3 Stocks to Buy for Stellar Earnings Acceleration in November

Core Viewpoint - November is expected to be a strong month for stocks, driven by interest rate cuts and increased consumer spending, despite potential volatility from the upcoming presidential election. Investors are encouraged to focus on stocks with earnings acceleration [1]. Earnings Acceleration - Earnings acceleration refers to the incremental growth in a company's earnings per share (EPS), indicating a rise in quarter-over-quarter earnings growth rates within a specific timeframe [3]. - Stocks that exhibit earnings acceleration are often undervalued and can lead to significant price rallies once investors take notice [4]. Importance of Earnings Growth - A consistent increase in earnings growth percentage suggests a fundamentally sound company, while stagnant or declining growth can indicate potential price declines [5]. Screening Parameters - The screening process involves identifying stocks where the last two quarter-over-quarter EPS growth rates exceed previous periods, with projected growth rates also expected to be higher [6][7][8]. - Additional criteria include a current stock price of at least $5 and an average 20-day trading volume of 50,000 or more to ensure liquidity [8]. Selected Stocks - Snap Inc. (SNAP): A mobile camera app with a Zacks Rank of 2 (Buy) and an expected earnings growth rate of 166.7% for the current year [9]. - GeneDx Holdings Corp. (WGS): A healthcare pioneer in genome testing, currently holding a Zacks Rank of 1, with an expected earnings growth rate of 95.4% [10]. - Leonardo DRS, Inc. (DRS): A defense product manufacturer with a Zacks Rank of 2 and an expected earnings growth rate of 21.9% for the current year [11].