Sadly, there's no such thing as an ultimate buy signal when it comes to investing in stocks. Identifying companies with the wind at their backs takes time, patience, and a good dose of due diligence.
There is, however, an easy way to increase your odds of finding the stocks that will beat the market. At Motley Fool CAPS, the Fool's investing community of more than 130,000 members, we've found that four- and five-star stocks, as a group, have outperformed the broader market -- to the tune of seven and 12 percentage points, respectively -- on an annualized basis from November 2006 to July 2008.
To fully capture the upside potential of those highly rated stocks, it makes sense to identify them just as soon as they are upgraded to four- and five-star status. Fortunately, our CAPS screener now makes it possible to do this. Below, for example, is a list of companies that have been upgraded to four-star status from three stars just yesterday. These stock ideas are only a starting point, of course. Be sure to join us on CAPS to dig in even further.
Company |
All-Stars Saying Outperform |
---|---|
Elan Corp, plc (ADR) |
817 of 887 |
Central Fund of Canada Limited (USA) |
513 of 538 |
Calumet Specialty Products Partners, L.P |
347 of 370 |
Genoptix |
135 of 141 |
Quidel Corp |
124 of 132 |
Perdigao S.A. (ADR) |
164 of 169 |
Data from Motley Fool CAPS, April 2, 2009.
Come join us on CAPS, absolutely free, to learn more about these and countless other interesting stock ideas.