The S&P keeps making record high after record high. So with stellar 26% gains already in hand this year, one has to wonder how much more gas is left in the tank.
No…don’t take that as a sign that the bull party is over. More of a statement that the easy gains have to be made and that investors will be more discerning on what stocks go higher in the future.
With that in mind I offer these 10 “perfect stocks”. And by perfect I that they sparkle from every facet: Growth, Value, Momentum and Income. (More details at the end of the article on the specific research criteria used to select these stocks).
Vodafone (VOD) is checking all those boxes. As a telecom there is little wonder VOD provides ample income of 5.12%. However, what is more surprising is the expected 14% earnings growth rate into the future which is about 3 times faster than the average publicly traded company.
Value investors will be most impressed by Vodafone’s 48% upside to the average Wall Street target. While the fans of momentum will be glad to hear how well it scores on all 5 components of the POWR Ratings system.
International Game Technology (IGT) is the opposite of VOD on most scales. And yet, they share attractive qualities that will pull in investors from all 4 of the main investment styles. IGT’s 10% growth is solid, but even more impressive is the value picture at 42% upside to average Wall Street target price. Their 5.6% dividend yield is just icing on the cake.
Putting It Altogether
The point of this “perfect” strategy was not to settle for just one attractive element. We wanted to load up on as many positive attributes as we could. But gladly each type of investor should find at least one that floats their boat.
Also all the stocks have momentum given the inclusion of the POWR Rating. But remember there are 4 sub components of the rating that help you lock down on the best shares (Buy & Hold Grade, Trade Grade, Industry Rank, Peer Grade).
Just click on the tickers below to continue your research and discover the component POWR Ratings on each stock.
Company | Ticker | Market Cap ($mil) | Est EPS Growth % | Div Yield % | Price | Target | Upside |
Vodafone | VOD | $50,672 | 14.46 | 5.12 | $18.93 | $28.10 | 48.44% |
Intl Game Tech | IGT | $2,920 | 10.00 | 5.59 | $14.30 | $20.40 | 42.66% |
Vistra Energy | VST | $11,741 | 16.69 | 2.08 | $24.09 | $32.75 | 35.95% |
Tecnoglass | TGLS | $381 | 21.50 | 6.70 | $8.36 | $11.08 | 32.54% |
Orange-ADR | ORAN | $39,954 | 15.78 | 3.15 | $15.02 | $19.90 | 32.49% |
Townsqar Media | TSQ | $164 | 12.00 | 3.46 | $8.68 | $11.50 | 32.49% |
Turkcell Il-ADR | TKC | $5,306 | 14.29 | 2.32 | $6.03 | $7.70 | 27.69% |
Investors Bancp | ISBC | $3,239 | 12.00 | 3.73 | $11.79 | $14.63 | 24.09% |
Amer Movil-ADR | AMX | $49,713 | 17.17 | 2.36 | $15.06 | $18.67 | 23.97% |
Mobile Mini | MINI | $1,704 | 14.00 | 2.85 | $38.63 | $47.50 | 22.96% |
Want more great stock picks? Then check out these additional resources:
Reitmeister Total Return portfolio
Details on Stock Selection Criteria for Perfect Stock List
Growth
Earnings growth is in short supply this year as we just went through another earnings season where the average company had -2% earnings. So I wanted these stocks to pack at least a 10% growth rate.
Momentum
This one is easy. We are going to rely upon the POWR Ratings system which is focused on stocks displaying the best momentum. In this case I widened our lens one notch to include both A & B rated shares. Meaning just the Buy rated stocks…no Holds or Sells.
Income
The average S&P 500 stock is providing a 1.8% dividend yield. So I want all of these stocks to be above that mark. TGLS tops the list with a healthy 6.7% yield.
Value
When the market is making new all time highs, then there is going to be a shortage of value stocks. So you have to dig a bit deeper to find them.
In this case it was the final part of the screening process to see those stocks that had the most upside potential. Gladly our stocks range from 23% to 48% upside to the fair value targets given them by Wall Street analysts.
VOD shares . Year-to-date, VOD has gained 3.06%, versus a 27.34% rise in the benchmark S&P 500 index during the same period.
About the Author: Steve Reitmeister
Steve is better known to the StockNews audience as “Reity”. Not only is he the CEO of the firm, but he also shares his 40 years of investment experience in the Reitmeister Total Return portfolio. Learn more about Reity’s background, along with links to his most recent articles and stock picks. More...
More Resources for the Stocks in this Article
Ticker | POWR Rating | Industry Rank | Rank in Industry |
VOD | Get Rating | Get Rating | Get Rating |
Get Rating | Get Rating | Get Rating | |
IGT | Get Rating | Get Rating | Get Rating |
ORAN | Get Rating | Get Rating | Get Rating |
VST | Get Rating | Get Rating | Get Rating |