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2025's Top 3 Breakout Stocks for Active Traders: Don't Miss Out!
ZACKS· 2025-11-20 21:00
Core Insights - The article emphasizes an active investing strategy focused on identifying breakout stocks within specific price ranges, recommending to sell if prices drop below the lower boundary and to hold for gains if they surpass the upper boundary [1] Breakout Stock Identification - To identify breakout stocks, it is essential to calculate support and resistance levels, where support is the lower bound and resistance is the upper bound for stock movements [2] - Demand for a stock is lowest at its support level, while traders are more inclined to buy at the resistance level, making it crucial to focus on stocks nearing a breakout or those that have just surpassed resistance [3] Validating Breakouts - A genuine breakout occurs when the previous resistance level becomes the new support level, which can be confirmed through long-term price trend analysis [5] - The strength of support and resistance levels is determined through such studies, and correctly identifying breakout stocks can lead to significant returns [5] Screening Criteria - The screening criteria for breakout stocks include: - A percentage price change over four weeks between 10% and 20% [6] - Current price to 52-week high ratio greater than or equal to 0.9 [6] - Zacks Rank of less than or equal to 2 [6] - Beta for 60 months less than or equal to 2 [7] - Current price less than or equal to $20 [7] - These criteria narrow down the stock universe from over 6,853 to only 12 potential candidates [7] Featured Breakout Stocks - Orla Mining Ltd. (ORLA) focuses on acquiring, exploring, and developing mineral properties, with an expected earnings growth rate of 212% for the current year and a Zacks Rank of 2 [9] - FIGS, Inc. (FIGS) operates as a direct-to-consumer healthcare apparel company, with an expected earnings growth rate of 400% for the current year and a Zacks Rank of 1 [10] - Compass Therapeutics, Inc. (CMPX) is a clinical-stage oncology biopharmaceutical company with an expected earnings growth rate of 16.7% for the next quarter and a Zacks Rank of 2 [11]
Top 3 Breakout Stocks to Buy Now for Active Investors
ZACKS· 2025-10-28 20:05
Core Insights - An active investing approach focuses on identifying breakout stocks within a defined price range, recommending to sell if the price falls below the lower band and to hold for gains if it exceeds the upper band [1] - Flotek Industries, NatWest Group, and Ermenegildo Zegna have been identified as today's breakout stocks, each showing strong expected earnings growth for the current year [8] Breakout Stock Identification - To identify breakout stocks, it is essential to calculate support and resistance levels, where support is the lower bound and resistance is the upper bound for stock movements [2] - Demand for a stock is lowest at its support level, while traders are more inclined to buy at the resistance level, indicating potential breakout candidates [3] Genuine Breakout Criteria - A genuine breakout occurs when the previous resistance level becomes the new support level, which can be confirmed through long-term price trend analysis [5] - The strength of support and resistance levels is determined by observing price trends over time, which is crucial for identifying breakout stocks [5] Screening Criteria - The screening criteria for breakout stocks include a percentage price change over four weeks between 10% and 20%, a current price close to 52-week highs, and a Zacks Rank of 2 or better [6][7] - Stocks must have a beta of 2 or less and a current price of $20 or less to be considered, narrowing the selection to a manageable number of candidates [7] Company Profiles - **Flotek Industries**: A technology-driven green chemistry and data company with an expected earnings growth rate of 94.1% for the current year and a Zacks Rank of 2 [9] - **NatWest Group**: Provides banking and financial services with an expected earnings growth rate of 30.1% for the current year, also holding a Zacks Rank of 2 [10] - **Ermenegildo Zegna**: Designs and markets luxury clothing with an expected earnings growth rate of 37.5% for the current year, maintaining a Zacks Rank of 2 [11]
3 Best Breakout Stocks to Add to Your Portfolio Right Away
ZACKS· 2025-05-23 20:01
Core Insights - The article discusses an active investing strategy focused on identifying breakout stocks within a specific price range, emphasizing the importance of support and resistance levels in making investment decisions [1][2][3]. Group 1: Breakout Stocks - Barclays PLC (BCS), NatWest Group plc (NWG), and Aris Mining Corporation (ARMN) are highlighted as today's breakout stocks [1]. - BCS anticipates an earnings growth rate of 21.2% for the current year [7]. - NWG expects an earnings growth rate of 17.3% this year [9]. - ARMN projects an impressive earnings growth rate of 226.5% for the current year [10]. Group 2: Screening Criteria - The screening criteria for selecting breakout stocks include a percentage price change over four weeks between 10% and 20%, current price close to 52-week highs, and a Zacks Rank of 1 [6]. - Additional criteria include a beta for 60 months less than or equal to 2 and a current price less than or equal to $20 [7]. - These criteria narrow down the stock universe from over 6,853 to only nine potential candidates [7].