Research firm InvestorsObserver recently launched a new Stock Score Report rankings system, and in recent weeks we have been digging through the list at some of the top ranked stocks.
The new screener combs the entire universe of U.S. stocks and ranks stocks on a proprietary formula combining both technical and fundamental data. By combining both technical and fundamental data you are able to pinpoint stocks that have not only been trending higher, but also have strong enough underlying businesses to warrant taking a closer look.
Technical analysis is important because you always want to make sure there is some market momentum behind the stock. However, you want to avoid following the herd into red hot stocks without doing some additional homework, and that is where the fundamental analysis comes into play.
We will also take a look at where the individual stocks are currently trading, and compare that to the average price targets that analysts have put in place. Analysts can always ratchet their price targets higher as stocks advance, but the current price targets paint a decent picture of where analysts believe the stock to be fairly priced.
Let’s taker a closer look at five stocks that rank near the top of InvestorsObserver’s Stock Score Report.