This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

U.S. stocks, at midday, appear stable and are making some headway up. The major indices are up more than 1%. The mood is cautious. The start was helped by Japan's Nikkei which rose 10% overnight after the dramatic fall the day before. The U.S. is deep into earnings season and reports are driving individual stock moves. Overall, global markets continue to recalibrate.

This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

Management's ability to "raise guidance" can often be a catalyst for market-beating returns in the quarters ahead. The first-quarter earnings season has crossed the 90% mark and is wrapping up, with blended earnings (actual results and the consensus for those still to report) showing a year-over-year gain of almost 7%, according to Refinitiv. That is considerably better than the 4%-7% advance expected at the start of the earnings period. Leading the outperformance were strong gains in Communication Services earnings, up 43%, and Consumer Discretionary, up 26%. On the flipside, Healthcare and Energy, both down 24%, are performing the worst. Our analysts are always on the lookout for companies that boost outlooks during earnings season, as this is often a signal for momentum in the months ahead. Here is an initial list of BUY-rated companies in the Argus Fundamental Universe of Coverage at which management raised guidance or increased its outlook during the 1Q24 EPS reporting season.

This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

We raised our intermediate-term technical assessment to bullish from neutral on May 7. In a the three days prior, the S&P 500 (SPX) had popped 3.2%, the Nasdaq ripped higher by 4.8%, and the Nasdaq 100 (QQQ) jumped 4.4%. That is the largest three-day gain since mid-November for the SPX and since early November for the Nasdaq and the QQQ. The price action coincides with the beginning of the last rally following the late-October pullback low.

This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

Make it 16 out of 18 weeks to the upside, as the S&P 500 (SPX), Nasdaq, and Nasdaq 100 (QQQ) continued to witness relentless buying in the week ended March 1. Stocks were flat until the final two days of that week, when inflation worries were squashed by the January PCE report. It wasn't just stocks that reacted, as metals, oil, and bonds all popped on March 1. Bitcoin surged 21%.

This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

Management's ability to "raise guidance" can often be a catalyst for market-beating returns in the quarters ahead. The third-quarter earnings season is wrapping up, with blended earnings (actual results and the consensus for those still to report) showing a 6.3% gain, year-over-year, according to Refinitiv. That is considerably better than the 1.0% expected at the start of the earnings period, and should be enough to end the "earnings recession" that investors have endured over the past three quarters. Propelling the 3Q outperformance were strong gains in Communication Services, up 46%, while Energy again (like last quarter) is performing the worst, down 33%. Our analysts are always on the lookout for companies that boost their outlooks during earnings season. Here is an initial list of BUY-rated companies in Argus Coverage at which management raised guidance or increased its outlook during the 3Q23 EPS reporting season.

Stocks fluctuated in volatile trading on Thursday morning, but were nearly flat at midday. Disney shares rose 7% after the company reported better-than-expected fiscal 4Q EPS and announced plans to cut an additional $2 billion in expenses. Disney and other content providers, including Netflix and Paramount, also benefited from a tentative agreement ending the Hollywood actors strike. On the employment front, first-time claims for state unemployment benefits fell by 3,000 to a seasonally adjusted 217,000 for the week ended November 4, slightly below the Reuters consensus forecast. The Dow was flat, the S&P rose 0.1%, and the Nasdaq rose 0.2%. Crude oil rose 1% to $76 per barrel, while gold traded near $1968 per ounce.

This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

Stocks fell sharply on Wednesday morning after Fitch Ratings surprised investors by downgrading U.S. government debt. Fitch lowered its rating on U.S. debt to AA+ from AAA, citing 'expected fiscal deterioration' over the next three years, a rising debt burden, and repeated political standoffs over the debt ceiling. The White House and the Treasury Department strongly disagreed with the decision, with Treasury Secretary Yellen stating that it was 'arbitrary and based on outdated data.' The Dow fell 0.8%, the S&P 1.3%, and the Nasdaq 2.0%. Crude oil fell more than 2% to $79.50 per barrel, while gold fell $7 to $1972 per ounce.

This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

Stocks were seesawing but mostly higher on Wednesday morning following cooler inflation data. The Labor Department said that its consumer price index rose 4.9% from the prior year in April, below the consensus estimate of 5.0% and down from 5.0% in March. The core CPI, excluding volatile food and energy costs, rose a higher 5.5%, in line with consensus and down slightly from the prior month. On the earnings front, Airbnb shares fell sharply, despite solid 1Q results, after the company issued disappointing revenue guidance.

This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

The Vickers Top Buyers & Sellers is a daily report that identifies the five companies the largest insider purchase transactions based on the dollar value of the transactions as well as the five companies the largest insider sales transactions based on the dollar value of the transactions.

Stocks gave up most of their early gains on Thursday morning as investors weighed earnings from Disney and PepsiCo, along with weekly employment data. Disney shares rose after the company reported better-than-expected fiscal 1Q results and announced substantial cost cuts, including the elimination of 7,000 jobs. The company is also likely to restore its dividend by the end of the year. PepsiCo shares rose following above-consensus 4Q earnings and the announcement of a 10% dividend hike. The Dow rose 0.3%, the S&P 0.3%, and the Nasdaq 0.4%. Crude oil fell 1% to $77.50 per barrel, while gold fell $6 to $1885 per ounce.

Sector Map 2022: New Normal, or a One-Off?

GDP Negative for Two Consecutive Quarters

This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

This pick list highlights constituents of the Morningstar US Mid Cap Index that we believe offer investors the best risk-adjusted return prospects. The market capitalization range for U.S. mid-caps typically falls between $1 billion and $8 billion and represents 20% of the total capitalization of the U.S. equity market.

