Core Insights - The article emphasizes the focus on growth and momentum stocks that are reasonably priced and expected to outperform the market in the long term [1] - It highlights a significant investment opportunity identified by David, who advised buying at the market bottom in March 2009, leading to substantial gains in major indices [1] Investment Strategy - David is characterized as a long-term investor who prioritizes quality stocks and employs options as part of his investment strategy [1] - The S&P 500 saw an increase of 367% and the Nasdaq increased by 685% from 2009 to 2019, showcasing the potential for high returns in growth stocks [1] Investor Guidance - The article aims to assist investors in making money through investments in high-quality growth stocks [1]

Core Viewpoint - The S&P 500 is currently at the 6,700 mark, facing challenges in breaking higher due to ongoing macroeconomic concerns, raising questions about the timing for investing in momentum stocks [1]. Group 1: Market Conditions - The S&P 500 is struggling to gain upward momentum amid persistent macroeconomic issues [1]. Group 2: Analyst Background - Gary Alexander has extensive experience in technology sectors, having worked on Wall Street and in Silicon Valley, and has been an adviser to several seed-round startups [1]. - He has been a contributor to Seeking Alpha since 2017 and has been featured in various web publications, with his articles also appearing on popular trading apps like Robinhood [1].

Key Takeaways Meta Platforms and Vertiv were selected as the top momentum stocks using the Driehaus strategy.The Driehaus approach favors stocks with rising prices, strong earnings growth, and positive momentum.Both Meta and Vertiv hold Zacks Rank #2 ratings, a Momentum Score of A, and robust EPS surprise histories. Historically, October has been a volatile month for the stock market, making it challenging to pick the top momentum stocks. Therefore, savvy investors should employ the "buy high and sell highe ...

Momentum stocks in highflying sectors are vulnerable to a downturn, even if the market doesn't crash. ...

Core Insights - A potential Federal Reserve rate cut, strong retail sales, and progress in U.S.-China trade talks may positively impact the broader stock market, but not all stocks are guaranteed to perform well. Investors are advised to use the Driehaus strategy to identify the best momentum stocks [1] Group 1: Driehaus Strategy Overview - The Driehaus strategy emphasizes investing in stocks that are increasing in price rather than those in decline, focusing on strong earnings growth and positive momentum indicators [3][5] - Key criteria for the Driehaus strategy include a positive percentage 50-day moving average and strong earnings growth rates, with a focus on companies that consistently beat earnings estimates [4][5] Group 2: Selected Momentum Stocks - AppLovin Corporation (APP), Build-A-Bear Workshop, Inc. (BBW), and Tenet Healthcare Corporation (THC) have been identified as momentum picks based on the Driehaus strategy [2][8] - AppLovin has a Momentum Score of B and an average trailing four-quarter earnings surprise of 22.4% [10] - Build-A-Bear Workshop also has a Momentum Score of B, with an average trailing four-quarter earnings surprise of 21.3% [11] - Tenet Healthcare, with a Momentum Score of B, boasts an average trailing four-quarter earnings surprise of 31.2% [12]

Market Overview - Stocks surged on Monday, with the Nasdaq entering a new bull market following the U.S. and China agreeing to de-escalate the tariff war [1] - The S&P 500 turned positive for the year due to continued buying on Tuesday [1] - The recent market rebound emphasizes the importance of maintaining exposure to the stock market [1] Economic Factors - Lower inflation and easing trade war tensions have increased the likelihood of the Federal Reserve lowering interest rates in June [2] - Strong corporate earnings, particularly from big tech and other key industries, are contributing to the positive market sentiment [2] Stock Screening Strategy - A stock screening method has been developed to identify stocks with strong upward earnings revisions, specifically those with a Zacks Rank 1 (Strong Buy) [3][4] - The screening process focuses on stocks trading within 20% of their 52-week highs and incorporates metrics like the PEG ratio and Price to Sales ratio to ensure value [5][8] Barclays Financial Performance - Barclays (BCS) stock has increased by 120% over the past two years, significantly outperforming the Financial Sector and the S&P 500 [6] - The stock has experienced a 28% year-to-date surge, reaching 10-year highs, yet it still trades 18% below its average Zacks price target [7] - Barclays reported 8% revenue growth last year, with expectations of 11% higher sales in 2025 and 5% stronger revenue next year [10] - The company achieved 30% GAAP earnings growth last year, with projected adjusted earnings growth of 22% in 2025 and 2026 [11]