This month’s Issue of Cabot Small-Cap Confidential features a newly public company that’s trying to do what seems impossible – make the healthcare system work better.

It’s essentially a big data software company for this highly complex market. But it has a services and consulting segment too that’s central to the growth story because so many clients need help getting organized before they can even implement a software system.

Revenue growth tops 30%. And the story remains relatively unknown. All the details are inside the December Issue of Cabot Small-Cap Confidential.

As US trade disputes spread to Latin America, Europe and a China deal may be pushed into 2020, markets struggled early in the week but rebounded yesterday.

Hong Kong retail sales were hammered in October but China’s manufacturing finally turned upward. Our emerging market signal is positive with EEM trading just above its 50-day moving average.



We will continue to diversify the portfolio and today rise above worldly concerns with a new recommendation that just may capture your imagination and make you money in 2020.

The market has finally begun to consolidate after a heady eight-week run in the major indexes and leading stocks. It’s never fun to see things retrench, and we do think the next couple of weeks (very roughly speaking) could see more choppy, tedious trading. But our focus remains on the intermediate- and longer-term picture, and on that front, the evidence remains bullish, so we remain heavily invested.



The Model Portfolio has been steadily putting money to work, including filling out two positions last week. We now have eight stocks and a cash position of around 14%.



In tonight’s issue, we give our latest thoughts on all our positions and write about yet another unique, longer-term bullish occurrence that bodes well going forward.

Heading into the last month of the year, the prospects for the market remain very good, with a plethora of technical indicators telling us the market will be higher in the years ahead, and thus I continue to recommend that you be heavily invested.

Forget tariffs, forget trade negotiations, forget politics, and forget all the “problems” of the outside world. Just hold a portfolio of carefully selected high-potential stocks, and all will be well.

Today’s recommendation is a fast-growing company that’s a major participant in the 5G communications revolution.

Details in the issue.

Download the new report Cabot’s 10 Best Stocks to Buy and Hold for 2020 (subscribers only)


A stock joins the Buy Low Opportunities Portfolio today and another one rejoins the Growth Portfolio. Additionally, we say goodbye toone stock, which continues to have a slightly-improving price chart, but the 2020 earnings growth prospects are too dismal to remain in the Growth Portfolio.

Open today’s issue to read additional features and changes with three more stocks.

This week’s pick has one of our favorite growth stories in the market.

While our focus is on long-term business fundamentals and underlying valuations, even we can be tempted to briefly set this aside for shorter-term bargains. And this time of year these bargains can appear, driven by artificial selling pressure.

In this issue, we look at six stocks that are promising candidates for a bounce.

The cannabis sector remains in a correction, with Canadian stocks in particular still struggling—even as Cannabis 2.0 promises new retail opportunities. But the fundamentals of the industry remain bright, and investors are now beginning to discriminate between the winners and the losers—with the best stocks showing substantial increases in buying volume recently.

The portfolio remains more than a third in cash, waiting for the sector’s main trend to turn up, and there are just two small adjustments today. The portfolio will sell half its position in Cresco Labs (CRLBF) and double its position in Innovative Industrial Properties (IIPR).



Full details in the issue.

There are two major reasons that we saw a 3.6%+ drop in U.S. stock markets last week.

We’re nearing the end of third-quarter earnings season, and so far, 75% of companies reported results that beat Wall Street’s expectations!

We’ve had a huge stock market rebound in October, with the NASDAQ up 9%, and the Dow and S&P 500 each up about 8% month-to-date. Investors are going to breathe a great sigh of relief when they see their October 31 account values.

Good news! Last week, the S&P 500 broke out of a sideways trading pattern, where it had been resting since the late-August U.S. stock market correction. The S&P could easily rise to 2,120 this fall—a 5% move—barring unforeseen bad news.

While biotech shares have been pressured of late, this fund is entering its historically best season.

Our second recommendation is some profit-taking.

Our first idea is an airline that beat Wall Street’s earnings forecasts by $0.33 last quarter.

In the past 30 days, 15 analysts have increased their earnings estimates for this drug store/pharmacy chain.

The major indexes did well on Friday, with the Dow up 136 points and the Nasdaq up 9 points. But growth stocks were once again hit relatively hard with another few breaking intermediate-term support. One our positions broke down after a good-not-great quarterly report and it’s time to sell.

Coverage of the shares of this optoelectronics maker were recently initiated at Cowen & Co. with an ‘Outperform’ rating. Wall Street is forecasting annual growth of 30.8% over the next five years for the company.

We have one Sell today and one stock that moves from Strong Buy to Hold

Our second recommendation is a short sale.

Our first pick today just received an upgrade from Morgan Stanley, to ‘Overweight’.

Five of the stocks in the portfolio have reported earnings.

Six of our stocks reported earnings recently.

The shares of this Chinese education company were just initiated at Jefferies with a ‘Buy’ rating.

Our Cabot Top Ten Trader’s market timing system consists of two parts—one based on the action of three select, growth-oriented market indexes, and the other based on the action of the fast-moving stocks Cabot Top Ten features.