James Dennin, Kapitall: Stocks had a difficult week as the S&P's tenure above the 1700 mark proved short lived – and investors renewed concern that the Federal Reserve will cut stimulis spending sooner than expected. By Friday morning, trading on the index was down 27% from its 30-day average for the time of day.
[Read more from Kapitall: Growth In Beauty: 3 Rallying Stocks With High ROE]
Some analysts are saying that much of the decline in buying has to do with revelations from several regional Fed Presidents that the Reserve could end up tapering-off its bond purchasing as early as September. The market's slide this week was the biggest since June, despite the biggest dip in jobless claims since the recession. However, not all stocks went down in this bearish week. We decided to run a screen for stocks that were able to generate positive returns over the last few days, despite the overall decline in buying.
Generally a long win-streak is not necessarily a sign of future growth. On the contrary, as a metric its often used as a way to determine when a stock price is likely to start going back down. So we further narrowed our field to include some growth indicators: high price earnings (P/E) ratios, as a high P/E often indicates that investors expect higher earnings growth in the future, and managable levels of debt – as indicated by a low long-term debt-to-equity ratio. We were left with five small cap stocks on our list.Click on the image below to see sales data over time. Quarterly sales data sourced from Zacks Investment Research. Analyze These Ideas: Compare analyst ratings for the companies mentioned The List 1. Anika Therapeutics Inc. ( ANIK): Develops, manufactures, and commercializes therapeutic products for tissue protection, healing, and repair. Market cap at $319.26M, most recent closing price at $23.63. The stock's average daily alpha vs. the S&P500 index stands at 2.03% (measured close to close, over the last month). During this period, the longest winning streak lasted 5 days (i.e. the stock's daily returns outperformed the S&P 500 for 5 consecutive days). The longest losing streak lasted 2 days (i.e. a win streak / losing streak ratio of 2.5).
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts