The best stocks to buy and watch aren’t hard to find in the IBD Stock Screener. Once you’re in the stock screener, click on the IBD Stock Lists tab at the top of the page. Here, you can access a variety of screens like the IBD 50, IPO Leaders, Relative Strength Line At New High and Global Leaders.
The best stocks to buy and watch should have strong fundamentals. They should also be strong price performers in their respective industry groups. Tuesday’s Screen Of The Day is Global Leaders, a list of foreign companies that trade in the U.S. Ten stocks made the cut in Tuesday’s screen , including Garmin (GRMN), Logitech (LOGI), Janus Henderson (JHG) and Ternium (TX).
Best Stocks To Buy And Watch
Based in Switzerland, Garmin is known for its GPS navigation and wearable technology for the automotive, aviation, marine, outdoor and fitness markets.
In an increasingly competitive market, Garmin is a good example of how being a first-mover in a nascent market can pay off nicely. The company went public in December 2000, and it’s one of the best-known GPS brands out there.
In May, Garmin acquired AeroData, a privately held provider of aircraft performance software and services focused on commercial and business aviation.
Revenue growth has accelerated for two straight quarters, from 19% to 23% to 25%. When the company reports earnings later this month, the Zacks consensus estimate is for adjusted profit of $1.23 a share, up 35% from the year-ago quarter. Revenue is expected to rise 23% to $1.07 billion.
Garmin has been riding its 10-week moving average higher after a breakout on Nov. 2. It was one of the first stocks out of the gate when the S&P 500 confirmed a new uptrend on Nov. 4 with a big percentage gain in higher volume.
Garmin’s latest flat base showed a shallow pullback of 6%. The base formed as the stock held support at the 10-week line. It’s holding just above a 145.30 buy point.
Best Stocks To Buy: Logitech
Known for its computer peripherals, the Swiss firm supplies gear for gamers, including mice, keyboards, headsets, gamepads and steering wheels. The coronavirus pandemic caused its business to boom, resulting in several quarters in a row of accelerating revenue growth.
In late April, Logitech reported its third straight quarter of triple-digit earnings growth. Revenue for the March-ended quarter soared 117% to just over $1.5 billion.
Logitech is in a secondary buy point as it finds support at its 10-week line. Support comes after a breakout June 26, when Logitech topped a 117.24 buy point.
Investment Bank Holds Gains
Amid a lot of selling in the financial sector as interest rates plunge, U.K.-based investment manager Janus Henderson continues to hold support at its 10-week line after a bullish breakout during the week ended May 7.
Janus Henderson might not be a household name in the investment management group, but strong fundamentals and leading price performance in the group give it a Composite Rating of 96.
On April 29, Janus Henderson reported a 52% rise in quarterly profit, with revenue up 16% to $644 million. The company also raised its quarterly dividend to 38 cents a share, giving it an annualized yield of around 3.9%.
Steel Producer Retakes 50-Day Line
IBD’s steel producer group broke badly below the 10-week moving average in June, and sellers were in the group again on Tuesday.
But after 10 gains in 12 sessions, Luxembourg-based steel producer Ternium barely budged Tuesday as it sits just below a 39.70 double-bottom entry.
In April, the World Steel Association said it expects steel demand to grow by 5.8% this year and by 2.7% in 2022.
The recovery has been mostly led by China, which produces more than half the world’s crude steel. China’s steel demand grew 9.1% in 2020, but growth is expected to slow this year to 3%.
Follow Ken Shreve on Twitter @IBD_KShreve for more stock market analysis and insight.
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