Stocks continue to struggle in 2022, but corporate insiders have reacted with increasing optimism in recent weeks as stocks have found new lows. Indeed, given the strength of current insider-sentiment readings from Vickers Stock Research, it seems clear that insiders are viewing the current dip as an opportunity.

Stocks were mixed in volatile trading on Monday morning amid continued fierce fighting in Ukraine, new sanctions on Russia, and President Putin's decision over the weekend to place Russian nuclear forces on 'special combat readiness.' The Treasury Department also froze the assets of the Russian Central Bank held in the U.S. Ukrainian and Russian representatives held talks in Belarus, though the Ukrainian government did not expect any progress toward ending the conflict. The Dow fell 0.7%, the S&P fell 0.4%, and the Nasdaq rose 0.2%. Crude oil rose more than 4% to $95 per barrel, while gold traded near $1913 per ounce.

With the Thanksgiving holiday last week, the total number of insider buy and sell orders across all exchanges predictably fell from the highs seen in prior weeks, with just under 1,350 transactions recorded. Still, volume remained well above the lows seen from late-September through early-November, when investors awaited the release of the third quarter results.

Value stocks are outperforming growth in 2021 (for the first time since 2016), though a recent rally in growth stocks has narrowed the performance advantage for value. But in an environment of historically low interest rates, many investors are still searching for high levels of income, which often can be found in value stocks. During recent years, the performance record has favored growth. Since 2010, the Russell 1000 Growth Index has climbed more than 450%, compared to an advance of 180% for the Russell 1000 Value Index. In eight of the past 10 years, growth stocks have topped value stocks. That hasn't always been the case. In the previous decade, including the Great Recession, value stocks were better performers than growth stocks, advancing an admittedly low 8%, but still better than growth, which declined 15% during the decade. Value investors trace their roots to the famous "Security Analysis" textbook, written by Ben Graham, an economics professor at Columbia University. Warren Buffett was one of his students. The tide may now be turning. Progress on COVID-19 vaccines has given a lift to some of the cyclical companies (energy companies and banks) that have lagged in recent quarters, and value stocks have kept pace with growth stocks in the past year. In any event, value is the place to achieve income. The current yield on the iShares Russell 1000 Value Index ETF is 1.6%, compared to the 0.5% current yield on the iShares Russell 1000 Growth Index ETF. This is important, as the current yield on the 10-year Treasury bond is 1.30%. For our list this week, we have screened our coverage universe for stocks that are BUY-rated by Argus Research analysts, have an Argus Financial Strength rating of at least Medium, and have a yield of 3.0% or higher. New stocks in our portfolio include the following.

Despite 'catastrophic' (not our words) breadth, crazy (our word) sentiment readings, and bearish seasonals (everyone is saying that), the Nasdaq and the Nasdaq 100 (QQQ) made all-time highs on August 23, while the S&P 500 made an intraday high. Last week's dip for the '500' and the QQQs did not even reach the 50-day average, while the Nasdaq fell below on an intraday basis on August 19. On August 23, the '500' rose 0.9%, the Nasdaq 1.6%, the QQQs 1.5%, the S&P 400 MidCap 0.9%, and the Russell 2000 1.9% (the big daily winner).

Value stocks are outperforming growth in 2021 for the first time since 2016. While a recent rally in growth stocks has narrowed the performance advantage for value in the year to date, an environment of historically low interest rates is one in which many investors are still searching for high levels of income -- which often can be found in value stocks. When we look for attractive high-yield/deep-value stocks at Argus, we look for low valuations on metrics such as price/earnings, price/sales, price/book, yield, and price/cash flow. We also look for companies with clean balance sheets, high levels of profitability, high-quality earnings, and experienced management teams. We seek to avoid companies in industries that are in secular decline, or with dividend yields that are so high that the payout is clearly at risk. Based on numerous requests from clients, we have designed a portfolio of companies that are BUY-rated at Argus Research, have a Financial Strength rating of at least Medium, and have a yield of 3.0% or higher.

This edition features moat sources in medtech; American cannabis; what eliminating the 1031 would mean for REITs; and notes from newly wide-moat Nvidia and new coverage Sofi and Spirax-Sarco.

We recently identified a nascent trend that suggested corporate insiders at relatively out-of-favor technology firms on the Nasdaq were starting to buy the lull. Meanwhile, we saw other evidence that insiders at blue chip companies listed on the NYSE were starting to take some money off the table. But we cautioned that 'a few weeks has not a trend made.' And this week, data from Vickers Stock Research resoundingly legitimizes our caution.

Stocks soared on Monday morning amid retreating bond yields, progress on the administration's stimulus plan, and vaccine optimism. Over the weekend, the FDA authorized Johnson & Johnson's one-shot COVID vaccine for emergency use, with the company planning to deliver 20 million doses by the end of March. The Dow rose 2.1%, the S&P 2.1%, and the Nasdaq 2.2%. Crude oil traded near $61.50 per barrel, while gold rose $10 to $1739 per ounce.

Stocks were largely flat on Tuesday morning as investors continued to weigh surging coronavirus cases along with prospects for a new fiscal stimulus package in Congress. The UK began its coronavirus vaccination campaign using the Pfizer/BioNTech vaccine, while a new peer-reviewed paper on the AstraZeneca vaccine failed to resolve questions about its efficacy and suggested that 'further work' would be needed. The Dow rose 0.3%, the S&P rose 0.1%, and the Nasdaq fell 0.1%. Crude oil traded near $46 per barrel, while gold rose $5 to $1871 per ounce.

This edition features senior housing; autonomous vehicle suppliers; our Berkshire Hathaway outlook; and notes from Kraft Heinz, Asbury Automotive Group, and new coverage Warner Music Group.

Recovery Continues in the Shadow of COVID-19: Our Monthly Survey of the Economy, Interest Rates, and Markets