Why Our Top Names Still Come First
Portfolio Armor’s Top Names remain our strongest source of alpha, and the performance of our March 3rd cohort illustrates why. Those top ten names averaged 30.09% over the next six months, versus 13.86% for the leading market-tracking ETF, the SPDR S&P 500 Trust (SPY 0.00%↑).
The individual returns ranged from a 175% gain to a 46% loss. That dispersion is one reason we use more than one edge on every trade: the source gets a stock onto our radar, our technical screens help time the entry, the company and catalyst work define the holding period, and our pricing models keep us from overpaying for the structure.
Today’s first trade is on a current Top Name we’ve traded before. The company has added two large, multiyear contracts that should be fully activated by year-end, while its shares have consolidated near their 50-day trend.
Our alert from our earlier entry in this stock:
Our second trade is a biotech reentry from our Multibaggers list, the subset of our Market Watchers X list comprised of analysts with multiple, recent, 100%+ winners. It combines an established commercial business with a year-end clinical catalyst, and its April expiration leaves time for the catalyst and two expected quarterly reports.
Our alert from our earlier entry in this stock:
Paid subscribers will find the names, trade structures, the maximum prices we’re willing to pay for them, and our pre-set exit orders below.
Today’s Top Names Trade
RSI: 48; Technical Rating: 8; Setup Rating: 8; Fundamental Rating: 5.
Government-services expansion / new contract awards theme.
