This week’s Alpha Algorithm selected yet another familiar tech name: Apple, Inc. (AAPL).
It should come as no surprise that the top Alpha Algorithm strategies are climbing back on board the tech stock train.
After a sharp sell-off following Donald Trump’s election in November, technology stocks have rebounded impressively since the start of the year. Since Jan. 2, your Alpha Algorithm position in Facebook Inc. (FB) has gained 9.60%, Amazon.com (AMZN) has soared 6.55%, Google (GOOGL) has risen 4.72% , Applied Materials (AMAT) has jumped 3.72% and Microsoft (MSFT) has recovered by 1.69%.
Apple, Inc. itself is up a solid 3.39% so far this year.
Apple, Inc. (AAPL), based in Cupertino, California, designs, manufactures and markets mobile communication and media devices, personal computers and portable digital music players to consumers, small- and mid-sized businesses and enterprise and government customers worldwide. It is the largest company in the world based on market capitalization.
Apple, Inc. versus the S&P 500 over the past month.
Nine Top Investment Strategies Betting on Apple, Inc. (AAPL).
- High Quality Stock (QUAL)
The stock exhibits positive fundamentals, including high return on equity, stable year-over-year earnings growth and low financial leverage.
- Fundamental Strength (PRF)
This is a top U.S. stock based on fundamentals measured by book value, cash flow, sales and dividends.
- Momentum Model (PDP)
The stock is among the top approximately 100 U.S.-listed companies to demonstrate powerful strength characteristics relative to the 3,000 largest U.S.-listed companies.
- Goldman Sachs’ Active Beta (GSLC)
The stock is selected according to four factors — value, quality, momentum and low volatility. These, in turn, are based on criteria including book value, sales and cash flow scaled by share price, profit/assets or return on equity (ROE), risk-adjusted returns and daily standard deviation of returns.
- Small-Cap/Value Tilt (TILT)
Selected using a multi-factor modeling approach, the stock is a smaller-cap or value stock designed to enhance portfolio risk/return characteristics.
- Shareholder Yield (SYLD)
This is one of the companies on the U.S. stock market that is (a) paying cash dividends, (b) engaging in net share repurchases, and (c) paying down balance-sheet debt.
- Insider and Analyst Sentiment (KNOW)
One of 100 stocks chosen from the S&P 500 based on positive sentiment among those “insiders” closest to a company’s financials and business prospects, such as top management, directors, large institutional holders and the Wall Street research analysts who follow the company.
- Hedge Fund Alpha (ALFA)
Based on publicly available disclosures, successful hedge fund managers are investing in the stock.
- Hedge Fund Gurus (GURU)
The stock is one of the top U.S.-listed equity positions reported on Form 13F by select hedge funds with concentrated top holdings.
Buy Apple, Inc. (AAPL) at market today and place your stop at $110.
I am holding off on recommending any options right now.
You were stopped out of NVIDIA Corporation (NVDA) at $101.50 for a 10.11% gain.
You have double-digit-percentage gains locked in with both Microsoft (MSFT) and Berkshire Hathaway (BRK-B).
Nicholas A. Vardy