Stockchase Research
Member since: Jul '20
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Latest Top Picks

Stockchase Research Editor: Michael O'Reilly LEN recently reported revenue growth over 21%, easily beating the consensus outlook. New orders is creating a growing back log for the home builder company. Margins are doubling to over 26%, while SG&A expenses are declining -- all going directly to the bottom line. Cash reserves are over $2.5 billion, even after retiring over $300 million in debt, which resulted in S&P revising their rating to investment grade. The stock is setting up a nice technical foundation, which we think could propel the stock ultimately to $121 -- upside potential over 23%. We would buy this with a stop loss at $70. It also pays a dividend, backed by a payout ratio less than 15% of cash flow. Yield 1.02% (Analysts’ price target is $109.50)
Stockchase Research Editor: Michael O'Reilly VRTX is a previous Top Pick that had two setbacks that caused us to recommend moving to the sidelines. However, its diversified portfolio of therapeutic drugs continues to play a leading role in the potential treatment of cystic fibrosis worldwide. It trades at 17x earning compared to peers at 43x. It has been adding cash reserves that are now estimated to exceed $8 billion. We would buy this with a stop loss at $165, looking to achieve $275 -- upside over 46%. Yield 0% (Analysts’ price target is $275.86)
Stockchase Research Editor: Michael O'Reilly DIR is a leading dividend payer that will benefit with the re-opening of the economy. It has a great yield, backed by a payout ratio under 50% of cash flow. It trades at 10x earnings compared to peers at 17x and is valued at just 1.2x book value. Good value here. We would buy this with a stop loss at $12.50. We like this as a defensive holding, so would continue to hold this until it triggers our trailing stop. Yield 4.61% (Analysts’ price target is $15.66)
(A Top Pick Mar 30/21, Up 21.3%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with ADBE has achieved its $565 target. To remain disciplined, we recommend covering 50% of the holding and trailing up the stop to $465 -- the original recommended entry.
(A Top Pick Jan 26/21, Up 27.2%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with CVLG has triggered our stop at $19. To remain disciplined, we recommend covering the position at this time. This will result in an investment return exceeding 27%.