logo
ENFRع
#

Latest news with #SPY

‘Speculative Trading Hits Highest Level Since Meme-Stock Craze,' Warns Goldman Sachs
‘Speculative Trading Hits Highest Level Since Meme-Stock Craze,' Warns Goldman Sachs

Business Insider

time4 days ago

  • Business
  • Business Insider

‘Speculative Trading Hits Highest Level Since Meme-Stock Craze,' Warns Goldman Sachs

Some Wall Street analysts are warning investors to stay cautious as the S&P 500 (SPY) hits record highs. Indeed, Goldman Sachs (GS) says that its Speculative Trading Indicator — which tracks activity in risky stocks like unprofitable companies, penny stocks, and those with high valuations — has climbed sharply over the last few months. While it hasn't reached the extreme levels of the dot-com bubble or the COVID-19-era market frenzy, it is now at its highest point since then. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Interestingly, a lot of this speculative trading involves smaller companies such as BigBear. ai (BBAI), Lucid (LCID), and Plug Power (PLUG), although popular giants like Nvidia (NVDA) and Tesla (TSLA) remain heavily traded as well. Goldman analysts say that this kind of activity can push markets higher in the short term, but it also increases the risk of a sharp drop later on. Historically, similar spikes have led to strong gains over a three to 12-month period, but have often faded over a longer two-year period. This surge in speculation has also triggered several short squeezes, where heavily shorted stocks, such as Krispy Kreme (DNUT), Opendoor (OPEN), and Kohl's (KSS), see their prices jump as bearish traders rush to buy back shares. At the same time, call option trading is rising, and interest in IPOs and SPACs has returned, with June's median IPO gaining 37% on its first day – the best performance since early 2024. According to Goldman, this enthusiasm is similar to earlier meme-stock rallies that were driven by retail traders and social media hype. Is SPY Stock a Good Buy? Turning to Wall Street, analysts have a Moderate Buy consensus rating on SPY stock based on 424 Buys, 75 Holds, and five Sells assigned in the past three months, as indicated by the graphic below. Furthermore, the average SPY price target of $692.08 per share implies 8.6% upside potential.

Stock Analysis: Find Outliers Early with Money Flows
Stock Analysis: Find Outliers Early with Money Flows

Yahoo

time4 days ago

  • Business
  • Yahoo

Stock Analysis: Find Outliers Early with Money Flows

And that's exactly what we do at MoneyFlows. We spot compounders early. Find Outliers Early with Money Flows MoneyFlows scores thousands of stocks and exchange-traded funds every day using a 29-factor model. It ranks companies based on fundamentals like earnings growth expectations, sales estimates, and other forward-looking data. The technical factors incorporate momentum and the quality of money flow signals. And when you sift through hundreds of stocks each week being bought by Big Money and rank them by quality, you find outliers. These are the ones with Big Money support that rise high over time. We have a weekly report – the Outlier 20 – that identifies stocks seeing the most Big Money action (inflows and outflows). It has spotted winners early, like NVIDIA Corporation (NVDA) in 2015 and Super Micro Computer, Inc. (SMCI) in 2022. The daily flow signals are single stocks where a handful are being bought daily: Notice how the SPDR S&P 500 ETF Trust (SPY) rose as the green inflow signals outweighed the red outflow signals for months. Huge Recipients of Big Money This Year Years of sitting on institutional trading desks taught us to respect money flows, especially for the all-star stocks. It's what built MoneyFlows. So, what do the money flows show in 2025? Well, it's clear two stocks have been huge recipients of Big Money this year. They both have healthy, growing fundamentals along with high-flying technical metrics. And neither is being mentioned in the mainstream media. The first is Agnico Eagle Mines Limited (AEM). It's an under-the-radar gold exploration company with exploding earnings. In 2023, net income stood at $1.94 billion. Estimates expect $3.33 billion in fiscal 2025. With such expected earnings growth, Big Money has been all over this company in the past 12 months: Again, the MoneyFlows process is built to find tomorrow's winners early. The second Big Money target for 2025 is Sportradar Group AG (SRAD), a Switzerland-based data provider focused on sports gaming. This little-known company has a surging net income situation, and Big Money loves outsized profits. In 2024, SRAD's net income was $37 million. Expectations for fiscal 2026 are $166.4 million. This is why Big Money bets have been made continuously on SRAD over the past year: All outlier stocks in our data have the rare inflow pattern seen above. Spot The Winners Money flows are the guiding light when you're trying to spot outlier stocks. Understanding the Big Money supply and demand dynamics at play is critical to identifying winning stocks. You don't need to look any further than 2025. MoneyFlows data has shown two superstar stocks being heavily bought by Big Money, and the media is barely mentioning them, if at all. It was the same story with NVDA in 2015 and SMCI in 2022. But we all know them now. Follow the money flows to spot the winners. If you are a Registered Investment Advisor (RIA) or a serious investor, take your investing to the next level and follow our free weekly MoneyFlows insights. This article was originally posted on FX Empire More From FXEMPIRE: EU's Sluggish Economy Faces Moderate Growth Slowdown from US Trade Tensions Why Nextracker Could Be the Next Big Money Outlier Navigating China's Economic Challenges: A Q&A with Scope Ratings' Dennis Shen Eye Outliers Like Synopsys Early with Money Flows See How Money Flows Drive Outliers Like Garmin Coinbase on Fire from Sustained Big Money Buys

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store