors, including a favorable economic outlook, strong company fundamentals, and bullish technical analysis.

M&T Bank: Reversing the Trend

M&T Bank, a prominent regional bank, has earned a spot on the list. Analyst Frank Schiraldi points to the stock’s remarkable reversal of a long-term downtrend, culminating in a fresh 52-week high on May 15. With shares climbing nearly 10% in 2024, M&T Bank is showcasing its resilience and growth potential.

Schiraldi highlights the bank’s prudent credit management and its shedding of commercial real estate exposure. He believes this strategic shift creates an opportunity for investors to acquire shares at a relative discount. Additionally, M&T Bank’s strong profitability and excess capital position it for aggressive share buybacks, offering further upside potential.

Oracle: Unleashing the Power of AI

Database software giant Oracle has also made its way onto the list. With shares rising about 11% in 2024, Oracle has demonstrated its unwavering strength. Analyst Brent Bracelin attributes this success to the company’s exceptional cash flow return on equity and its remarkable historical EPS growth.

Bracelin envisions Oracle capitalizing on the burgeoning artificial intelligence boom. While the company’s cloud infrastructure may trail its competitors, there remains a surging demand for its AI cluster services. With compute power becoming increasingly valuable, Oracle is well-positioned to ride the wave of this technological revolution.

Tractor Supply: A Force in Rural America

Tractor Supply, a retailer catering to rural lifestyles and agriculture, has emerged as a powerhouse in 2024. Shares have skyrocketed by over 32%, reaching a 52-week high on May 20. Analyst Peter Keith attributes this surge to the company’s exceptional cash flow profitability, which leads the competition in the hard line and leisure sectors.

Keith highlights Tractor Supply’s ability to weather macroeconomic uncertainties, with any deflationary pressures expected to be minimal. This removes a major concern that investors had been harboring, paving the way for continued growth and profitability for the company.

Conclusion

The LA News Center “triple select” list provides a comprehensive guide to stocks that are poised to thrive in the current market environment. With a strong foundation in industry-leading research, these selections present investors with opportunities to capitalize on the perfect alignment of economic tailwinds, solid company fundamentals, and promising technical outlooks. As the market continues to evolve, these stocks are poised to provide exceptional returns, adding value to any investment portfolio.

Data sourced from: cnbc.com