Weekly Watchlist. October Edition.


APA Corporation (APA)

Entry: Unlock

Price target: 27.50-28.50

Second PT: Unlock

Analysis done on hourly timeframe. Demand and oil prices have moved in opposite directions over the past 12 months, leaving investors around the world surprised. However, oil prices aren't expected to stay suppressed for long.

Rising geopolitical tensions in the Middle East and Russia are creating mounting pressure on oil markets. The current artificially low prices—driven in part by political motives leading up to elections—are unlikely to overshadow the growing global demand for oil.

After the initial surge in oil prices due to the Russia-Ukraine conflict, the energy sector saw inflated valuations. However, the market has since undergone a sharp correction, pushing several stocks, including APA Corp, to more appealing levels, creating potential opportunities for investors.

APA Corp recently reported a standout quarterly performance, with 42% year-over-year growth in both revenue and net income, its best results in over two years. Despite this, the stock moved lower following the report. As oil markets rebound, spurred by ongoing global uncertainty, investors are likely to recognize APA’s improving fundamentals, positioning the stock for future gains.

Please note that this may take beyond this week to come around to price targets. 

Toast, Inc. (TOST)

Entry: Unlock

Price target: 31.40-31.60

Second PT: Unlock

Analysis done on hourly timeframe. Shares of Toast reached a new 2024 high last week, extending the rally sparked by the company’s latest earnings report. Investors were particularly enthusiastic about the milestone achievement of Toast posting its first-ever quarterly profit, marking a significant turning point for the company.

Toast, which develops payment and management software for restaurants, has had an impressive trajectory since its IPO. The company has consistently delivered strong annual revenue growth, reaching $3.87 billion in 2023 and is projected to surpass that figure in 2024. Now that Toast is profitable, it gains a major validation in the eyes of potential investors, signaling that its business model is not only growing but also financially sustainable.

The recent stock surge to new highs is likely to attract additional investor attention. With solid financial performance and profitability on the books, Toast has become a more compelling investment. We've added it to our weekly watchlist as a potential continuation play, given the momentum and interest that may follow. As more investors take note of its growth, Toast could see further upside in the near term.

Please note that this may take beyond this week to come around to price targets. 

Powell Industries (POWL)

Entry: Unlock

Price target: 239.00-242.00

Second PT: Unlock

Analysis done on hourly timeframe. Stocks in the electrical industry have seen a surge in volume and momentum recently, driven by growing discussions about what will power the rapid expansion of artificial intelligence (AI). AI technology demands vast amounts of energy, and many experts argue that current power infrastructure may not be sufficient, leading to increased demand for companies in the electrical space.

Powell Industries is one such company benefiting from this trend, as reflected in its financials. The company posted an impressive average revenue growth of 50% across the first three quarters of 2024, while also significantly boosting its net income compared to last year. Additionally, Powell’s balance sheet has nearly doubled in size over the past two years, highlighting strong financial health.

Despite trading at all-time highs, Powell Industries remains attractively valued, especially given the projected rise in demand for electrical equipment in the years ahead. The stock experienced a sharp volume spike on Friday, its highest since the last earnings report, suggesting that a major move could be on the horizon. Powell is well-positioned to capitalize on the growing need for power solutions in the AI era.

Please note that this may take beyond this week to come around to price targets. 

You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information. 

You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information. 

You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information. 

You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information. 

You've reached the end of our complimentary public watchlist. Unlock for the full list by becoming a member of our Hyper Stocks community. Click here for more information. 

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The stocks posted above are the preliminary stocks and set ups we’ll be watching this week. All price points are subject to change based on market performance and sector health. Please do your own research and analysis on these companies/charts before taking on any set ups. Trade at your own risk and as always, good luck! Let’s have a fantastic week.