Please ensure Javascript is enabled for purposes of website accessibility
Cabot Prime Plus Logo
Cabot Prime Plus

Cabot Prime Plus Week Ending May 20, 2022

Stock Recommendation Tracker

The Stock Recommendation Tracker is a table that features all of the current recommendations in all of our portfolios. It’s a quick way for you to see what stocks are currently in our portfolios and will highlight new additions or any changes to our recommendations over the previous week. We include this table at the bottom of the Weekly Summary, and provide a link here at the top to the Stock Recommendations Tracker.

Cabot Weekly Review (Video)

In this week’s stock market video, Mike Cintolo talks about his continued defensive stance amidst the market’s downtrend, with the high-profile retail debacle (TGT, WMT) hurting the cause. That said, growth stocks have stopped leading on the downside for the time being, and the plunge in defensive stocks while that’s happening is something to note. Mike runs though a big list of names to watch, and even mentions one sector he believes will lead the next growth advance, whenever that begins.


Cabot Retirement Club Live Analyst Briefing with Q&A

FREE MEMBER BRIEFING: May 26, 2022 Sign up now.

Cabot Micro-Cap Insider Live Analyst Briefing with Q&A

FREE MEMBER BRIEFING: June 9, 2022 Sign up now.

3 Metals Outperforming Gold and the Market

FREE WEBINAR: June 30, 2022 Sign up now.

Advisory Services

Cabot Growth Investor

Bi-weekly Issue May 19: Right now, then, we continue to hold a ton of cash, but we’re not burying our head in the sand or gabbing with everyone about all the bad news—instead, we’re focused on growth stocks finding support and reacting well to earnings (yes, there are a few), some of which we could nibble at if the market finds some real buying. Tonight, we have no changes, with the Model Portfolio holding north of 80% in cash.

Bi-weekly Update May 12:The market is down again today, though we do see many stocks and some growth funds putting up a fight. As of 1:30 ET, the Dow is down 333 points and the Nasdaq is down 82 points, though growth funds are up in the 1% to 4% range.

Cabot Top Ten Trader

Movers & Shakers May 20: The market’s downtrend has generally continued this week—even including the pre-market rally in the futures, the S&P 500 and Nasdaq are off in the 2%-plus range, though things like small and mid-caps, as well as growth-oriented funds, are close to unchanged.

Weekly Issue May 16: Our Top Pick is Albemarle (ALB), which still needs work, but may be starting to round out its launching pad as the lithium industry gains speed.

Cabot Undervalued Stocks Advisor

Weekly Update May 18: Some reasons to ignore financial media chatter and a few words on rumors of a coup in Russia. We move shares of Bristol-Myers Squibb (BMY) from Buy to Hold, plus commentary on all of our recommended stocks.

Monthly Issue May 4: It seems that most of the pandemic-driven adrenaline rush in speculative stocks has burned off, with literally hundreds of names down 60% or more from their peak prices. And, more than a few highly notable stocks, including Netflix (NFLX) and DocuSign (DOCU), have given up all of their pandemic gains and then some.

Cabot Stock of the Week

Weekly Issue May 16: Tim’s new pick Fanuc Corp. (FANUY), whose name is an acronym for Fuji Automatic Numerical Control, has been a world leader in robotics since the early 1970s. It was founded as a wholly owned subsidiary of Fujitsu in 1955 after that electronics giant decided to enter the factory automation business.

Cabot Explorer

Bi-weekly Update May 19: The markets continue to be challenging to say the least, with the S&P 500 off 18% so far this year, but like everyone I see some amazing companies posting strong numbers being pulled down over a blend of macro issues.

Bi-weekly Issue May 12: A difficult stretch causes us to sell two underperformers this week but we move forward today with a high-quality Japanese company at the heart of an unstoppable trend and a high-quality stock on sale.

Cabot Small-Cap Confidential

Weekly Update May 19: Recession fears are also mounting, spurred by the giant misses from both Walmart (WMT) and Target (TGT) yesterday. They are being pinched by higher costs and lower consumer spending in some categories. Remember that last spring people received stimulus checks, which they’re not getting this year.

Alert May 11: Xometry (XMTR) delivered quarterly results ahead of expectations this morning. Revenue of $83.7 million (+91%) beat by $2 million while adjusted EPS of -$0.27 beat by $0.09. Active buyers up 44% to 30,683.

Monthly Issue May 5: The market remains very challenging for high-growth stocks. While I have a list of innovative companies I’m excited to recommend (at some point), for now we’ll continue to diversify our portfolio with more value-oriented names.

Cabot Dividend Investor

Weekly Update May 18: The market has rallied strongly off last week’s lows. Buy I’m not buying into it. Stocks are already floundering badly again today. The S&P 500 came to within close to 1% of a bear market last week, down 20% from the high on a closing basis before several up days and a better than 4% rally off the low. The index has posted six consecutive weeks of decline, the longest such streak in more than a decade.

Monthly Issue May 11: It might not be too early to bargain hunt very selectively. Companies that are likely to continue to grow earnings and the dividend are likely to recover. There is one such opportunity in the cannabis sector.

