This is the second time Infinera was sourced as a top stock to buy after the pullback. Of course, I’m sure there are lots of others.
From the Wall Street Journal:
“If we bottom right now, then most stocks will be good stocks to own,” said Rocky White, quantitative analyst at Schaeffer’s. “However, the following stocks…should be some of the best stocks to own going forward.”
Among the 50 worst S&P 500 performers during the recent pullback, only one is still up over the past 12 months: Under Armour. Shares of the company closed Wednesday off 30% from their Nov. 3 close, but they were still higher than they were a year ago.
Broadening the analysis out beyond S&P 500 stocks, 14 stocks seem like good buys to Mr. White. They include biotech Sarepta Therapeutics Inc.SRPT -7.17%, oil company HollyFrontier Corp. HFC +0.51% and telecom Infinera Corp. INFN -0.49% This group was compiled by looking at stocks with closing prices above $10 that tumbled at least 20% during the selloff and remain up on a year-over-year basis as of Wednesday’s close.
Some technical analysts warned Wednesday that the market has further to fall. But for investors looking to get back in, history suggests the names above could be decent picks.
Sorry if this is may be viewed as market timing, etc. Regardless, on 2/11 we will get official confirmation from the source. Historically, we’ve seen a beat every quarter for the past 2 years. On top of that, management has guided above analyst consensus as its forecast. Their guidance has been incredibly reliable, as it should be having customers that plan months in advance and with the added benefit of being in the middle of the next quarter when they report.