However, while the ray of sunshine is encouraging, the market still has plenty of headwinds—the longer-term trend of the indexes and most individual stocks remains down (or at best, sideways), which means any rally from here is likely to hit its share of potholes (like the one we saw today). As usual, we’ll just take it as it comes, but the intermediate-term buy signals are a good first indication that the selling pressures have exhausted themselves.
With all of that in mind, we went hunting for a stock with a great growth story that’s shown excellent power lately … but we also wanted a well-situated firm (and a well-sponsored stock) that wasn’t going to get crushed should the economy or market wobble. This month’s recommendation (which first appeared in Cabot Top Ten Trader) fills the bill on all counts.
This is an excerpt from Cabot Stock of the Month, which features the best stock to buy right now. Each recommendation is hand-selected from those recently researched and recommended by Cabot analysts. Editor Timothy Lutts explains why it’s the single best stock to buy in the current market environment. This publication is a great introduction to Cabot’s services.