Cabot Early Opportunities

Alert May 18: We’ve held on to a small stake in Endava (DAVA) hoping the market would turn around before our gain dwindled too much. With the stock sneaking below last week’s low today we’re going to step aside. Like many companies I think Endava is doing a good job and will pull out of this just fine. But I’m not willing to let a gain slip entirely away. We can return to it later when the environment for the stock improves. SELL REMAINING HALF

Monthly Issue May 18: Tyler’s top pick Axonics (AXNX), is developing disruptive solutions for patients that suffer from overactive bladder (OAB), Urinary Retention (UR) and Fecal Incontinence (FI). The most common symptom of these ailments is the frequent and urgent need to go to the bathroom. They are often the result of abnormal communication between the brain and the bladder and bowel.

Cabot Profit Booster

Alert May 20: The market has been a mess for the past several months, as countless stocks have completely fallen apart. It’s been UGLY. That being said, the Cabot Profit Booster held up fairly well this month, as I structured our trades defensively, and the large call premiums we collected offset the market’s decline.

Weekly Issue May 17: With earnings season largely in the rearview mirror rising interest rates, inflationary pressures, talk of a recession, and of course ongoing geopolitical uncertainties will be front and center once again this week. And while that is a lot to worry about, and the latest AAII survey shows that bearish sentiment hit its highest levels since the Global Financial Crisis back in 2008, Friday’s rally MAY be the start of some market stability.

Cabot Micro-Cap Insider

Weekly Update May 18: The past couple of weeks in the market have not been fun. The only fun thing about the last few weeks has been the weather. We got into the 80s last week near Boston, and this weekend temperatures are likely to hit 90 degrees! I even got to play my first round of golf and didn’t play too badly. The one good thing about volatility in the market is it gives you an opportunity to buy stocks that would otherwise be too expensive.

Monthly Issue May 11: Today, I’m recommending a company that will benefit from the post-pandemic travel boom.

Cabot Income Advisor

Weekly Update May 18: The market has improved from the heavy selling of last week. But I’m not buying this rally just yet. At the low point of the selling last week, the S&P 500 was down about 19% from the high. That was dangerously close to a bear market, down 20% from the high on a closing basis. A bear market is an important psychological level that would likely prompt further selling if crossed. And we came right up to the cusp.

Monthly Issue April 27: Stocks are turning distinctly more bearish in the near term as slower growth in China hits a market that was already teetering in anticipation of a more aggressive Fed.

Cabot Turnaround Letter

Weekly Update May 20: Earlier this week, we moved shares of Altria (MO) from Buy to Sell. We comment on earnings from Toshiba (TOSYY) and Vodafone (VOD). Next week, Macy’s (M) reports earnings and Duluth Holdings (DLTH) reports the following week. Comments on Holcim (HCMLY), Wells Fargo (WFC), Macy’s (M), Duluth Holdings (DLTH) and TreeHouse Foods (THS). Some thoughts on the ESG trend.

Alert May 19: We are moving shares of Altria (MO) from Buy to Sell. While the shares remain 21% below our $66 price target, the risk/return trade-off has become unfavorable.

Monthly Issue May 4: One of the enduring features of the stock market is that near-term share prices are driven by momentum and narratives. While this may yield huge money-making stocks on the way up, losses can be devastating on the way down. Fortunately for value investors, downturns driven by negative momentum and unfavorable narratives can create impressively attractive opportunities.

Cabot Money Club

Stock of the Month May 12: As Mike Cintolo, Chief Analyst of Cabot Growth Investor and Cabot Top Ten Trader always says, “you shouldn’t fight the tape.” The markets are battling it out these days, trying to find a bottom. The constant news cycle of Russia-Ukraine, rising rates (up 0.5% last week) and increasing inflation are causing a severe case of market indigestion and volatility.

Monthly Magazine April 29: Since the market bottom on March 6, 2009—when the Dow Jones Industrial Average sunk to 6,469.95—investors have lined their pockets with lots of coin. Sure, COVID sent the markets reeling—down to 19,173.98 on the Dow in March 2020—but since then, boy, have we recovered! Despite recent volatility—due to rising interest rates and inflation, as well as the war in Ukraine—the Dow is getting close to breaking records again, closing at 35,116.35, as I write this.

Cabot ETF Strategist

Weekly Update May 17: Despite the broad market downturn, all our portfolios are currently positioned to withstand the gyrations. The S&P 500 rebounded 2.39% Friday while the Nasdaq jumped 3.82%. That kind of strong action clearly indicates that institutions such as hedge funds or mutual funds are scooping up shares.

Monthly Issue May 10: One key tenet of asset allocation is risk management. You’ll find that principle to be much more salient when it comes to investing an entire portfolio, as opposed to simply trading individual stocks.

Ask the Experts

Cabot Growth Investor

Question: Mike, I wanted to know what you are looking for in the market and your metrics to determine when to start putting money back to work. The snapback rally could be quick wouldn’t want to have it all sitting on the sideline. It’s definitely a tricky environment but just wanted to get your take.

Mike: Thanks for writing. Well, we’re looking for some trends to turn up and for some stocks to get above resistance, simple as that. If you’re talking about short-term, I’m not opposed to nibbling on some stuff now as we could bounce – but fear of missing out on a short-term snapback, I don’t know, even today we’re back to where we were a week ago type of thing. Long story short, the big money will be made in the next sustained upmove, but I think that’ll take longer to develop. I’m fine buying small amounts of a couple of things but wouldn’t go hog wild.

Quarterly Cabot Analyst Meeting

The recording of the Cabot Prime Members Meeting with the Analysts from January 12, 2022 is now available for you to listen to at your convenience—click here for access. This private call with our analysts is one of your exclusive Cabot Prime Pro member benefits.